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Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

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Re: Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

#131

7.5M euro is not a lot of money. It's a decent amount of money to have to start doing something useful with it...or burn it all away.

I'm always surprised how HN is disconnected from the reality sometimes. It's basically 197 k$ a year until he "retires" at 65 in 38 years. And that's if he's keeping the money without investing it.

Yes, though my calculations are simpler, 100 K Euro (essentially net from taxes, I believe) for 75 years (hoping one would manage to become centenary).

Without any gain through investment, only maintaining the money on par with inflation (the real life one not the projected one that this or that EU government publishes) you can imagine it as constant draw or stipend.

That is roughly double what (I would call) a more than average pay in EU (50,000 Euro year net of taxes).

Re: Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

#133
If you're worried about inflation, follow the barbell portfolio strategy. ITM index calls to keep ahead of inflation, and the rest of the money can be used for other investments eg. bonds, real estate, gold, etc. Alternatively JEPI seems ok. Not financial advice.

If you want to own stocks instead, find a low margin interest rate broker (eg. IBKR), put your money in there, and down the road if you have profits and don't want to realize them (because you will pay cap gains), you can take out a loan against said stock at a low rate (IBKR is sub 1%). Note that this is quite risky, make sure you manage your risk well.

You should also spend a lot of time reading about investing and risk management. Margin of Safety, Intelligent Investor, The Art of Investing, etc.

Make sure to study your tax code as well; don't get screwed over by wash sale taxes. Find a good accountant! Just walk into a branch of the big four accounting firms (Deloitte, E&Y, KPMG, PWC) and you will probably find one.

Re: Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

#134
congratulations, you have just become financial independent this just means you don't have to worry about money. You still have to worry about your health no amount of money can help you in that department ask billionaires spending fortunes on anti aging so don't stop working out.

Money is just means, similar to how you converted eth to real money you need to convert real money into real experiences. There are doors open to you now to travel to scenic places, experience different cultures, experience different cuisines, learn new things for which you never had time get exposure to new skills you may or may not like them. When i got retired i tried horse riding although i never had any inclination towards it but just enrolled it to see where it goes did not liked it much, tried shooting liked it, tried swimming liked it, tried ski-ing did not liked it, tried singing i was really bad at it. Finally settled for building sofware as i guess i like building stuff as hobby i just don't like it as profession where i have to deal with deadlines other constraints etc. Experiment and see what you like.

Last but not the least you don't really need money to do most of these things, you arbitrarily decided that you needed money because society/culture/conditioning made you believe it. you can be happy without it as well if you realize that you may as well wonder what was the fuss all about.

Re: Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

#136
I once had a general chemistry professor that had made a significant amount of money off a patent. He kept a small townhouse near the university and flew his private plane in each week to teach his few classes then would fly home for the weekend. He was no longer burdened with the publish or perish game and was able to focus solely on doing what he enjoyed most. The students got a professor actually focused on teaching and the university got a competent professor willing to teach the least desirable introductory classes. Wins all around.

Re: Ask HN: 27, accidentally became wealthy, lost drive. What should I do?

#138
post #53

> How did you get out of this? What can I do? Get married. Your wife will know what to do with the money. Have kids. You won't need to worry about this sort of stuff again. I have 3. I get motivated at 7 AM, every morning.

How can a marriage and having kids move you out of depression?

How can you be a good partner and a good parent if you can't even find the drive to live?

Feels like one could get into even more difficulties when relationships and parenting get hard, even with money.

I see this advice everywhere, "Just have children.". I do not understand how this is sensible advice for people that are obviously not fit to be parents at their present moment.

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