How to plan for this “windfall”
30m. Single. Accountant. No debt. Low fixed expenses. MCHOL area. $85k salary and $5k bonus.
During my taxes this year I found that my parents had 2 accounts in my name they set up for me. $100k in a HYSA and $150k in American Funds AWSHX.
Me currently before finding out. 401k - $125k. ROTH IRA: $25k. Brokerage: $60k. Emergency savings: $30k.
My current options on what to do with this $250k.
Treat both as retirement. Move $100k into a low cost ETF brokerage account. Slowly move AWSHX into a brokerage account bc I will pay taxes on it. AWSHX has a very high expense ratio. This allows me to pull back my retirement savings a little (currently putting 25% into retirement without employer match) and focus on short/long term goals.
Move AWSHX slowly into brokerage low cost etf and treat as retirement and keep $100k as a large emergency fund and move mine into my brokerage for future goals. Or vice versa and move $100k HYSA into brokerage just keep AWSHX and not touch it.
Note: I am so grateful for this and what I explained to them was I feel like this wasn’t earned but I want to do with this whatever can help my future self. I’ve considered talking to a financial planner to set some scenarios up for this on what if I do this or that. Either way I will still always max my ROTH, invest in 401k and try to live below my means.
I guess I’m on Reddit to get some other ideas. Please bash me as much as you want bc I love Reddit.