What to do with inheritance?

Anonymous

What to do with inheritance?

I have inherited some money from a friend, not much to some people but to it is a lot (over 10 grand). Being a young full time single mother of 2 little ones I have never seen this much money in one go before and I'm not sure what to do with it!
Is there a good bank I should bank with and put it into savings there (currently I'm with CBA)? Both my kids have a savings account each with the CBA that I put $25 into fortnightly so I was thinking of splitting this and putting it into each of their accounts but im not 100% sure (I can withdraw funds from their accounts should i ever need to in an emergency so that's a bonus).
I have no debt to pay off so that's not a concern.
Also, do I need to declare this to centrelink? I'm studying full time and on the single parent pension. Will they reduce my payments or take it off me? I want to do the right thing.

Thanks so much for your help!

Posted in:  Life Lessons, Money

5 Replies

Anonymous

You will have to declare it but it shouldn't affect anything. If you don't need the money I would save it until you are working and add to it until you have a deposit for your own home. That will benefit your kids more than money in their bank accounts.

like
Anonymous

Personally, if you have no debts to pay, I would put it into a bank account seperate to whom you normally bank with. Out of sight, out of mind type of thing. Interest rates are pretty low at the moment so have a look around - we use ubank. I'd also keep a percentage and use it to do something for yourselves - a holiday, a day trip somewhere special, buy something.. treat yourself and leave the rest to grow and add to over time

like
Anonymous

I would put half in a bank account for YOURSELF and spend have making memories with your kids! Family holiday etc! Fill up your cup sweetheart! And then have a fall back!

like
Anonymous

We too recently received some funds, we have a mortgage but that’s it. We have put $5k aside into an account for bills so we are always well ahead on them and especially over winter when the gas bills were triple the usual it helped a lot.

We spent a little bit and then also saved some, hopefully to put towards a holiday!

like
Anonymous

You should Bank half and take the kids on a holiday or something that you can remember your friend by. or bank it all. You are smart either way for asking. It’s too hard to get back once’s it’s gone.

like