My mom is going to pay off her remaining debts (5k first mortgage, 57k second mortgage). This would leave her with about 88k. Obviously, it doesn't make sense to just have this sit in a savings account, and the smartest thing to do is invest this.
I'm thinking she can invest about 50k of the remaining amount, giving her some liquid money if she needs it. She could throw 13.5k into a Roth IRA (2018 & 2019 contributions combined), and maybe the rest into a taxable brokerage account?
What investments would be best for her? Usually, I would say index funds, but with her already in her retirement and the market being a bit volatile right now, what would make the most sense in her situation?
For some background, she currently makes 2k/month from her government pension and still has my father's retirement accounts that have about 57k in it right now. She probably spends about 2k/month, but she's cutting back on a lot of things (cable, phone etc.) I'm still working with her on a budget to see what she actually spends per month. My dad passed a month ago so we're still working through a lot of things, but I want to make sure we use this money wisely. Thanks for your help!
Submitted November 11, 2018 at 11:19AM by kirbsterrrr https://ift.tt/2T2gGHM
