I am driving home the other day and I’m greeted with a great site for my eyes — a gorgeous rainbow.
You might never have to think about what to do if you found a pot gold or hit the lottery jackpot. But you might have to plan for money or property you inherit, an unusually large bonus from work or other found money. With that said, what are some good things to do with your new found funds? I’m sure some of the things that your heart desires will quickly come to mind, like a new motorcycle, a new boat or that dream around the world vacation. I recommend the first thing you should do is just place the money into very liquid and safe account(s), and then just wait. Yes, I suggest you just wait for at least 6 to 9 months and do nothing rash with the funds. The 6 to 9 month waiting period is to provide you with a cooling off period to fully think things out.
During this cooling off period, I recommend you surround yourself with good counsel, like a Certified Financial Professional, an Attorney, a CPA and others. Use the assistance of 1 or more of these trusted advisors to help you come up with a sound financial strategy and plan. This sound strategy should include mapping out a plan to cover your basic needs and any debts, a method to reach your long term goals, incorporate efficient taxation along the way, and provide for any gifts you want to give. A few fun things should be included in the plan too, as part of a sound plan. Now that you have gone through all the trouble to create a plan, you should not forgo the next step and forget to implement the plan. With all the time to think and work on the plan, the implementation should be the fun part.
The monitoring step which is next is one which is often neglected. Many times after implementing a plan people just let it go on autopilot. Since financial plans are not created with crystal balls, they require monitoring and tweaking from time to time to keep things flowing smoothly.
As I was thinking of my pot of gold on this day, I had a first for me.
I saw a double rainbow. It was indeed a day filled with wealthy experiences.
Until next time and remember you do not have to have a fortune to start creating one!
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Author
Isaac is a Fee-Only (no products sold) Certified Financial Planner® Practitioner. Isaac founded Stalwart Financial Planning with offices in Fayetteville NC and Durham NC. Isaac provides comprehensive planning and investment management services to individuals from all walks of life. Isaac can be reached by phone at 910-867-8464, or by email (iallen@StalwartPlanning.com). Visit him at Stawart Financial Planning www.StalwartPlanning.com.