What would you do with 100k inheritance

[Savannahview]

Ok, so I've named changed and I'm reluctant to ask people in real life! I will be shortly inheriting approx 100k. We have a mortgage of approx 98k with 12 years left. We are comfortable but not high earners. About 5k on a credit card. 2 teenager kids. What would you do?? Spend, save or abit of both! I do want to enjoy some of it, my parents both died young so I am a firm believer in living life whilst you can!

Pay off the credit card, put money away for kids driving lessons and first car, make sure the house is up to date, have a lovely holiday, then invest it and over pay the mortgage every month

Chunk into savings for children/ringfence some for first cars.
Get a new bathroom.
Take the kids on a holiday.
Pay off a hefty chunk of mortgage.

Pay off as much of the mortgage as you can without incurring penalties and pay off the CC. Put 20k in an ISA before 6th April then another 20k after.
100k will incur a lot of interest but unless it’s in an ISA you’ll pay tax on it.

Thank you. In regards to the mortgage, is it better to overpay monthly than pay a lump sum? Id rather not pay charges!

I have opened an ISA in preparation already so will pay in the maximum

Pay off the credit card and put £10K to one side for each child - I'd save that for ten years or so - I wouldn't use it for cars or for them to go off travelling.

I'd use £5K on a holiday.

You'd be left with £70,000. I'd stick £20K in savings and pay £50K off the mortgage.

I'm sorry you lost someone but how lovely to have this money - it'll make such a difference to your lives.

The £10K I suggested for each child should be put into your names, not theirs. Honestly, you never know what's going to happen in the future and previously sensible kids can go wild if they get a lump sum.

Pay off your mortgage.
Take legal advice about protecting your contribution in case marriage goes tits up.
You’ll then have more disposable income to spend and save and the roof can never be taken away from you. Security is key.

What are your pension arrangements? After paying off your CC debt, making sure your pensions are fully funded is the next priority.

For me it would all go into ISA and SIPP contributions. I personally don't save in my children's names but will help them with specific purchases in the future.

If you pay off mortgage, you can max the tax breaks from your wages for SIPPs.

What rate are you paying on the mortgage and are you on a fix? If so, when does it end?

I've saved most of mine at the moment as we're planning on doing some work on the house (we also inherited and moved into) so waiting for plans and quotes for that!

But have also spent some on silly things which we wouldn't have maybe spent on like my little girls first birthday party which my Dad would have enjoyed!

Will keep some earmarked for little girls future too!!

ISA - £20k now and £20k on 6th April.

I’d put £15k into my pension - I’m 52 and hoping to retire at 57.

Gig tickets, theatre tickets.

City break.

£10k aside for each child. Maybe £150 each to enjoy/squander now on the basis that life is indeed short, even if it all goes on Xbox credits and trainers.

A bottle of champagne to toast the deceased.

Remainder to mortgage if no penalties.

Mortgage.
Then you can use what you weee spending on the mortgage on holidays etc.

You will save tens of thousands in interest.

Do the maths.

New kitchen. Savings. Mortgage. Holiday to Thailand.... not in that order!

We are on a 5 year fix at 4.73%.
I feel a little bit overwhelmed tbh!

50k off the mortgage
10k for an amazing holiday
39k spare to cover teens driving lessons, uni top ups and possible deposits.

When does your fix come to an end? How much can you overpay off the capital before incurring fines?

Id pay off credit card, put £5k aside for luxuries eg a holiday, £40k into saving for dc university or other essential costs, if no penalty id put the rest into the mortgage to reduce the term significantly (will be more than half as lower interest), but if there are penalties id pay the max off without penalty, usually 10%, then put money aside for future mortgage pay off

£70K mortgage.

£20K in the ISA you’ve opened.

£5K on a holiday.

£5K on debt.

Pay off as much as you can without penalty on the mortgage, pay off credit card, put rest away to pay off total mortgage when fixed term ends. Them I’d stop borrowing on credit cards and save for stuff.

Personally, I'd pay off the car as a priority, then use whatever is left to pay off the bulk or all of the mortgage. Being free of debt is such a liberating experience. The income that you then have left spare each month because of not servicing debts would then be set up as standing orders paying into SIPPs and/or stocks & shares ISAs. The lack of debt and the power of compound interest on your investments should put you in a very enviable position very quickly.

I think it's very important to get that money committed into working for you ASAP, or you will fritter it away instead of building wealth. You are incredibly fortunate - make the most of this incredible opportunity to have a much more relaxed life.

We’ve been in this situation but were at the very beginning of our lives so helped us get on the housing ladder.

Nowadays I would go on a good holiday, save/invest the rest. Maybe just premium bonds as we’ve had good luck with those in the past - the more full your account is the more you tend to win, better than the interest rate on a savings account when we did it.
Also we need a new bathroom so that, but ugh such a drab idea.

Neither child will go to uni - eldest has started an apprenticeship and youngest has some additional needs so will be with us for some years yet I think! They have both inherited 1k - I would like to save for them on top of this as I have never been in the position to do this.