From the editors of Money magazine
What to do with $50,000 now
1. Buy a second home. Condos for Miami are going for $50k
2. Put a bedroom in the attic.
3. Buy a sweet ride, such as a certified pre-owned 2008 BWM 750Li
4. Be a bear – Buy US multinationals Abbott Cisco IBM Kimberley Clark
5. Be a bull – Buy early cyclicals Avon Johnson Controls 3M United Technologies
6. Put it into a balanced fund 65% stocks 35% bonds, such as Vanguard’s VWELX
7. Do a cash-in refi. When you refi your home mortgage to 3.9%, toss in an extra $50k to lower your payment even more.
8. Buy an immediate annuity. Put $50k/year into one of these, and you get a guaranteed income stream for life.
9 Get a tax break. Consider a Tax-Exempt fund like Vanguard’s VMITX
What to do with $10,000 now
1. Buy museum-quality art. $10k won’t buy much, but maybe you can find a limited edition print signed by the artist.
2. Do some good. Donate to a charity
3. Protect against deflation by buying utility and telecom stocks.
4. Build a Treasury bond ladder. Treasurydirect.
5. Pick the right retirement target with a fund like Vanguard 2020 fund.
6. Play a hunch. Buy AIA for asia growth, IGV for tech gadget fever, and IYG for wall street rebound.
7. Bribe your boomerang child with $5k to hit the road, leaving $5k to remodel their room.
8. Get paid to cut your fuel bills by installing new windows, etc. with tax rebates from energystar.gov
9. Find growth on sale. Buy MSFT INTC JNJ PFE for dividend plus possible growth upside.
10. Put it in an IRA
11. Buy a long-term CD (really!) such as five-year CD that pays 2.569% from Ally Bank.
What to do with $1,000 now
1. Hit the electronics store and buy an HDTV like Sony Bravia KDL-46EX500 for $990
2. Do some good. Donate to a charity.
3. Buy coffee and cotton. Stock up for your family now, or buy Powershares Agriculture ETF DBA
4. Take an investing class or goto a conference or read some investment books
5. Nab a deal on fine wine, such as 10 bottles of 2006 Dominus Cabernet Sauvignon
6. Fight your property tax bill. Hire a property tax appeal expert to lower your property taxes.
7. Pick a low-fee 529 plan for your children.
8. Get more from your savings, such as a 1.35% savings account with Discover Bank
9. Create a diversified portfolio buy buying micro-positions in Schwab’s no-commission ETF products.
10. Open a DRIP in HNZ, MAT, PEP, WMT as an alternative to savings bonds.
11. Beef up on long-term disability coverage.
12. Put it away for retirement.
13. Enhance curb appeal of your house by upgrading to a new steel door.
14. Hire a great investment manager on the cheap such as Bill Gross’s Harbor Bond (HABDX) fund.
15. Join Costco, AAA, YMCA, and Weight watchers to save money and improve your health.