What to do with inheritance??

[Artemis6]

My Auntie died last year and and left me £10,000.
I’ve used £725 of it to pay for a short family UK break in August.

Now I’m wondering what to do with the rest.

My sensible head says save it for the future....if the DCs go to Uni etc.

I’ve never had an inheritance before...unlike earned money, I feel like it should be spent more sensibly.

???

Any short term debts? They should be first priority. Any work to your house that would be a permanent reminder of the gift?

How old are dc, do you have a mortgage or debts. I am sure your Auntie would like you all to enjoy spending some.

We are lucky enough to be mortgage-free with no other debts.

We could definitely do with some new sofas for the lounge but that feels a bit boring!

My Auntie would be happy for me to spend it on whatever I like.

I did 3 things with my inheritance: saved some, treated myself/family and gave around 1/20 away to select worthy causes. Although I rather boringly bought a new sofa (recommended, it is SOOO much more comfortable) I have to say the last item has given me the greatest pleasure, eg I paid a solicitor bill for a lady I knew escaping a nasty marriage - I knew which solicitors and paid direct, it was only £200 but she had worried herself sick with how she would pay as the bill came in at completely the wrong time for her, I treated a friend with 2 disabled kids to an evening at the spa with her mum (arranged with her mum who sorted baby sitters on the proviso friend wasn't told who funded the trip and sitters), as well as donate a little to some local charities I think worthy of support.

I’d definitely spend some of it on sofas if that’s what you need.

How old are the kids? While you’re waiting to decide make sure it’s in a high internet savings account - you’ll accrue a few hundred pounds a year in interest while you choose!

I think some for sofas is great, you can remember her every day that way. Also treat yourself to something nice

Is there a nice piece of jewellery or watch you've always wanted?

Unless you can get a return rate better than inflation it will effectively losing value.

You could put £2k each child, or vary according to number into an ISA for uni, first car, apprenticeship course etc.

And new sofa, bigger holiday with the rest?

DCs are 26, 17 and 15.

Money is in Premium Bonds right now. Had a £250 win last month!

I do spend a lot of time on the sofa so I guess a new one is a sensible investment!

Could you use some of it to buy premium bonds? That way you can have the money back when you need it for DC's uni, but in the meantime you stand a chance of getting a win every month. I have some and it's really fun thinking I could be a millionaire every month. I often have small wins and use the money for treats rather than essentials. Still waiting for the big one.

This type of spending I find hard and would probably feel guilty if I went down this route!

We’re waiting for the big one too 🤣

You could be super boring with the DC and stick £2k in a pension each for them.

They will hate you now but love you once they hit 50!

That's so lovely 💕

Dh inherited money last year.he has decided we will use 2K of it each year to go on holiday and make memories. If holiday costs more we will add to it ourselves.

In your shoes I would aquire another dpuppy. When it was past the chewing stage I would get a new sofa!!

Are your dc if you have, any set up with isa, stocks and shares isa and a cash isa?

If not I would put 500 into each one.

Buy new sofas definitely

Keep some in pb and invest the rest yourself unless you're already set up.

Windydaysandwetnights
One Labrador is more than enough canine for me 😂

We've paid into savings accounts for DCs since they were born.

I know you said you’d feel guilty if you treated yourself to a piece of jewellery but you’ll think of your auntie every time you wear it.

Get sofas if you need them. I think I would consider the person who left the money and think about what they loved, if they loved travelling, I wouldn’t feel bad about using it for a holiday, for example.

Try to pop some away if you can but don’t feel guilty about spending some also, your auntie would want you to put it to good use!

@Artemis6.

Savings account in bank or proper junior isa stocks and shares.

Big difference and great opportunity to teach investing.

I had an inheritance from an aunt recently. I used it to learn to scuba dive which I'd always wanted to do but could never justify the expense. I spent the remainder on diving trips and equipment. DH said as it was my uncle it was my money to do as I pleased 😁. He did get a nice week away out of it I hasten to add!! I think my aunt would have been thrilled to bits about it, I have many amazing memories now and I always give a quick 'thanks aunty Annie' at the end of each dive.

DollyTubb that sounds great.

My DH is also very much for me spending it on what is like and he, too as well as the DCs, are benefitting from a short breakaway because of it.

When DD turns 21, I will turn 60 and we’ve talked about going to New York together to celebrate, so I’m going to earmark 2K for this and leave it in the Premium Bonds.

As for the rest, I still don’t know. A nice problem to have, I know.