4 years ago I was injured due to a construction crew’s negligence and, after 4 long years, 4 construction companies + a municipality decided to settle for a total of $55,000. After lawyer fees it will amount to approximately $36,000.
I am completely unsure how to spend/save/invest the money and it is a truly life changing amount for me. I need advice about how to responsibly budget and invest so that I can improve my life in the present but also develop a foundation for financial independence in my future. I understand that this amount of money is not enough to achieve all of my goals but I am looking for direction and advice as to how I can use the money to get the ball rolling.
Please, let me know how to avoid squandering such an important opportunity at such a pivotal point in my life and be as vague, specific, or judgmental as you want.
My goals with this money are (in no particular order):
-Quality of life improvements (obtaining higher quality daily use and “buy it for life” items for anything from wardrobe to kitchen to technology)
-Facilitating my “maker” hobbies and becoming more well rounded in fabrication, electronics, woodworking, etc
-Treating my girlfriend with some nice gifts and an affordable (cheap) vacation (think camping or road trip not resort or international)
-Buying a car
-Investing into long term investments
-Having a 6-12 month safety net
-Investing a reasonable amount into scaling my fledgling clothing business
-Creating art and possibly a mutant vehicle
My situation:
-I am 25m
-I owe approximately $1000 on my car (loan is in my mom’s name) and it is in pretty rough shape
-I have a 740 credit score (not much credit history just consistent credit card usage)
-I live in a major city in the USA
-I earn approximately $2900 per month after taxes
-I pay $800 per month for rent with no utility costs
-I have about 1 month of earnings in my bank account
-I have $0 invested in retirement/IRAs/the stock market
-I have no student debt or other debts besides my car
-I have no future inheritance or financial assistance from family
-I have access to a wide array of tools and a makerspace but I only own a small amount of tools and would like to acquire some more to not be so reliant on friends and the makerspace
Submitted October 04, 2024 at 12:45AM by CnS13 https://ift.tt/X8GIEVm
