If you were to receive 10k from a relative...

[Alvito]

What would you do? Invest? Put it in the bank with whatever interest you can get? Put a chunk of it away for long term?

I have no idea what to do.

I don't need the money now. I rather stash some of it away where I can't touch it. because to be honest, I could probably spend a lot of it if I'm not careful.


Can some experts shed some light on the issue?

[dasaylay]

If you don't need it now. Store it away in a GIC, or high interest savings account (ie PCF).

If you're willing to take some level of risk, use that money and learn the stock market. It's nothing compared to what other people may probably have invested, but hey, it's free money.

[cloudycanada]

best thing for you to do now is to stick it in a high interest savings account (i.e. PCF as suggested before) while you think.

10K is probably not enough to start a equity portfolio, but there are other alternatives (ETF, mutual funds etc). You can explore more into that area rather than research into stocks if you decide to invest outside the high-interest savings arena.

[15-20_God]

how old are you? do you need it for school?

[Cas77]

Don't put it in a high interrest account like others have suggested!

In your post you basically said you don't trust yourself with liquid cash. Well 24 hours to transfer funds will not take your mind off an impulse purchase.

[langong]

next year Leafs season tickets? :) j/k
the safest way would be a high interest saving account, don't lock it in just in case you need to use it.

[B40]

next year Leafs season tickets? :) j/k
the safest way would be a high interest saving account, don't lock it in just in case you need to use it.

Since he says, "I rather stash some of it away where I can't touch it. because to be honest, I could probably spend a lot of it if I'm not careful."

Might want to ladder it into GIC's... something like keep $2k on hand and put the rest away in $2k increments into a 1,2,3,4 year GIC etc.

[Bullseye]

Maybe obvious, but you'd want to pay off any bad debt you have before doing anything else, most likely.

[deuce]

pay off any debt you have
throw whatevers left into bank stocks.

[dark169]

put it all on RED... worst case your back to your pre-gift situation. If you win take your winnings off and let the org 10k ride (or switch to BLACK if you feel like it), let karma decide how much you deserve.

[neospice]

Perhaps you should look into putting the money in an RSP, getting the tax refund, and investing the refund in a non-registered account... that way you can realize the tax benefits of both an RSP and capital gain.

Here for more details: http://www.mackenziefinancial.com/eprise/main/MF/DocLib/Public/9102_RRSP_or_Cap_GainsJ.pdf

[Alvito]

how old are you? do you need it for school?

I'm turning 20 in march. I do not need any of it for school.

next year Leafs season tickets? :) j/k
the safest way would be a high interest saving account, don't lock it in just in case you need to use it.

lol, leafs tickets... what a waste. I don't need the money now, and I do not think I will need it in the next 2 years. Maybe when I am done college I will need a car to drive to work. But even then that can be avoided by using my moms car. Drive her to work first, then to mine. My dad is also borderlined retired. He is at home now but might go back to work if he finds the right job, so the minivan just sits in the driveway.

So maybe my car situation is okay for now and the future. Other than needing a car, I don't think I need the money.


Might want to ladder it into GIC's... something like keep $2k on hand and put the rest away in $2k increments into a 1,2,3,4 year GIC etc.

As you can tell, I know nothing about personal finance, and thats why I'm asking you guys about it first. I don't want to walk into TD bank and have some greedy old man tell me to squander the money in something stupid just so he can get a nice cut off the top.

What is a GIC? I do intend on putting like 2k in my chequeings account. And do something longterm with the rest.

Maybe obvious, but you'd want to pay off any bad debt you have before doing anything else, most likely.

I do not have any debt. So I can skip step 1. :D

[ARK]

sorry posted here by mistake

[chococrazy]

Perhaps you should look into putting the money in an RSP, getting the tax refund, and investing the refund in a non-registered account... that way you can realize the tax benefits of both an RSP and capital gain.

Here for more details: http://www.mackenziefinancial.com/eprise/main/MF/DocLib/Public/9102_RRSP_or_Cap_GainsJ.pdf

That's assuming he has the contribution room.