$5000 Per Month for 10 years or $500,000 Lump Sum?

[Wargames]

Nope.

The things you can buy with the 500k right now are a lot cheaper than what you can buy with 600k in 10 years

That 600k will also be worth less than the 500k now.

Honestly with inflation you’re right.

I would take that 500k and invest into rental properties and ideally increase rent to match inflation.

 

[Dorian Breh]

Oh aight

Now we've progressed from being confused to acting threatening. No one scared of you. You can't even do math.

 

[WesCrook]

These types of threads are popping up more frequently

That $5,000 check you receive in the final month of year 10 won't have the same value as the one received in the first month of year 1

 

[Shadow King]

Now we've progressed from being confused to acting threatening. No one scared of you. You can't even do math.

I'm not acting anything. We both just know you would not say this to my face or anybody else in here.

 

[IIVI]

Lump sum
Time value of money

Additionally, this.

Then there’s time in market if you happen to find something highly probable and opportunistic to put more money into.

10 years is a long time and it’s nice to have liquid for opportunities.

 

[Dorian Breh]

I'm not acting anything. We both just know you would not say this to my face or anybody else in here.

you think only remedial people like you know how to fight?

 

[Rekkapryde]

These types of thread of popping up for frequently

That $5,000 check you receive in the final month of year 10 won't have the same value as the one received in the first month of year 1

Bingo.

Lump sum.

 

[Shadow King]

you think only intelligent people like you know how to fight?

I think you wouldn't have this energy in real life.

 

[⠀X ⠀]

The lump sum. Put it in the market for a couple of years, then maybe withdraw some of the interest later on.

 

[Dorian Breh]

I think you wouldn't have this energy in real life.

Frankly you're right. In real life I wouldn't go back and forth with someone as committed to being ignorant as you. I'd have better things to do, like taking a shyt.

But that's why we on the internet. I can shyt on you while I take a shyt

 

[Shadow King]

Frankly you're right. In real life I wouldn't go back and forth with someone as committed to being ignorant as you. I'd have better things to do, like taking a shyt.

But that's why we on the internet. I can shyt on you while I take a shyt

I asked a different poster a real question about this versus you running in with insults but I'm the one committed to ignorance. Lol.

 

[Dorian Breh]

I asked a different poster a real question about this versus you running in with insults but I'm the one committed to ignorance. Lol.

What instincts? This isn't complicated math I can do it in my head.

 

[Shadow King]

What instincts? This isn't complicated math I can do it in my head.

Oh look someone who actually struggles with English

 

[IsThatBrothaMouzone?]

Which would you choose?

So basically $600k spread out over 10 years or $500k lump sum?

Generally speaking, you'd take the lump sum.

If you invest all $500k at a conservative 4% annual interest, at the end of the 10-year term, you'd have $740k....so...more money than the monthly installment option which would add up to $600k

Of course most people aren't going to throw ALL that money at investing/high yield savings. Let's say you spend $100k on paying bills, buying shyt etc. If you invest the remaining $400k.....at the 4% interest rate, you'd have $592k after 10 years...so you'd recover the lump sum and then some.

The ONLY way the monthly plan makes sense is if you're terrible with money OR you already have a ton of money and just want some monthly liquidity for XYZ reason.

 

[DonB90]

600k over 10 years vs 500k immediately