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If you receive a large sum of money, often called a windfall, your first thought is probably along the lines of: “OK, now what do I do with it?”
Good on you for taking a second to make a plan — it’d be a shame to squander a large sum of money. After you’ve determined what is yours to keep after taxes, here are six things you could do with a windfall.
1. Put it in a high-yield savings account
One of the better places to put a large lump sum of money is a high-yield savings account. High-yield savings accounts have higher interest rates than average, often as high as 5% APY. These deposit accounts can grow your balance without any work thanks to the power of compound interest.
However, if your lump sum is over $250,000, be careful placing it all in one deposit account. Most deposit accounts are only insured by FDIC or NCUA insurance up to $250,000. If your windfall is larger than that, you can either spread the amount across multiple accounts or put it in a deposit account with higher insurance.
New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more) OR $400 (with at least $5,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more). Cash bonus amount will be based on the total amount of Eligible Direct Deposit. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 12/31/2026. Full terms at sofi.com/banking. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.
SoFi members with Eligible Direct Deposit can earn 3.30% annual percentage yield (APY) on savings balances (including Vaults)and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.
Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet
We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at sofi.com/legal/banking-fees/.
SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at SoFi.com/banking/fdic/sidpterms. See list of participating banks at SoFi.com/banking/fdic/participatingbanks.
We’ve partnered with Allpoint to provide you with ATM access at any of the 55,000+ ATMs within the Allpoint network. You will not be charged a fee when using an in-network ATM, however, third-party fees may be incurred when using out-of-network ATMs. SoFi’s ATM policies are subject to change at our discretion at any time.
Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.
Overdraft Coverage is a feature automatically offered to SoFi Checking and Savings account holders who receive at least $1,000 or more in Eligible Direct Deposits within a rolling 31 calendar day period on a recurring basis. Eligible Direct Deposit is defined on the SoFi Bank Rate Sheet, available at https://www.sofi.com/legal/banking-rate-sheet. Members enrolled in Overdraft Coverage may be covered for up to $50 in negative balances on SoFi Bank debit card purchases only. Overdraft Coverage does not apply to P2P transfers, bill payments, checks, or other non-debit card transactions. Members with a prior history of unpaid negative balances are not eligible for Overdraft Coverage. Eligibility for Overdraft Coverage is determined by SoFi Bank in its sole discretion. Members can check their enrollment status, if eligible, at any time by logging into their account through the SoFi app or on the SoFi website.
Earn up to 4.00% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.30% APY as of 12/23/25) for up to 6 months. Open a new SoFi Checking and Savings account and pay the $10 SoFi Plus subscription every 30 days OR receive eligible direct deposits OR qualifying deposits of $5,000 every 31 days by 3/30/2026. Rates variable, subject to change. Terms apply at sofi.com/banking#2. SoFi Bank, N.A. Member FDIC.
2. Pay down high-interest debt
If you have any consumer debt, like credit card balances, personal loans, payday loans or anything similar, using your windfall to pay it down is a great idea. American credit card holders report owing an average of $3,929 in credit card debt, according to the Finder Consumer Confidence Index.
Unsecured debt is notoriously hard to pay down, and with its high interest rates, it can be very costly if you don’t pay it off quickly. The only thing to watch for are possible prepayment penalties, which is a fee charged if you pay off your loan faster than planned, but those aren’t typical with credit cards.
3. Invest it
One of the most common suggestions (and a great one) is to invest large sums of money outside of your typical income. With a large sum of cash that isn’t included in your everyday budget, investing in retirement is a wise use.
Some investing or retirement planning options include:
Do you have plans to buy a house? Want to pay off your student loans? Looking to start a business? Were you working on a “Financial Independence Retire Early” (FIRE) plan? With a large sum of cash, you can accelerate those plans.
5. Create an emergency fund
If you don’t have an emergency fund or it’s not exactly bursting at the seams, using your windfall to bolster it is a good plan. Emergency funds can help out in case of medical emergencies, car troubles, job loss or anything else that could happen outside your normal monthly budget.
The size of your emergency fund depends on your monthly expenses. Most agree that an emergency fund should have at least three to six months of living expenses, including loan payments, housing, groceries, utilities, insurance and so on.
For even more savings, you can also place your emergency fund in a savings account to earn interest.
6. Save for your family’s future
If you have kids, saving a sudden large sum of money for their education, first car or a wedding can be a great use of that cash.
There are investment accounts for kids, such as 529 savings plans designed to save for education expenses. There are also teen-owned brokerage accounts, UGMA and UTMA accounts and custodial IRAs. No matter which option you choose, be sure to factor in taxes and when the funds are released to them. In most cases, investment accounts for kids give parents or guardians full control and responsibility over the account until the child reaches the age of maturity, usually 18.
Bottom line
Whether you got this lump sum from an inheritance or lottery, it’s nice to have money that’s outside your typical earnings. If you’re still not sure what to do with your windfall, it may be a good idea to talk to a financial advisor.
While you’re deciding what to do with your new lump sum of cash, at the very least, consider putting it in a compounding account so it can continue to grow.
Bethany Hickey is the banking editor and personal finance expert at Finder, specializing in banking, lending, insurance, and crypto.
Bethany’s expertise in personal finance has garnered recognition from esteemed media outlets, such as Nasdaq, MSN, Yahoo Finance, GOBankingRates, SuperMoney, AOL and Newsweek. Her articles offer practical financial strategies to Americans, empowering them to make decisions that meet their financial goals. Her past work includes articles on generational spending and saving habits, lending, budgeting and managing debt.
Before joining Finder, she was a content manager where she wrote hundreds of articles and news pieces on auto financing and credit repair for CarsDirect, Auto Credit Express and The Car Connection, among others.
Bethany holds a BA in English from the University of Michigan-Flint, and was poetry editor for the university’s Qua Literary and Fine Arts Magazine.
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