How To Invest $20,000
Congratulations, you just won $20,000! Oh, how we all dream of receiving this news. So if you won $20,000 today, what would you do? Would you spend it? The choice is yours but to help you, we’ve come up with the ultimate list on how to invest $20,000!
Here Are Some Ideas On How To Invest $20,000
Invest
The first step in any financial plan is to set some goals. What are you wanting to achieve? How do you want your future to look in 5, 10, 20 years down the track? The best strategy depends on your goals and risk profile.
Investing today in your retirement is a very sensible choice. Boost your superannuation with a $20,000 cash injection. You may have to wait for a while to reap the rewards, but this option is a guaranteed investment in your future.
If you’re saving up for a house, put the money into an interest-bearing account to help you get closer to your deposit goal.
If you’ve always wanted to start a small business, now is the time to start researching, planning, and turn your idea into a reality.
Perhaps you want to dabble or invest $20,000 on stocks, trading funds, index funds, or foreign exchange. Speak to a financial adviser to find out how to get the best returns on your investment.
Pay Off Your Debt
One of the most practical ways to invest $20,000 is to pay off your debts (if you have any). Credit card debt and personal loans usually carry the highest interest rates, so the sooner you get them paid off, the better.
Monthly car payments and mortgage payments can take up a big chunk of your salary. If your loan has a redraw facility, you can use the $20,000 as an advanced payment. It will help reduce your monthly interest and pay your loan off sooner.
Build an Emergency Fund
If you’ve read The Barefoot Investor, you’ll know that he stresses the importance of an emergency fund for unforeseen events. He states that you should have 3 months of expenses saved in a separate account for absolute emergencies. You’ll never regret a $20,000 investment in an emergency fund.
Travel
Nothing beats the experience of exploring the world and visiting places on your bucket list. Fancy a trip to Europe to visit the Acropolis in Athens, the Colosseum in Rome and the Eiffel Tower in Paris? Or perhaps you can take a year off and discover Asia or South America. How about exploring our own backyard and campervanning around Australia?
Winning means you get to choose how to invest $20,000 in travel! Take your family and friends or become a solo traveller and get lost in the adventure.
Shop
Ever wanted to go on a wild shopping spree? $20,000 can buy you a brand new car, luxury purses, jewellery, clothes, shoes and anything that you desire. If there’s something you’ve been holding off buying because you can’t afford it, now is the time to reward yourself.
You get to decide how to invest $20,000 when you enter the online raffles of our charity partners Cerebral Palsy Alliance, House with No Steps. With a stroke of luck, every purchase will be your ticket to becoming $20,000 richer.
