Not true. If you put $5mil (assuming tax free) in an investment fund that gained a very conservative 3% per year you would earn $12,500/mo. Even if you never touch the principle you still come out way ahead of the $5k option.
I already make enough to live comfortably, so I would take the $5M and put half in safe investments and the other half in higher risk, bigger potential gain investments. After an as of yet indeterminate amount of profit, I would open up my own lab and get into what I really want, which is to go back to school and get another degree (in nanoscience this time) and start curing diseases from the molecular level, before they even have a chance to become a disease.
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· 7 years ago
You remember that scene in office space where Peter asks Samir what he would do with a million dollars and Samir doesn't get the question? You are Samir.
Yes, but we would use all of the 5 million at once and then be left with nothing. The better option is of getting 5k every month where you can save and use the money considerably wisely
I'm not greedy. 5K a month would do me just fine. I'm not willing to pay the taxes on 5M, and I'd end up being reckless with it. Can't be as reckless with 5K a month.
5k a month would let me live 4+ times more comfortable than I live now and I wouldn't have to work...And I wouldn't blow it immediately. Much smaller taxes taken out. I may not live 83 years but the guarantee of comfortable living each month. Hell yes. Please. Bring it.
$5 million now. Time value of money: it's worth more now because of depreciation and because you have more time to invest it. Also, I probably won't live 83 more years anyhow
5000; i barely ever spend money, and i cant imagine spending more than 5k a month. I'd never have to work for the rest of my life and I could live like a rich person. Basically I have no reason to take the 1st option because i dont have any wants that require it
Since I started investing in 1987, my nest egg has returned 8.6% per year. So, the 5 mil would be ~400k a year without touching the principal, or 32k per month...much better than the 5k alternative. If I have to pay taxes on the amount, so be it, but it's not like you wouldn't pay taxes on the alternative as well, right?
The only advantage to the 5k per month if if you do something dumb with your 5 million and lose it all. But, i suppose that if someone is waiting with a "gotcha," the 5k per month choice might also mean you die in month 2.
The only advantage to the 5k per month if if you do something dumb with your 5 million and lose it all. But, i suppose that if someone is waiting with a "gotcha," the 5k per month choice might also mean you die in month 2.