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Hi, I have a question. The company that I work for is probably going to be sold off. I will recieve $1,000,000 in cash at the settlement.

I am 42 with a spouse and child. I am going to be doing charity work if/when the business is sold.My sole source of support will be the investment income from the payout.

Can anyone help? Do I invset in mutual funds, the dow 10 or do I seek prof. investment help with a pay for service arrangement.

Thank You !!!
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First, send me the entire amount (in small bills).

Second, with what you have left put it in a safe haven until you can make a good decision and invest wisely. With that amount you need to make a good investment not a quick mistake.

Third, don't forget to do the first suggestion.
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M3651C.

I do not have THE answer. You need to look at several options.
In the meantime, there is nothing wrong that I can see putting the money in an Index fund (ie:Vangard or S&P) while you gather information and knowledge.
H.
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Hi, I have a question. The company that I work for is probably going to be sold off. I will recieve $1,000,000 in cash at the settlement.

I am 42 with a spouse and child. I am going to be doing charity work if/when the business is sold.My sole source of support will be the investment income from the payout.

Can anyone help? Do I invset in mutual funds, the dow 10 or do I seek prof. investment help with a pay for service arrangement.


First of all, do not rush into anything! Put perhaps 5-years worth of living expenses (at most, considering your age) into a money market fund to live off of without the need to sell the stocks you will buy with the rest of the money should the market go sour for a few years. Put the rest into an S&P 500 Index fund (such as the Vanguard one) until you have a better idea what to do.

Then begin a process of self-education. You will be able to learn a lot in three months or so if you apply yourself. During that time, follow the following program of self-instruction (you need not be religious about this, but if you leave something out, find something equivalent to take its place).

Enroll at The Fools' School (as a Fool participant, you are automatically granted a full scholarship, provided you do the homework assignmemts) and study first The 13 Steps. Find them at URL:

http://www.fool.com/school.htm

You may then wish to embark on a reading program. Consider "The Motley Fools Investment Guide" by the Gardner Brothers, "The Intelligent Investor" by Benjamin Graham, "Common Stocks and Uncommon Profits" by Philip A. Fisher, and "The Unemotional Investor" by Robert Sheard. There are others, but that is a good start.

Read as many of what I would call essays that are available daily at The Motley Fool. The most expeditious way to find these is to go to URL:

http://www.fool.com/foolwatch/foolwatch.htm

A list of hot-links is posted there every day (old ones remain for about a week) that you should follow. Follow all of them for one day. From that you will find some that speak to your condition (as the Quakers say) and some that do not. Remember the ones that do not in case your needs or interests change, and follow the others with as much regularity as you can. There are discussion groups (news folders) for most of these.

When you have done all that, or even before, do not hesitate to post more questions.
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Hi, I have a question. The company that I work for is probably going to be sold off. I will recieve
$1,000,000 in cash at the settlement.

I am 42 with a spouse and child. I am going to be doing charity work if/when the business is sold.My
sole source of support will be the investment income from the payout.


Is this after tax? Could lose 50% depending on state and how the money is paid.

What are your living expenses? You may have 25,000 to 30,000 a year to live on if you have a 50% tax.

Can you aford not to work?
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Congratulations! You have a magnificant problem to solve.

I see that you have been getting much advice in response to your query, not the least of which is the very well-considered response by JeanDavid at Post #344.

I would recommend that you include the stock of Berkshire Hathaway Corp (BRKA and BRKB) in your study for the best place to let your money grow for the long term.

See my Posts # 307 and 308 for a place to start your study of BRKA/B. They include, inter alia, the site for BRKA's home page which includes many of the tell-it-as-is writings of Chairman Warren E. Buffett, the Sage of Omaha.

Good fortune in your quest.

/s/ Tom Foolery
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