What to do with 130k
Hi everyone, so I just started as a an1 I have 130k in liquid cash/savings. I’m not commenting this to boast or anything at all, I made this during the peak of drop shipping in college and just saved it and looking for real advice.
But what is the best way to save/allocate this. Genuinely do not know where to start especially just starting in my career. Thanks!
Park it into VOO and forget about it for 20 years
What’s VOO?
Google is your friend. It's the Vanguard equivalent of SPY, it's a broad S&P 500 index
VOO and IVV have much lower expense ratios than SPY which is why people prefer it.
Get what you're saying, but feel this play is now overcrowded.
park it in VOO. dollar cost average it if you're feeling crazy
VOO or Nasdaq. Should be good
30,000 in a money market account earning 5%. 100,000 on 0DTE calls on TQQQ.
Perfectly balanced, as all things should be.
Spend money to make your life easier. House keeper, noniron clothing, high-quality versions of stuff you have, etc. Consider if there are any courses or training you could take to make you better or more efficient at your job. If you've already maximized these, invest the rest into your favorite low-fee index funds.
You accidentally put the words “non-iron” and “high quality” in the same sentence…
This statement does not disprove my point. Go troll somewhere else.
Financial order of operations:
Deductibles Covered: This step involves having enough money in savings to cover any insurance deductibles.
Employer Match (Free Money): If your employer offers a match on retirement contributions, take full advantage of it.
Eliminate High-Interest Debt: High-interest debt, like credit card debt, should be paid off as quickly as possible.
Emergency Reserves: Save 3-6 months of living expenses in an easily accessible account for unexpected expenses or income loss.
Max Out Roth/Traditional IRA: If eligible, contribute the maximum allowed to a Roth IRA or traditional IRA for additional tax advantages.
Max Out HSA (if applicable): If you're eligible for a Health Savings Account (HSA), consider maxing out your contributions. HSAs have triple tax advantages: the money you put in is tax-deductible, it grows tax-free, and withdrawals for qualified medical expenses are also tax-free.
Max Out 401(k), 403(b), or 457: After you've maxed out your IRA and HSA, consider maxing out your workplace retirement plan.
Taxable Investment Account: After maximizing tax-advantaged accounts, consider investing in a taxable brokerage account.
Low-Interest Debt: This step involves paying off any remaining low-interest debt.
Prepay Mortgage: The final step is to prepay your mortgage, if you have one.
This needs to be required reading to access WSO. +1
it also “ sounds “ eerily like chat gpt
Agree with the consensus here - open an investment account (think Fidelity or Schwab, not Robinhood, so you aren't forced to close it when you start) and put it into VOO, SPY or IVV (all really the same - you want broad market exposure here)
Then forget about it for 20 years, just go in once a year and reinvest the dividends. Passive wealth building becomes very easy.
Go QQQ
Throw it all in Meta tomorrow, big earnings move Wednesday. I feel it in my bones, 370. Have 22k worth of call options on the line
congrats
They didn’t want us to win. GOD DID 🫡 160% return
Wow, nice job earning $130k on drop shipping, guess there is money in that.
OP here, there definitely was for some time which i took advantage of but it didn’t last. I tried to replicate it again but market is to saturated
DELTEE
A little bit of this, maybe if you’re not very risk adverse a little of that too
Have you considered business or franchise opportunities?
I wouldn’t have the time for that anytime soon
I completely understand that time is a valuable asset. We do have franchise and other business opportunities that offer a more hands-off approach where you can be an absentee owner or passive? This could be a lucrative way to put your cash to work without requiring a significant time commitment on your part. Happy to discuss this further if it piques your interest!
Odio velit quibusdam impedit qui. Sed ea impedit fuga voluptatibus non odio voluptas. Repudiandae sit mollitia quam praesentium consequatur adipisci. In sunt commodi officiis explicabo itaque ipsam.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Molestias dolor qui impedit quisquam alias porro eos. Voluptate dolor eveniet corporis et. Nostrum ratione expedita quis inventore. Nobis aut animi eaque est fuga non.