So, I have just arranged with my SD an allowance that is pretty hefty. He and I are concerned about the arrangement of receiving the money because I will be getting well over $14,000.
We want to keep this arrangement as discreet as possible. We know that we can use cash as a way to have less of a paper trail but I want to invest my money into a brokerage account as well as save it and develop an emergency fund.
If I have thousands of dollars cash in a safe, what if the house burns down? How do I invest cash? Should I spend the cash on everything else and use the $14,000 I am allowed to get towards my investment funds?
So I guess my REAL question is, how do I keep my money discreet AND safe at the same time? Feel free to comment on my other questions as well.
My email is [email protected] or comment below.
Good on you girl, there are all sorts of stipulations with that kind of money.
I wrote a blog about this, you can apply the old school method of paying for bills and grocerys that I talk about in the blog.
Also, is he giving it to all in one shot? If so, do NOT put it all in the bank at one time.
Get a fire proof safe and put some in there. If your house burns down and the money goes with it you are SOL.
As for investments, I have a method that leaves less of an electronic trail. Though you will have to do it in baby steps.
I’m going to email you, for privacy, some details.
I wrote a blog just about that a while back. Here’s the link:
When I refer to safe, it means renting a safe in a bank, and not at home If it is helpful, please support with a like (heart icon)
@malia I have read your blog and it was super helpful! I’m just working with a lot of money so I didn’t think all of those options would be enough. It was very helpful though! Now that I have an account on here I will go back and heart it. Thanks
Ellie I emailed you but my email address ends up in spam sometimes so if you don’t see it in your inbox check spam folder.
Ellie, if it is a lot to invest you may want the help of a professional financial advisor and accountant for tax issues. Showing too much cash can create a havoc with the IRS and state tax authorities, so thread very carefully.
If you don’t need the cash for the long term, you can consider tax deferred accounts as investment.
However you will need to show taxable income so you can do so via an employer, consultant using your own SSN or open a company and invest via a SEP IRA.
If you will still need money for education related expenses, then 529 accounts are great where the limits can go up to around $250,000. Your SD can make an exception rule contribution equivalent of 5 years in just one year…can’t remember if it’s 60,000 or 70,000.
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