MY FAMILY PROJECT........OILWELL MONEY

[saltbranch]

I am 44, pretty much a labor guy from the get go. Did the Small Bus. Owner thing for a short time. From a truck driver I worked my way into an office job. I have 2 kids 17 and 15. Making the dream happen ya know. Pay bills by the week, throw back in savings what ya can. Hope to god you teach your kids to go to college & you really cant pay for and hope they will go on the same budget your parents offered to you ,that brings me to my question.
This is land your ancestors have worked for 100 plus years, they fought to keep in the great depression, they never sold. My grandfathers motto, hold on to the tail and the cows will pull you through. My dad handed that down to my brother and I. Enough land owner history most wont appreciate, lots of sacrifices involved there, than most will appreciate.
So what would you do? Where would you invest? How do you do it. THe wells coming and so is the money. Call me stupid, but I am not sure how to invest it, I want it to change my kids lives.

 

[Gale Hawkins]

Sounds like buying land and hanging on to it can sometimes be a good investment.

 

[schmism]

invest in more land. real estate.

 

[Tractor Seabee]

Just remember money does not buy happiness or love. Even if you have the money, kids are better off if they have to work for what they get. Look at the welfare programs, we throw money at them and all they do is ***** because it isn't enough and they want more and more and think it is a right not a privilege. Ask them to work for it and they say why?

I worked for every dime I ever had or still had. Planned for my retirement and saved. I live good, my kids practiced the work ethic I instilled and they are all doing well.

Please do not let a windfall of money change your life style.

Ron

 

[ericher69]

Read this book; Rich Dad Poor Dad

Give the book and concepts in the book a chance and read it fully at least twice.

The author has several other titles that may interest you.

Definitely changed my perception of $ and taught me not to be a slave to it but have it work for me.

Not rich but doing well at 35 with a family and never been happier!

Whatever you decide to do good luck

 

[woodlandfarms]

IMO, invest in retirement and kids education. Make sure those coffers are full before you start to play with money. Oil money is deceiving. It can be there one day, and gone the next for a myriad of reasons.

I believe in being debt free, as much as possible. Paying off all debt (mortgages) and setting a good base for retirement are fundemental. I also believe in low risk investments for retirement and education.

If you need an investment firm to guide you, I would look at Charles Schwab. I have found with lots of other firms they tend to sell you on products they own, and trust me, I have lost a LOT of money. Schwab seems to run on a different financial model. You can also look at a local credit union. They tend to sell products that get results, and not products they own.

Just be careful. There is no rush to invest, and no one really knows the truth about where money is going. If you have a good friend who has money, give them a call. They can introduce you to their financial people.

 

[forgeblast]

Just wanted to say that with the natural gas drilling they do not take out taxes when they cut you a check. Make sure you save enough to cover the taxes.

 

[TCJatko]

Just remember money does not buy happiness or love. Even if you have the money, kids are better off if they have to work for what they get. Look at the welfare programs, we throw money at them and all they do is ***** because it isn't enough and they want more and more and think it is a right not a privilege. Ask them to work for it and they say why?

I worked for every dime I ever had or still had. Planned for my retirement and saved. I live good, my kids practiced the work ethic I instilled and they are all doing well.

Please do not let a windfall of money change your life style.

Ron

This is very sound advice. He who is given everything values nothing.

 

[newbury]

IMO, invest in retirement and kids education. <snip>

And

You got to know when to hold 'em, know when to fold 'em,
Know when to walk away and know when to run.
You never count your money when you're sittin' at the table.
There'll be time enough for countin' when the dealin's done.

I'd put the childrens advancement into becoming productive members of society and their sense of self worth and happiness first, then retirement.

But even with the children you've got to take precautions. Not all children are meant to go thru college. Paul Allen, Bill Gates, Michael Dell all seem to be doing fairly well. SWMBO and I have 1 son who we basically had to force thru junior college. He went to the Navy in nuclear engineering, got out, got his master's and was pulling down big bucks, until he recently decided to go back to school to become a Dentist.

As far as investing for retirement there's several threads here about what the POPULAR opinion is to invest in. A year ago it was GOLD. Since then, at $1600/ounce, it rose to $1800, and now is at $1200. A 25% LOSS.

Most of us are going to tell you land or real estate. But that's because it's what we know.

Invest in what you know or LEARN about what you want to invest in BEFORE you invest. And donate a few bucks to TBN

 

[SPIKER]

Some pretty good advice so far, Be sure to know you will need a good Tax Adviser from the get-go!!!

I never got any $ from family, unless you consider a loan to buy tools from my oldest sister when I was 17. Since then I worked for all of mine and I had her paid back prior to being 18. I used the tools and know how to get going. I'm now on the down hill slide to 50, and BACK at school for few more years to get a BS degree.

One thing to do is make sure you do is NOT let everyone know you got a windfall of $ or even just how much it is. Just you & momma and a financial adviser, the kids while older are at the point where if they know dad got a bunch of $ that means they will think they need new trucks/cars.

Someone mentioned Charles-Schwab who are some BIGGER named investment firms. They are pretty good but have high fees and as others mentioned can push you to buy THEIR funds. They make a LOT more $ off of you that way buy selling you funds they own and charging you for that privilege. This is not unique to them many of the big firms do this, JPMorgan etc, if you do go with one of them try & not fall for this mistake and make sure they point out ALL of the fees and charges.

I invest my own $ myself using Scottrade and I buy/sell what I think will be good companies for long term dividend yields. I also speculate on small companies and one hit or hurt by world/market conditions. It is actually pretty easy to get into the grove and gain enough knowledge to make some good $ in the markets. Here you can invest in yourself by getting some financial education on how to do the work yourself rather than paying someone. You won't be making any $ by putting it into bank or in CD's or into a credit union. For the most part paying off Credit Cards is good by paying off land loans usually is not the best use of raw $. Refinancing to lower rates is best way to do the land and have tax bonus for getting best use of the money. Buying LAND also is OK but be aware that more land means you will only have to pay a lot more $ to keep it up and work into it as well.

Having kids go to school is also a good way to help THEM and YOU for future BUT be sure they do a lot of it themselves and guide them away from the stuff that is not going to give them long term earning ability. While some people may think degree in Ancient Greek History is fun in school it wont do a dam thing to get them ahead in the world... This is where so many people (kids and young adults) get a lot of bad advice. They need to look at career fields that have higher earning long term. Having them join Military also not a bad idea that gets them some working know how and gains a lot of maturity & help for school when they get out. I put in 6 + years in active duty to help with responsibility at the young adult age with a lot of guidance that MOST kids REALLY need at 18~20 yrs old.

Sorry for LONG post but pointing out options to think about...

Mark