6 smart ways to make a cash windfall work for you

We will review smart steps for managing a windfall based on  your financial situation, age, and risk tolerance. These tips apply even  if you don’t have extra cash, so keep reading!

Do you need it for short-term expenses, like buying a car or boosting your emergency fund? Or should it be set aside for your long-term goals, such as buying a home?

Identify the purpose of your money

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Review your financial safety nets

Do you have enough cash in the bank? That’s essential for managing unexpected expenses, like losing your job, making home repairs, or paying medical bills.

Create a diversified portfolio

You must choose specific investments once you have funds in a retirement account or a brokerage.

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While stocks can be volatile, the stock market’s historical average return has been approximately 10% since the 1920s.

Consider your risk tolerance


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