Sold my Business (2.2 Million)! Where to store proceeds while I think?

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Topic Author
Jon_PassiveInvestor
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Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 8:42 am

I sold my business a few weeks ago for 2.2 million and I couldn't be more elated. My original plan was to store 250k with Ally but now their saving account interest is only 1.9%. Should I just keep the majority of the funds in VUSXX and a modest amount in Ally Savings for monthly living expenses?

What would you do in this situation? I want safety while I decide on next steps in life. I'm also taking a momentary mental break as my brain from running this business.

I appreciate any advice. Thank you!

Dave55
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Dave55 » Tue Aug 27, 2019 8:49 am

Congrats. Your plan sounds fine. I would keep 3 months in the Ally and the balance in VUSXX.

Dave

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Vanguard Fan 1367 » Tue Aug 27, 2019 9:19 am

I would feel ok with Vanguard's Prime Money Market Fund. But for you it might not be worth the little extra that you get with it, today it says that the yield is 2.13%

I also have done well with Vanguard's Tax Managed Balanced Fund which is 50 percent Stocks and 50 percent Bonds. (VTMFX) But of course with that fund if the dreaded Bear Market comes or if interest rates rise rapidly you could see a drop in value. But for me since reading John Bogle's books I have noticed that a balance of Stocks and Bonds has a pretty nice long term return and you do have some protection from the Bear market with the Bond portion of the fund.

csm
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by csm » Tue Aug 27, 2019 9:25 am

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
My original plan was to store 250k with Ally but now their saving account interest is only 1.9%.
Why not put the $250k in Ally no-penalty CD at 2.20% or even some of it in an 18-month CD at 2.5%?

And congrats on selling your business!
Last edited by csm on Tue Aug 27, 2019 9:25 am, edited 1 time in total.

Topic Author
Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:25 am

Vanguard Fan 1367 wrote:
Tue Aug 27, 2019 9:19 am
I would feel ok with Vanguard's Prime Money Market Fund. But for you it might not be worth the little extra that you get with it, today it says that the yield is 2.13%

I also have done well with Vanguard's Tax Managed Balanced Fund which is 50 percent Stocks and 50 percent Bonds. (VTMFX) But of course with that fund if the dreaded Bear Market comes or if interest rates rise rapidly you could see a drop in value. But for me since reading John Bogle's books I have noticed that a balance of Stocks and Bonds has a pretty nice long term return and you do have some protection from the Bear market with the Bond portion of the fund.
I'm going to stick with 3-6 months in Ally earning 1.9% then rest in VUSXX for now. I like the safety of the fund while I think things through for my next business venture. I could not stomach a bear market as my cash flow from business is at ZERO now!

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:26 am

csm wrote:
Tue Aug 27, 2019 9:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
My original plan was to store 250k with Ally but now their saving account interest is only 1.9%.
Why not put the $250k in Ally no-penalty CD at 2.20% or even some of it in an 18-month CD at 2.5%?

And congrats on selling your business!
This is new to me. I might do this with 250k. Great idea!

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:27 am

Dave55 wrote:
Tue Aug 27, 2019 8:49 am
Congrats. Your plan sounds fine. I would keep 3 months in the Ally and the balance in VUSXX.

Dave
I'm definitely leaning towards a setup like that. Thanks!

bikechuck
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by bikechuck » Tue Aug 27, 2019 9:32 am

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:26 am
csm wrote:
Tue Aug 27, 2019 9:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
My original plan was to store 250k with Ally but now their saving account interest is only 1.9%.
Why not put the $250k in Ally no-penalty CD at 2.20% or even some of it in an 18-month CD at 2.5%?

And congrats on selling your business!
This is new to me. I might do this with 250k. Great idea!
I use Ally No Penalty CDs for my pocket change but I would buy five $50K CDs so if you need access to some of this money you can cash one in leaving four alone earning today's interest rates. Of course if interest rates rise there is no downside to trading these out to take advantage of the higher rates.

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Sandtrap
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Sandtrap » Tue Aug 27, 2019 9:35 am

Based on having been in your position:

1. Take a break from the stresses of business that have brought you success. Likely, this is the first break you've had in years if ever, since you started your business.

2. Your plan is a good one. Do not "invest in funds". The potential volatility will not help reduce stress, in fact, it will add more stress of a different kind at this point.

3. Resist the "urge to do something" with your money besides putting it in a safe place. Don't chase returns. Don't chase yields.

4. Read this carefully, if not, memorize it:
MANAGING A WINDFALL
https://www.bogleheads.org/wiki/Managing_a_windfall

5. You will be getting a lot of advice from friends, etc, based on "what I would do if I had that money or in your position", which is far different from the experiential experience of actually having millions or 10's of millions in one's hand. So, listen with discretion. It's your money to lose. And, at this point, you likely have more to lose than to gain going forward.

6. There is no time frame to "do something" with your money, whether invest in the market, in another business, or just put in a safe place (Money Market, Treasuries, CD's, etc) and continue to take a break as you need. It can take from months to years for people to implement a sensible well thought out financial plan. Use the same methodical and strategic approach to this as you did to create your business success.

7. In the meantime, while you are "taking a break", read the WIKI thoroughly, from soup to desert. After doing so, you will know more than most Financial Advisers and feel more comfortable with things.
GETTING STARTED
https://www.bogleheads.org/wiki/Getting_started

8. As you formulate your own ideas, you might feel comfortable getting suggestions through a forum "portfolio review". But, be sure you have a solid strategy going forward and clear short and long term goals before doing so. Othewise your questions and input/responses will just be random.

9. Consider getting a pseudo PhD in "personal investment finance" the next challenge for you. (assuming what knowledge you already have, and not knowing your plans).

10. Actionably: Open various trust or personal accounts at Vanguard, Fidelity, and/or Schwab, and distribute your funds in Short Term brokered New Issue CD's, Money Market or Treasury funds, etc. *Keep It SImple". FDIC coverage is 250k per account or if trust account then 250k per beneficiary. (verify)

11. Look into estate planning. (seek legal counsel) If you have considered or have a trust then the accounts can be opened as trust accounts.

*You've come to a good place with a vast and deep well of knowledge and financial and life experience to tap into as you wish.

Congratulations on your successes.
:sharebeer
j
Wiki Bogleheads Wiki: Everything You Need to Know

Topic Author
Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:38 am

Sandtrap wrote:
Tue Aug 27, 2019 9:35 am
Based on having been in your position:

1. Take a break from the stresses of business that have brought you success. Likely, this is the first break you've had in years if ever, since you started your business.

2. Your plan is a good one. Do not "invest in funds". The potential volatility will not help reduce stress, in fact, it will add more stress of a different kind at this point.

3. Resist the "urge to do something" with your money besides putting it in a safe place. Don't chase returns. Don't chase yields.

4. Read this carefully, if not, memorize it:
MANAGING A WINDFALL
https://www.bogleheads.org/wiki/Managing_a_windfall

5. You will be getting a lot of advice from friends, etc, based on "what I would do if I had that money or in your position", which is far different from the experiential experience of actually having millions or 10's of millions in one's hand. So, listen with discretion. It's your money to lose. And, at this point, you likely have more to lose than to gain going forward.

6. There is no time frame to "do something" with your money, whether invest in the market, in another business, or just put in a safe place (Money Market, Treasuries, CD's, etc) and continue to take a break as you need. It can take from months to years for people to implement a sensible well thought out financial plan. Use the same methodical and strategic approach to this as you did to create your business success.

7. In the meantime, while you are "taking a break", read the WIKI thoroughly, from soup to desert. After doing so, you will know more than most Financial Advisers and feel more comfortable with things.
GETTING STARTED
https://www.bogleheads.org/wiki/Getting_started

8. As you formulate your own ideas, you might feel comfortable getting suggestions through a forum "portfolio review". But, be sure you have a solid strategy going forward and clear short and long term goals before doing so. Othewise your questions and input/responses will just be random.

9. Consider getting a pseudo PhD in "personal investment finance" the next challenge for you. (assuming what knowledge you already have, and not knowing your plans).

10. Actionably: Open various trust or personal accounts at Vanguard, Fidelity, and/or Schwab, and distribute your funds in Short Term brokered New Issue CD's, Money Market or Treasury funds, etc. *Keep It SImple". FDIC coverage is 250k per account or if trust account then 250k per beneficiary. (verify)

11. Look into estate planning. (seek legal counsel) If you have considered or have a trust then the accounts can be opened as trust accounts.

*You've come to a good place with a vast and deep well of knowledge and financial and life experience to tap into as you wish.

Congratulations on your successes.
:sharebeer
j
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:39 am

bikechuck wrote:
Tue Aug 27, 2019 9:32 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:26 am
csm wrote:
Tue Aug 27, 2019 9:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
My original plan was to store 250k with Ally but now their saving account interest is only 1.9%.
Why not put the $250k in Ally no-penalty CD at 2.20% or even some of it in an 18-month CD at 2.5%?

And congrats on selling your business!
This is new to me. I might do this with 250k. Great idea!
I use Ally No Penalty CDs for my pocket change but I would buy five $50K CDs so if you need access to some of this money you can cash one in leaving four alone earning today's interest rates. Of course if interest rates rise there is no downside to trading these out to take advantage of the higher rates.
Not a bad idea! I think I'll implement this. Looks like a no brainer as they are earning 2.2% in the CDs.

stan1
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by stan1 » Tue Aug 27, 2019 9:43 am

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
I sold my business a few weeks ago for 2.2 million and I couldn't be more elated. My original plan was to store 250k with Ally but now their saving account interest is only 1.9%. Should I just keep the majority of the funds in VUSXX and a modest amount in Ally Savings for monthly living expenses?

What would you do in this situation? I want safety while I decide on next steps in life. I'm also taking a momentary mental break as my brain from running this business.

I appreciate any advice. Thank you!
Are you permanently retiring? Winding it down? Taking some time off? Looking for a new opportunity to build something big? Looking for something an opportunity that gives you more time back than full up running your own business (e.g. with partners)?

Agree with cash accounts to start while you sort out your plans, especially if you are an entrepreneur at heart and expect you'll use some of the proceeds from the sale of this business to start another business when the opportunity comes up.

I'd definitely keep them separate from your IRAaccounts, although if you ever "borrowed" from your retirement for the benefit of the business it might be a time to pay some of that back. And I mean that in the broadest sense. Maybe there were a few years where you didn't have a retirement plan or where you didn't max out contributions. If so you could pull some of the windfall out and invest it in a taxable account for the benefit of your retirement.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 9:47 am

stan1 wrote:
Tue Aug 27, 2019 9:43 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
I sold my business a few weeks ago for 2.2 million and I couldn't be more elated. My original plan was to store 250k with Ally but now their saving account interest is only 1.9%. Should I just keep the majority of the funds in VUSXX and a modest amount in Ally Savings for monthly living expenses?

What would you do in this situation? I want safety while I decide on next steps in life. I'm also taking a momentary mental break as my brain from running this business.

I appreciate any advice. Thank you!
Are you permanently retiring? Winding it down? Taking some time off? Looking for a new opportunity to build something big? Looking for something an opportunity that gives you more time back than full up running your own business (e.g. with partners)?

Agree with cash accounts to start while you sort out your plans, especially if you are an entrepreneur at heart and expect you'll use some of the proceeds from the sale of this business to start another business when the opportunity comes up.

I'd definitely keep them separate from your IRAaccounts, although if you ever "borrowed" from your retirement for the benefit of the business it might be a time to pay some of that back. And I mean that in the broadest sense. Maybe there were a few years where you didn't have a retirement plan or where you didn't max out contributions. If so you could pull some of the windfall out and invest it in a taxable account for the benefit of your retirement.
I'm 31 and have a long life ahead of me (Lord willing). So, no, I'm not winding down. I'm taking a mental break for 6 months then launching a consulting business with the goal to cover our monthly living expenses and more.

I do not have any retirement savings specifically. This business sale combined with our cash emergency funds is our entire net worth. Due to the income I was making with the business, my only option would be a back door IRA.

stan1
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by stan1 » Tue Aug 27, 2019 9:55 am

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:47 am

I'm 31 and have a long life ahead of me (Lord willing). So, no, I'm not winding down. I'm taking a mental break for 6 months then launching a consulting business with the goal to cover our monthly living expenses and more.

I do not have any retirement savings specifically. This business sale combined with our cash emergency funds is our entire net worth. Due to the income I was making with the business, my only option would be a back door IRA.
In the past did you look at options like a self-directed 401K and find out you weren't eligible?

If you are 31 and have no retirement savings other than your business and cash I'd put some of the windfall into a taxable investing account for now with retirement in mind. You are on Bogleheads and we are a conservative group. If this was an entrepreneurs forum you might get some advice to hold off on retirement investments for another decade and throw it all into the next business relying on your future earning potential to make yourself whole. You won't get much advice to think that way here as I said.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Tue Aug 27, 2019 10:24 am

stan1 wrote:
Tue Aug 27, 2019 9:55 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:47 am

I'm 31 and have a long life ahead of me (Lord willing). So, no, I'm not winding down. I'm taking a mental break for 6 months then launching a consulting business with the goal to cover our monthly living expenses and more.

I do not have any retirement savings specifically. This business sale combined with our cash emergency funds is our entire net worth. Due to the income I was making with the business, my only option would be a back door IRA.
In the past did you look at options like a self-directed 401K and find out you weren't eligible?

If you are 31 and have no retirement savings other than your business and cash I'd put some of the windfall into a taxable investing account for now with retirement in mind. You are on Bogleheads and we are a conservative group. If this was an entrepreneurs forum you might get some advice to hold off on retirement investments for another decade and throw it all into the next business relying on your future earning potential to make yourself whole. You won't get much advice to think that way here as I said.
No, we didn't look at 401k options as I was aggressively growing the business with the goal of selling someday. We reinvested the vast majority of profits into the business.

I have an intro call with the Vanguard Advisory Services this Thursday to discuss some of these things, specifically placing some money in a taxable retirement account.

I'm conservative as well NOW haha. My next business will be much lower risk :)

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Sandtrap
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Sandtrap » Tue Aug 27, 2019 10:25 am

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Wiki Bogleheads Wiki: Everything You Need to Know

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welderwannabe
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by welderwannabe » Tue Aug 27, 2019 3:04 pm

Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
I sold my business a few weeks ago for 2.2 million and I couldn't be more elated. My original plan was to store 250k with Ally but now their saving account interest is only 1.9%. Should I just keep the majority of the funds in VUSXX and a modest amount in Ally Savings for monthly living expenses?

What would you do in this situation? I want safety while I decide on next steps in life. I'm also taking a momentary mental break as my brain from running this business.

I appreciate any advice. Thank you!
VUSXX.
I am not an investment professional, but I did stay at a Holiday Inn Express last night.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Wed Aug 28, 2019 11:06 am

welderwannabe wrote:
Tue Aug 27, 2019 3:04 pm
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 8:42 am
I sold my business a few weeks ago for 2.2 million and I couldn't be more elated. My original plan was to store 250k with Ally but now their saving account interest is only 1.9%. Should I just keep the majority of the funds in VUSXX and a modest amount in Ally Savings for monthly living expenses?

What would you do in this situation? I want safety while I decide on next steps in life. I'm also taking a momentary mental break as my brain from running this business.

I appreciate any advice. Thank you!
VUSXX.
That's where most of it is sitting now!

Topic Author
Jon_PassiveInvestor
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Joined: Sat Mar 12, 2011 10:23 pm

Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Wed Aug 28, 2019 11:08 am

Sandtrap wrote:
Tue Aug 27, 2019 10:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
That makes sense. I think I'll do 500k at Ally in CD's earning 2.5% as there are two of us on the account. i believe it's insured 250k per beneficiary on jointly held accounts for spouses. Rest will sit in Vanguard VUSXX. I feel very safe and protected using the Treasury fund.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Wed Aug 28, 2019 11:08 am

Sandtrap wrote:
Tue Aug 27, 2019 10:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Did you end up selling your business as well?

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Sandtrap
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Sandtrap » Wed Aug 28, 2019 11:22 am

Jon_PassiveInvestor wrote:
Wed Aug 28, 2019 11:08 am
Sandtrap wrote:
Tue Aug 27, 2019 10:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Did you end up selling your business as well?
Eventually sold 90% of my R/E income property holdings. (Apartment buildings).
Retired to "Bogleheadville".
Still own R/E income property. Would maybe be inclined to partially reinvest if another 2008/9 comes along.
IMHO: this adds to diversification of income stream and portfolio holdings. (not for everyone).
j
Wiki Bogleheads Wiki: Everything You Need to Know

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Meg77
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Meg77 » Wed Aug 28, 2019 11:47 am

Congratulations! I agree the money should just sit in a high yield savings account while you ponder next steps, but given the high amount relative to your spending needs - and given your age and plan to start another business soon - it doesn't need to be in cash for the long term.

Here is what I recommend.

1. Pay off any debt you have (assume you don't have any, but if you do obviously you can wipe this out easily).
2. Place 3 years of expenses in cash to cover your spending needs until you can live off your income again.
3. Develop an investing strategy and then dollar cost average the rest of your funds into it over at least a year. For example, start moving $50K a month automatically from your money market to a total stock market index fund each month.

Beyond that, max a backdoor Roth, max an HSA, make sure you have good insurance coverage, consider buying a home in cash if you are so inclined and plan to stay put for 5 years. Consider buying a rental property in cash if you are so inclined and want to diversify your income streams.

That's about it! Most of your energy can be put toward figuring out your next plan with regard to occupation. Cheers and congrats. :sharebeer
"An investment in knowledge pays the best interest." - Benjamin Franklin

AK62
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by AK62 » Wed Aug 28, 2019 4:03 pm

I’d talk immediately with my financial advisor/tax attorney before doing anything.

azurik
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by azurik » Wed Aug 28, 2019 7:59 pm

Congratulations! This must be an exciting time for you!

Regarding Ally Bank, although they have pretty good interest rates, they're going towards the top 2/3 of banks rather than their pole position a few years ago.

I would check BankRate for the latest rates. CIT Bank has an account called the Savings Builder offering 2.40% right now with no fees. I wrote a review about it:

CIT Bank Review: 2.4% APY interest rates

123
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by 123 » Wed Aug 28, 2019 8:28 pm

As proud of your successful sale of the business as you undoubtedly are I would encourage you to say as little about the proceeds of the sale as possible to those that don't absolutely need to know (except for your spouse). As information gets around that you're "cash rich" you'll get hassled by investment advisers and people with loan requests and/or business schemes. Who needs that? If people ask about the "big check" just say there were financing terms in connection with the sale and that it will be nice when you receive the full proceeds (it is but they don't have to know that now).

Just a suggestion.
The closest helping hand is at the end of your own arm.

saagar_is_cool
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by saagar_is_cool » Wed Aug 28, 2019 9:52 pm

Are you accounting for the taxes. On 2.2 million payout, you will atleast owe about 700k+ in taxes. I would make sure that the tax amount is in Ally or similar accounts until it is due.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:07 am

saagar_is_cool wrote:
Wed Aug 28, 2019 9:52 pm
Are you accounting for the taxes. On 2.2 million payout, you will atleast owe about 700k+ in taxes. I would make sure that the tax amount is in Ally or similar accounts until it is due.
Thankfully taxes won't be that high! Capital gains is a wonderful thing ;)

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:07 am

123 wrote:
Wed Aug 28, 2019 8:28 pm
As proud of your successful sale of the business as you undoubtedly are I would encourage you to say as little about the proceeds of the sale as possible to those that don't absolutely need to know (except for your spouse). As information gets around that you're "cash rich" you'll get hassled by investment advisers and people with loan requests and/or business schemes. Who needs that? If people ask about the "big check" just say there were financing terms in connection with the sale and that it will be nice when you receive the full proceeds (it is but they don't have to know that now).

Just a suggestion.
We did just that. No one knows except my spouse. We are all about privacy.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:08 am

azurik wrote:
Wed Aug 28, 2019 7:59 pm
Congratulations! This must be an exciting time for you!

Regarding Ally Bank, although they have pretty good interest rates, they're going towards the top 2/3 of banks rather than their pole position a few years ago.

I would check BankRate for the latest rates. CIT Bank has an account called the Savings Builder offering 2.40% right now with no fees. I wrote a review about it:

CIT Bank Review: 2.4% APY interest rates
The Ally no penalty CDs has CIT beat! It earns 2.5%.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:09 am

AK62 wrote:
Wed Aug 28, 2019 4:03 pm
I’d talk immediately with my financial advisor/tax attorney before doing anything.
I have a call with Vanguard this morning actually. CPA will take care of the taxes on the backend.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:10 am

Meg77 wrote:
Wed Aug 28, 2019 11:47 am
Congratulations! I agree the money should just sit in a high yield savings account while you ponder next steps, but given the high amount relative to your spending needs - and given your age and plan to start another business soon - it doesn't need to be in cash for the long term.

Here is what I recommend.

1. Pay off any debt you have (assume you don't have any, but if you do obviously you can wipe this out easily).
2. Place 3 years of expenses in cash to cover your spending needs until you can live off your income again.
3. Develop an investing strategy and then dollar cost average the rest of your funds into it over at least a year. For example, start moving $50K a month automatically from your money market to a total stock market index fund each month.

Beyond that, max a backdoor Roth, max an HSA, make sure you have good insurance coverage, consider buying a home in cash if you are so inclined and plan to stay put for 5 years. Consider buying a rental property in cash if you are so inclined and want to diversify your income streams.

That's about it! Most of your energy can be put toward figuring out your next plan with regard to occupation. Cheers and congrats. :sharebeer
Our only debt is 320k mortgage at 4%. Worth paying off? Or should I wait until I have developed another strong cash flowing income stream before using my cash in this way?

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:10 am

Sandtrap wrote:
Wed Aug 28, 2019 11:22 am
Jon_PassiveInvestor wrote:
Wed Aug 28, 2019 11:08 am
Sandtrap wrote:
Tue Aug 27, 2019 10:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Did you end up selling your business as well?
Eventually sold 90% of my R/E income property holdings. (Apartment buildings).
Retired to "Bogleheadville".
Still own R/E income property. Would maybe be inclined to partially reinvest if another 2008/9 comes along.
IMHO: this adds to diversification of income stream and portfolio holdings. (not for everyone).
j
I am definitely waiting for the next market correction before jumping into real estate. Things are WAY too expensive right now.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Sandtrap » Thu Aug 29, 2019 8:16 am

Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:10 am
Sandtrap wrote:
Wed Aug 28, 2019 11:22 am
Jon_PassiveInvestor wrote:
Wed Aug 28, 2019 11:08 am
Sandtrap wrote:
Tue Aug 27, 2019 10:25 am
Jon_PassiveInvestor wrote:
Tue Aug 27, 2019 9:38 am
Thanks for the thorough response! Out of curiosity, why are you recommending splitting up my money more than just Vanguard and Ally? Why complicate things? Or am I not as safe holding the majority of money in the VUSXX fund with Vanguard?
250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Did you end up selling your business as well?
Eventually sold 90% of my R/E income property holdings. (Apartment buildings).
Retired to "Bogleheadville".
Still own R/E income property. Would maybe be inclined to partially reinvest if another 2008/9 comes along.
IMHO: this adds to diversification of income stream and portfolio holdings. (not for everyone).
j
I am definitely waiting for the next market correction before jumping into real estate. Things are WAY too expensive right now.
+1
Absolutely.
Markets are over-valued to the point of being ridiculous.
Prices are near pre-2008 levels, some areas still climbing.
IMHO: Having available funds/cash for "low hanging fruit" on the next R/E dive will come in handy.
Until then, invest conservatively and "Bogleheadedly".
j :D
Wiki Bogleheads Wiki: Everything You Need to Know

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by dbc47 » Thu Aug 29, 2019 8:25 am

Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:08 am
azurik wrote:
Wed Aug 28, 2019 7:59 pm
Congratulations! This must be an exciting time for you!

Regarding Ally Bank, although they have pretty good interest rates, they're going towards the top 2/3 of banks rather than their pole position a few years ago.

I would check BankRate for the latest rates. CIT Bank has an account called the Savings Builder offering 2.40% right now with no fees. I wrote a review about it:

CIT Bank Review: 2.4% APY interest rates
The Ally no penalty CDs has CIT beat! It earns 2.5%.

Actually it recently dropped to 2.2%. High Yield CD to 2.4%

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:39 am

dbc47 wrote:
Thu Aug 29, 2019 8:25 am
Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:08 am
azurik wrote:
Wed Aug 28, 2019 7:59 pm
Congratulations! This must be an exciting time for you!

Regarding Ally Bank, although they have pretty good interest rates, they're going towards the top 2/3 of banks rather than their pole position a few years ago.

I would check BankRate for the latest rates. CIT Bank has an account called the Savings Builder offering 2.40% right now with no fees. I wrote a review about it:

CIT Bank Review: 2.4% APY interest rates
The Ally no penalty CDs has CIT beat! It earns 2.5%.

Actually it recently dropped to 2.2%. High Yield CD to 2.4%
Oops, my bad. You're right! I'll check out CIT.

Topic Author
Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 8:44 am

Sandtrap wrote:
Thu Aug 29, 2019 8:16 am
Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:10 am
Sandtrap wrote:
Wed Aug 28, 2019 11:22 am
Jon_PassiveInvestor wrote:
Wed Aug 28, 2019 11:08 am
Sandtrap wrote:
Tue Aug 27, 2019 10:25 am

250k FDIC insured per account.
For example: If new issue CD's at a Brokerage, you can buy several from different banks in one place.
Only 250k, on a personal account (not trust), at Vanguard is FDIC insured.
For some folks, it wouldn't matter as far as feeling secure about the financial institution. for others, it's important.
Some options for you to think about.

FWIW: I have substantial sums in Fidelity and Vanguard and Schwab and used to be but am no longer concerned about these valuation limitation per FDIC insured account. I figure if Vanguard goes under, there will be other more severe problems in our lives.

As an aside, DW and I poured every dime we had back into our business. No 401k. No pension, etc. Similar to your situation.

j :happy
Did you end up selling your business as well?
Eventually sold 90% of my R/E income property holdings. (Apartment buildings).
Retired to "Bogleheadville".
Still own R/E income property. Would maybe be inclined to partially reinvest if another 2008/9 comes along.
IMHO: this adds to diversification of income stream and portfolio holdings. (not for everyone).
j
I am definitely waiting for the next market correction before jumping into real estate. Things are WAY too expensive right now.
+1
Absolutely.
Markets are over-valued to the point of being ridiculous.
Prices are near pre-2008 levels, some areas still climbing.
IMHO: Having available funds/cash for "low hanging fruit" on the next R/E dive will come in handy.
Until then, invest conservatively and "Bogleheadedly".
j :D
I'm in agreement! Time to be wise with this cash.

EnjoyIt
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by EnjoyIt » Thu Aug 29, 2019 8:51 am

There is a bunch of good advice above. Sandtrap laid out a great plan for you. Personally I would not do any trust or estate planning just yet, nor would I split the money amongst 3 different brokerage houses. Stick with Vanguard and Ally and you should be just fine. $2.2 million is a lot of money, but it all depends on how much of it you spend. If you live on $50k/yr then $2.2 million is amazing. If you live on $200k/yr then you will need to start working and making living expenses real soon.

The best advice given so far is to take your time and read the wiki links provided by Sandtrap. Understand what you will be doing, how the money will grow, what you will need for retirement, and how to utilize tax advantaged space in the years to come.

As for your house mortgage, 4% rate is usually my cutoff for paying down instead of investing. There are a lot and mean A LOT of threads here regarding paying down a mortgage vs investing. I will give you the breakdown of what every thread looks like to save you time. Historically, a 60% stock / 40% bond portfolio has returned 8.7% over loooong term. If the past repeats itself then you are better off investing the cash instead of paying down debt. There will be people here saying that future expected returns will be low and far lower than the mortgage and you should pay down that debt instead. There will also be people here saying that if you hold bonds or CDs at a rate lower than your mortgage then it only makes sense to use that money and pay down the debt instead. Then everyone argues on what the correct answer is and each thread goes nowhere.

My advise for your mortgage is to hold off for a few months on making a decision. Get your finances in order, see where you stand and then look to refinance your mortgage to a lower rate. Consider a 15 year mortgage to get the rate a bit lower if that is reasonable for you. Then after a few years with the new rate and you are settled in with your finances and possibly new career I would re-evalaute your need to pay down a low interest rate debt. As before, don't rush into any decision.

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Wiggums
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Wiggums » Thu Aug 29, 2019 9:17 am

Congratulations.

You deserve some time off from work. Can’t wait to hear about your next business!

Well done...

mervinj7
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by mervinj7 » Thu Aug 29, 2019 10:59 am

Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:10 am
Our only debt is 320k mortgage at 4%. Worth paying off? Or should I wait until I have developed another strong cash flowing income stream before using my cash in this way?
I wouldn't pay off the mortgage until you have paid your taxes and figured out what you are doing next. If you do end up investing in a new venture, your mortgage will be a relatively low-interest source of financing. With that much in liquid assets, I would even consider refinancing into a 7/1 ARM. That will bring your rate down to 2.75% (maybe less with a relationship banker). Obviously, you are on BH, so most folks will probably tell you to just pay off the mortgage. Personally, I wouldn't with rates so low.

viewtopic.php?t=280692&view=unread#p4688692

McGowan
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by McGowan » Thu Aug 29, 2019 11:00 am

Re: CG taxes; see if you ownership qualifies as Qualified Small Business Stock. Need to have been a C-Corp but the savings are tremendous.

Remember to put aside the tax money. LTCG rate goes up to 23.8 % Federal on larger CG's (20% for LTCG> $488,851 for 2019) + 3.8% for Net investment Tax.

The net investment income tax. Some investors may owe an additional 3.8% that applies to whichever is smaller: your net investment income or the amount by which your modified adjusted gross income exceeds the amounts listed below.
Here are the income thresholds that might make investors subject to this additional tax:
Single or head of household: $200,000
Married, filing jointly: $250,000
Married, filing separately: $125,000

It's an unpleasant surprise if you expect the tax to be 15%.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by oldcomputerguy » Thu Aug 29, 2019 11:19 am

[Some posts were temporarily removed for moderator review, and have now been restored.]
"I’ve come around to this: If you’re dumb, surround yourself with smart people; and if you’re smart, surround yourself with smart people who disagree with you." (Aaron Sorkin)

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 3:54 pm

McGowan wrote:
Thu Aug 29, 2019 11:00 am
Re: CG taxes; see if you ownership qualifies as Qualified Small Business Stock. Need to have been a C-Corp but the savings are tremendous.

Remember to put aside the tax money. LTCG rate goes up to 23.8 % Federal on larger CG's (20% for LTCG> $488,851 for 2019) + 3.8% for Net investment Tax.

The net investment income tax. Some investors may owe an additional 3.8% that applies to whichever is smaller: your net investment income or the amount by which your modified adjusted gross income exceeds the amounts listed below.
Here are the income thresholds that might make investors subject to this additional tax:
Single or head of household: $200,000
Married, filing jointly: $250,000
Married, filing separately: $125,000

It's an unpleasant surprise if you expect the tax to be 15%.
I'm expecting the tax to be around 20%. We are an S Corp.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 3:55 pm

Wiggums wrote:
Thu Aug 29, 2019 9:17 am
Congratulations.

You deserve some time off from work. Can’t wait to hear about your next business!

Well done...
Well thanks! Definitely already enjoying time with my wife and son :)

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 3:56 pm

mervinj7 wrote:
Thu Aug 29, 2019 10:59 am
Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:10 am
Our only debt is 320k mortgage at 4%. Worth paying off? Or should I wait until I have developed another strong cash flowing income stream before using my cash in this way?
I wouldn't pay off the mortgage until you have paid your taxes and figured out what you are doing next. If you do end up investing in a new venture, your mortgage will be a relatively low-interest source of financing. With that much in liquid assets, I would even consider refinancing into a 7/1 ARM. That will bring your rate down to 2.75% (maybe less with a relationship banker). Obviously, you are on BH, so most folks will probably tell you to just pay off the mortgage. Personally, I wouldn't with rates so low.

viewtopic.php?t=280692&view=unread#p4688692
I agree with you! There is more money still coming in and I need to know the final tax numbers from my CPA. Then I can decide from there. For now it's VUSXX and Ally while I take a mental break!

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by TLB » Thu Aug 29, 2019 6:54 pm

Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 3:54 pm
McGowan wrote:
Thu Aug 29, 2019 11:00 am
Re: CG taxes; see if you ownership qualifies as Qualified Small Business Stock. Need to have been a C-Corp but the savings are tremendous.

Remember to put aside the tax money. LTCG rate goes up to 23.8 % Federal on larger CG's (20% for LTCG> $488,851 for 2019) + 3.8% for Net investment Tax.

The net investment income tax. Some investors may owe an additional 3.8% that applies to whichever is smaller: your net investment income or the amount by which your modified adjusted gross income exceeds the amounts listed below.
Here are the income thresholds that might make investors subject to this additional tax:
Single or head of household: $200,000
Married, filing jointly: $250,000
Married, filing separately: $125,000

It's an unpleasant surprise if you expect the tax to be 15%.
I'm expecting the tax to be around 20%. We are an S Corp.
Congratulations on the sale of your company and the hard work you've done to make it happen. You have received some great advise on what to do and what not to do.

I sold my business three years ago, I'm 65 now and I'm not looking to go back into a business. What made since for me was to pay off all my commercial real estate first, that alone will take care of my cash flow in retirement. The remaining notes I receive have been going in to
Vanguard Treasury MM VUSXX
Vanguard Ca MM VCTXX
Vanguard Prime MM VMMXX
Vanguard Ca Muni Fund VCADX

I have been taking my time trying to educate myself to invest in the most safe and tax efficient way (yes I'm slow).

Hope you don't live in Ca. you could add another 13.3% to your Tax Bill.

Good luck and take your time.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Thu Aug 29, 2019 6:58 pm

TLB wrote:
Thu Aug 29, 2019 6:54 pm
Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 3:54 pm
McGowan wrote:
Thu Aug 29, 2019 11:00 am
Re: CG taxes; see if you ownership qualifies as Qualified Small Business Stock. Need to have been a C-Corp but the savings are tremendous.

Remember to put aside the tax money. LTCG rate goes up to 23.8 % Federal on larger CG's (20% for LTCG> $488,851 for 2019) + 3.8% for Net investment Tax.

The net investment income tax. Some investors may owe an additional 3.8% that applies to whichever is smaller: your net investment income or the amount by which your modified adjusted gross income exceeds the amounts listed below.
Here are the income thresholds that might make investors subject to this additional tax:
Single or head of household: $200,000
Married, filing jointly: $250,000
Married, filing separately: $125,000

It's an unpleasant surprise if you expect the tax to be 15%.
I'm expecting the tax to be around 20%. We are an S Corp.
Congratulations on the sale of your company and the hard work you've done to make it happen. You have received some great advise on what to do and what not to do.

I sold my business three years ago, I'm 65 now and I'm not looking to go back into a business. What made since for me was to pay off all my commercial real estate first, that alone will take care of my cash flow in retirement. The remaining notes I receive have been going in to
Vanguard Treasury MM VUSXX
Vanguard Ca MM VCTXX
Vanguard Prime MM VMMXX
Vanguard Ca Muni Fund VCADX

I have been taking my time trying to educate myself to invest in the most safe and tax efficient way (yes I'm slow).

Hope you don't live in Ca. you could add another 13.3% to your Tax Bill.

Good luck and take your time.
Thankfully I live in the great state of Texas!

RobLyons
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by RobLyons » Thu Aug 29, 2019 7:04 pm

I will hold some :moneybag for you :D
"Great parenting sets the foundation for a better world"

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by whodidntante » Thu Aug 29, 2019 7:34 pm

I would take a nice, long vacation. Anywhere from 5 weeks to 55 years in length.

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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by azurik » Fri Aug 30, 2019 7:43 am

Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:39 am
dbc47 wrote:
Thu Aug 29, 2019 8:25 am
Jon_PassiveInvestor wrote:
Thu Aug 29, 2019 8:08 am
azurik wrote:
Wed Aug 28, 2019 7:59 pm
Congratulations! This must be an exciting time for you!

Regarding Ally Bank, although they have pretty good interest rates, they're going towards the top 2/3 of banks rather than their pole position a few years ago.

I would check BankRate for the latest rates. CIT Bank has an account called the Savings Builder offering 2.40% right now with no fees. I wrote a review about it:

CIT Bank Review: 2.4% APY interest rates
The Ally no penalty CDs has CIT beat! It earns 2.5%.

Actually it recently dropped to 2.2%. High Yield CD to 2.4%
Oops, my bad. You're right! I'll check out CIT.
Sounds like a plan! CIT Bank is based in CA and is well-documented. You'll be hard pressed to find a better savings account product. The Ally CDs are a different product and have minimum holding times.

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Jon_PassiveInvestor
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Re: Sold my Business (2.2 Million)! Where to store proceeds while I think?

Post by Jon_PassiveInvestor » Fri Aug 30, 2019 8:28 am

whodidntante wrote:
Thu Aug 29, 2019 7:34 pm
I would take a nice, long vacation. Anywhere from 5 weeks to 55 years in length.
I'm enjoying it already. Making espresso at home and no emails to check! It's a beautiful feeling!

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