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Discussion Starter · #1 ·
as the subject states, I have good news for me but because I am happy about it I will probably lowside due to bad karma later on down the road.

back in 1995 my mother passed away from cancer and did so quickly. doctors told her she had 6mo to a year to live and she passed 4mo later. my sister and I were young and just trying to get out on our own and to make things more difficult we had an evil step father (I am sure come of you can relate) my mother wanted one thing for my sister and I and that was to get away from him. she tried to get her finances in order so that my sister and I could move away together but due to the short time she had her attempt to do help her children one last time failed. she had left her share of the house to my sister and I and the only way we would benefit from it would be when the house was sold or refinanced. I managed to do fine on my own as did my sister and I think we both just wrote that entire deal off and just assumed my step father just screwed us out of it somehow as lawyers couldnt seem to shed any light on the subject.

anyway an already long story short. I recieved and email today from a cousin I never hear from (he is on step fathers side of family so not really a cousin) anyway he says that step father is not doing so hot and they are trying to move him into an assited living situation but to do so they need to sell the house. when the house is sold my sister and I will take the first 20k from the sale and he gets whats left. it doesnt sound like much but when the house was purchased the cost was 70k and was split between my mother, her husband and his brother (3 ways) my sister and I get her 3rd.

part of me wants to invest the money, but what I will probably do is pay off all my bills as I do not have much, this way I can start working on making my credit better (horrible credit habits when I was younger) and then use the rest to help purchase the S4RS I really want.

this news makes me very happy as I initially I was planning on picking up an S2R1000 this spring but that damn S4RS test ride I took screwed that whole plan up. so since the price difference was quite significant it didnt look like springtime was in the cards, close,... but no cigar.

things are different now, I am thrilled about this news and I will probably go to hell for it because I am rejoicing and on the other end of things my step father is dieing (I have never liked him nor has my sister) but I was raised by my mother so I have a conscience and I am someone who wishes no harm or ill will towards anyone.

what would you do or feel if you were in my shoes?
 

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sconly said:
as the subject states, I have good news for me but because I am happy about it I will probably lowside due to bad karma later on down the road.

back in 1995 my mother passed away from cancer and did so quickly. doctors told her she had 6mo to a year to live and she passed 4mo later. my sister and I were young and just trying to get out on our own and to make things more difficult we had an evil step father (I am sure come of you can relate) my mother wanted one thing for my sister and I and that was to get away from him. she tried to get her finances in order so that my sister and I could move away together but due to the short time she had her attempt to do help her children one last time failed. she had left her share of the house to my sister and I and the only way we would benefit from it would be when the house was sold or refinanced. I managed to do fine on my own as did my sister and I think we both just wrote that entire deal off and just assumed my step father just screwed us out of it somehow as lawyers couldnt seem to shed any light on the subject.

anyway an already long story short. I recieved and email today from a cousin I never hear from (he is on step fathers side of family so not really a cousin) anyway he says that step father is not doing so hot and they are trying to move him into an assited living situation but to do so they need to sell the house. when the house is sold my sister and I will take the first 20k from the sale and he gets whats left. it doesnt sound like much but when the house was purchased the cost was 70k and was split between my mother, her husband and his brother (3 ways) my sister and I get her 3rd.

part of me wants to invest the money, but what I will probably do is pay off all my bills as I do not have much, this way I can start working on making my credit better (horrible credit habits when I was younger) and then use the rest to help purchase the S4RS I really want.

this news makes me very happy as I initially I was planning on picking up an S2R1000 this spring but that d**n S4RS test ride I took screwed that whole plan up. so since the price difference was quite significant it didnt look like springtime was in the cards, close,... but no cigar.

things are different now, I am thrilled about this news and I will probably go to hell for it because I am rejoicing and on the other end of things my step father is dieing (I have never liked him nor has my sister) but I was raised by my mother so I have a conscience and I am someone who wishes no harm or ill will towards anyone.

what would you do or feel if you were in my shoes?
Why is it only 1/3 of the original purchase price instead of 1/3 of the selling price? That seems weird.

If I were in your shoes - $10k doesn't go nearly as far as it sounds like it should.
I personally would split it to thirds. 1/3 to paying off bills, 1/3 to savings/rainy day fund, 1/3 to play (good down payment on a bike.)

Oh - and I would buy an S2R1k way before I would buy the RS. If I wanted something really fast, it'd be the 1098 or japenese.
 

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Is the house selling for $70k, or is that the expected net profit?


I'd say you and your sister are entitled to 1/3 of the net profit.


I'd also say to pay your bills, get a used S2R 1000 and invest the rest of the money.


You needed a competent estate executor... I'm surprised your lawyers weren't doing anything for you.
Now might be a good time to find a competent lawyer to help you get what you're entitled to.
 

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Don't worry about the bad karma...that money was yours, so don't feel guilty.


First thing is first...pay off your bills--if you have any outstanding debt, take care of that. Not only will a HUGE weight be lifted off your shoulders, but you'll be more financially freed up to do other things.

To help with the credit, I'd say buy the S4rs you want, put a large chunk down for a lower interest rate and then pay it off early if you still have money to play with.


I'm sorry you've dealt with so much up until now, but just be careful and spend your money wisely.

Oh and as far as investments go, I'd go with a diversified mutual fund--good return/risk ratio.
Start saving for your future!
 

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Everyone gets what they deserve in the long run, sounds like the step father is getting just that. Keep the money and don't look back.
 

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I worry when I hear "help purchase..."

These things are toys.

I allways reccomend putting yourself in better financial position so that you can buy your toys in cash.
 

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Discussion Starter · #7 ·
thanks for the input guys. I dont know anything about the net profit vs what the house was purchased at. my sister is the power of attorney over that situation as she is the older sibling. All I know is that it is stated that her and I split 20k.

As far as "help purchase" I dont buy anything with credit anymore or finance I pay cash for everything. I sold my existing bike to "help pay" for my new bike aka Ducati Monster. The plan was to sell my bike and put that money away for purchase of new bike, take tax returns and put that aside towards new bike and then just save up the rest so I can go down to stealership and buy it out right.

I dont have much debt. I dont want to devulge personal finances too much but I owe less than 4k. I dont have monthly payments on a car or a house but I am a mechanic and have to pay monthly on tools, which I hate, why do they have to be so damned expensive.
 

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Sconly,

I would strongly suggest that you & your sister do not rely on anything told you by others who have a vested interest. You deserve what is yours, your mom would want it that way.

I don't see how you & sis would not be entitled to half the sales price of the house minus costs & mortgage payoff, and the step dad had better not have refied any additional debt on it, and it better not be sold to the step dad's "heirs" in some kind of sweatheart deal.

All that said, its almost never a bad idea to take a chunk of cash & see if you can afford a cheap house/condo yourself. Depending on your circumstances, it may be hard to come up with a chunk of cash, & it may not be worth it to whittle it away on small stuff.
 

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This has happened to me.

Two weeks after getting married, my wifes father died. We got enough money to pay off all our debt and pay cash for the new car my wife wanted to buy.

Almost two years after that, my mother died (cancer). With no debt and getting the money over three years, we basically blew the money :-X
 

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Sorry to hear about your mom, and even tho you didn't have a good relationship with your step father, never fun to hear about people leaving us.

Anyway, i'll fall in line with everyone else and say pay off what bills you have. I know the temptation to spoil yourself is great or even to invest. But let's think about it for a second and consider how much you're paying on your credit card balances. Even a good rate you're paying at least 9%? If you invest in mutual funds or stock instead of paying the bills, you're going to maybe get 10% over time AND have to pay the capital gain tax on top of that if you sell. If you just put it in the bank in a saving account you're going to make maybe 2%? Even a mediocre CD you're going to make about 5% over 5 years. See where I'm going here? Sure, you've got money saved up, but you're in the hole on your outstanding 'bad' debt.

My numbers are just kind of average, generic ones from my own credit union. So yeah, pay off the outstanding bad debt, make a maximum Roth or Traditional IRA contribution for the year ($4000 if you're under 50), and then use what's left towards your bike.

I'm not a financial adviser but I am kind of involved in that industry. I'm not a CFP or CTA or anything, so you should see a professional before doing anything, but this is my layman's advice.

good luck,
P
 

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Discussion Starter · #11 ·
guys what I am saying is that with what I have put aside now and what I will be getting I can pay off my existing debt as well as get the bike I want aka I am having my cake and eating it too.
 

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I'm glad to hear you will be getting out of debt---that is the most important step imo. Not to rain on your parade but you have to consider CASH FLOW

An S4Rs is probably going to be much more expensive to maintain than an S2R. I don't know your financial sitou, but it would really suck if you ended up looking at your new baby rather than riding it. Motorcycles have a way of taking large piles of cash and making them disappear discretely, as we all know [laugh].

Mind your negative cash flows, especially for "luxury" purchases. :)
 

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Your first priority is to pay off all your debts. Because with that out of the way and off your mind you can devote more time and enjoyment to that new bike. Good luck.
 

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I can relate to the evil step-parent situation. My mother died of cancer in 1991, and my father married his second wife in 1998. He died later that year from an apparent heart attack. He had a history of heart disease, having had two triple by-pass surgeries in the ten years prior, and he carried nitro with him at all times. The evening when he died, he and his wife were arguing, and he evidently got himself worked up enough to have a heart-attack. We found his nitro capsules kicked across the room. :-\

Anyways, there's no sin in welcoming a financial windfall. You are not causing your step-father's death, so don't sweat it. As for what bike to get, I say get the S4RS. If you're young, you have time on your side, and as long as you "can have your cake & eat it too", I say enjoy yourself. Your windfall will allow you to rid your debt AND afford the S4RS? Do it, then! And don't look back.
 

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get a LAWYER and a financial representative asap.

They are well worth the investment on things like this, to keep you from getting screwed out of thousands of dollars.
 

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socalrob said:
Sconly,

I would strongly suggest that you & your sister do not rely on anything told you by others who have a vested interest. You deserve what is yours, your mom would want it that way.

I don't see how you & sis would not be entitled to half the sales price of the house minus costs & mortgage payoff, and the step dad had better not have refied any additional debt on it, and it better not be sold to the step dad's "heirs" in some kind of sweatheart deal.

All that said, its almost never a bad idea to take a chunk of cash & see if you can afford a cheap house/condo yourself. Depending on your circumstances, it may be hard to come up with a chunk of cash, & it may not be worth it to whittle it away on small stuff.
Good advice here. And, I also agree with those who suggest a lawyer - you are likely entitled to more than just a simple $20k if the house gets sold. You need a good advocate, and you shouldn't be afraid to hire a lawyer (and maybe split the fees with your big sister?).

Pay off your debts, and then look at how you can invest the windfall $$ into your future -- a house or condo would be a great idea.

I hate to pee on the parade, but I'd wait on the purchase of a new S4Rs. You're at a point in your life when you can make some good financial decisions to set up your long-term financial security. Paying cash for a new, expensive bike (that will depreciate substantially) is not a sound plan. :-\ My vote would be to pay cash for a nice, used, low-mileage S4 and bank the rest of the $$ (or put it toward a house/condo).

Good luck, and keep us posted on how things play out. ;)
 

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Don't worry about those feelings you have towards him right now! It's a positive for you now..you've already had the negatives with your mom passing.

Sounds like a good plan. I would stick with the S2R1000 though..less maint. costs in the long run. Off course..paying off the debt first!! BE SMART!
 
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