I'm 34 and just won a settlement for 1.5 million dollars for medical malpractice. I have been supporting myself for the last 5 years running a business successfully. My life goal has been to start another small business, but this settlement happened from an unfortunate circumstance and the money is a surprise. I still want to start my business, but I will have a lot of extra cash in the bank. I don't like fancy expensive things. My only "big purchase" wish is a couple root canals.
My initial instinct is to take $500k for myself and invest the rest, stretching interest as long as I can.
I don't know anything about investing!!! However - They are offering me a structured settlement annuity with a 4.7% interest rate over 25 years at whatever dollar amount I'd like. However I don't plan on having kids or getting married and I'm not even near retirement so this seems like a really long term thing for an investment with no flexibility or liquidity. I know they will tell me at the meeting it's my best option because they wanna sell it.
Is there an annuity with a higher interest rate over a shorter (10/15 year) period that's a better way to get income payments while using the rest of my money to work? I don't know anything about stocks and bonds but the risk worries me after Covid.
My goal is to get my business up and running but I'd also like to know if shit comes to shove I could make the 1 mill stretch to pay the bills for at least 30 years or so. I don't want to sit on my ass spending it and end up eating cat food at 50. I'd like to make my money work for me!
Submitted October 25, 2022 at 08:19PM by baby_meesh https://ift.tt/sfeyw52
