Comments on: What to Do with a Windfall http://www.getrichslowly.org/blog/2006/05/30/what-to-do-with-a-windfall/ Personal finance that makes cents. Common sense advice on topics from high interest savings accounts, frugality, cd rates, money market accounts, mortgage rates, how to get out of debt, money management and more. Thu, 18 Mar 2010 20:31:39 +0000 http://wordpress.org/?v=2.7.1 hourly 1 By: Susan http://www.getrichslowly.org/blog/2006/05/30/what-to-do-with-a-windfall/#comment-217085 Susan Thu, 07 Jan 2010 03:50:32 +0000 http://www.getrichslowly.org/blog/2006/05/30/what-to-do-with-a-windfall/#comment-217085 We have sold our business and will be getting a large amount of money. Since we have little retirement savings-what is the best way to save the most and get taxed the least? We have sold our business and will be getting a large amount of money. Since we have little retirement savings-what is the best way to save the most and get taxed the least?

]]> By: VinTek http://www.getrichslowly.org/blog/2006/05/30/what-to-do-with-a-windfall/#comment-163 VinTek Tue, 30 May 2006 21:29:52 +0000 http://www.getrichslowly.org/blog/2006/05/30/what-to-do-with-a-windfall/#comment-163 I consider everything outside of my regular salary a windfall, no matter how small, and apply it to savings/investment. I get a bonus at work, it's a windfall. I get a tax refund, it's a windfall. I get a $15 mail-in rebate for some widget I purchased, it's a windfall. The reason I do this is because I lump income into 2 basic categories: income that I can depend on, and income I can't depend on. Anything I can't depend on is a windfall and useable for future growth. I allow enough money out of my "regular" income to have "treats" so I don't feel deprived. I must say, it's worked rather well over the years. I think it's helped me save a lot more than I would have otherwise. I consider everything outside of my regular salary a windfall, no matter how small, and apply it to savings/investment. I get a bonus at work, it’s a windfall. I get a tax refund, it’s a windfall. I get a $15 mail-in rebate for some widget I purchased, it’s a windfall.

The reason I do this is because I lump income into 2 basic categories: income that I can depend on, and income I can’t depend on. Anything I can’t depend on is a windfall and useable for future growth. I allow enough money out of my “regular” income to have “treats” so I don’t feel deprived. I must say, it’s worked rather well over the years. I think it’s helped me save a lot more than I would have otherwise.

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