£1m now or £10k/month for 10 years?

[ChrisS]

Aye, that was the dilemmia we faced, opted for the million...

[Guest]

Originally Posted by ScoopsAhoy

I’d take the lump sum.
I met Andi peters when I was around 11 (I’m now 39) and he looks no different!
I reckon he has a pact with the devil..

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He has a very old painting of him in his house 😁

[lfc_sarah]

I voted for 10k a month, I don't think I would like to win such a big sum of money. Is that strange?

[ChrisS]

Originally Posted by lfc_sarah

I voted for 10k a month, I don't think I would like to win such a big sum of money. Is that strange?

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Very strange, but fret not Sarah hin, I'll pm you my details as I'll gladly step up to the challenge of spending a £1m for ya lass... I know, I'm all heart

[Bozza]

Originally Posted by megaflyer

£1m now so I can escape into a life of over indulgence and sin

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Haven't you just described your current life?

Originally Posted by megaflyer

As for Andi Peters - he must smother his skin in something every night (and if the rumours are true I can guess what ……….)

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Please sir, this is a family show.

[EssexSue]

If I was younger I'd still take the million I always think you might meet with a nasty accident if they got fed up with you.

[DisneyDaffodil]

I’d take the million now option. As we approach retirement age it would set us up for a very comfortable old age. Who knows how long anyone has, and it would be terrible to die and then leave DH and the family with the added loss of £10k a month. The lump sum would be a safer option I feel

[MrsBC]

£1m now please - if we took the other option we'd be £200k better off but a bird in the hand works for me.

[Bozza]

Originally Posted by MrsBC

£1m now please - if we took the other option we'd be £200k better off but a bird in the hand works for me.

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That's the rub...

With each passing day, £1 is worth a little bit less due to inflation (which is in the news today, as it happens). You've probably heard or read the phrase "a pound today is worth more than a pound tomorrow".

You'd need inflation to be running at a consistent 4% or so to erode the monthly £10k payments such that, when summed, they'd be worth less than £1m today.

However, that ignores what you could earn by sticking that £1m, or some of it, into a savings account upon receipt to earn interest, although rates are historically very low currently.

You could be more speculative with the £1m to try and obtain higher returns, but you'd then be taking some risk with the cash, and could lose some. Worst case, you could lose it all.

I think I'd take the £1m today, but I think it's a pretty close call as to what may be the most financially beneficial approach to take.

[MrsBC]

Originally Posted by Bozza

That's the rub...

With each passing day, £1 is worth a little bit less due to inflation (which is in the news today, as it happens). You've probably heard or read the phrase "a pound today is worth more than a pound tomorrow".

You'd need inflation to be running at a consistent 4% or so to erode the monthly £10k payments such that, when summed, they'd be worth less than £1m today.

However, that ignores what you could earn by sticking that £1m, or some of it, into a savings account upon receipt to earn interest, although rates are historically very low currently.

You could be more speculative with the £1m to try and obtain higher returns, but you'd then be taking some risk with the cash, and could lose some. Worst case, you could lose it all.

I think I'd take the £1m today, but I think it's a pretty close call as to what may be the most financially beneficial approach to take.

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At my age I would give some to DS and DD, and spend the rest enjoying ourselves while were still able - no investments except in our wellbeing