Apr 23 2008
Consistent Income or One Time Payment
Is $1,000,000 up front or 100 payments of $10,000 a month a sweeter deal? This is a question I often ponder. On one hand, a million dollars up front is in theory a better deal because it allows us to make much more money if we invest it correctly. It is also the most flexible because it gives us the maximum choice. We can always put it in an investment that pays $10,000 a month and there’s even a good chance that we will get more than 100 payments of $10,000.
On the other hand however, having $10,000 a month is so comforting. Even though we can set it up to get $10,000 a month with the big one time payment by putting it in investments, not many people truly has the discipline to do so. Just imagine whether anyone will be able to keep [...]
Original post by MoneyNing