As someone who is depressed, I would take the million in 10 years. That would be such a motivator but really, it would just make it much easier to not fret the small shit.
I’ll take $1mill in 10 years,that will cover my retirement so I can spend a bit more of my income now to live and enjoy those far off holidays rather than wait
I would take the money tomorrow. I'm 62 and lots of people I knew who are my age have died recently. I would put it of if in the event of my death my children got the money.
I’m 43 and I would still take $100k today. You just never know.
$1,000,000 in ten years. Even assuming you could get 10% compounded annually, the $100,000 would be worth just $259,000 in 10 years.
No matter how entrepreneurial you are there is a huge difference between 100k and 1m. You would have to find an investment opportunity that consistently produces %25 a year for a decade to reach that million. Good luck with that in this or any economy.
If the name of the game is “have the most dollars when you die” then taking the million in 10 years is the safe bet. If the name of the game is “live a fulfilled life” then I’ll take the hundred grand right now, thank you very much.
A hundred grand now means my wife and I would have no debts, and be able to have a kid. We can’t do that in 10 years.
And this is the crux of the issue - it matters greatly where you are in life and what you need to take the next step. I've finished raising my kids pretty much - just got 2 more to get through college and it's tough but we're managing it now.
So I'll take the $1M in ten years. It'll pay off any debt we have remaining and we'll be set for retirement so we could cut back our work hours and enjoy now the stuff we're missing out on trying to squirrel away enough for retirement later.
You could also just use the 100K to increase your income. You're a walmart cashier? Use the 100k to go to school, get a STEM or business degree, go from making 30k - 130k, Now your 100k is earning you a $1M every ten years until retirement.
To dumb for school? Start a small business doing something you're good at. Buy a dumptruck and start taking contract work. Get your truck license and buy a semi, start doing longhaul.
Buy a pickup and some painting supplies, start painting houses. Buy some landscaping equipment, start looking for contract work. You're already a professional? Use that 100K to start up your own business.
The point is a $100K cash influx is huge and if you're not just throwing it at the market, you can turn it into a $100k/yr business. The hardest part of starting a business is being able to afford the risk.
You can always just rack up the debt and declare bankruptcy at 9 years knowing you have this windfall coming
Before you take the $100k, go shop around some banks for how much they'd be willing to pay you now for the $1 million in the future. Assuming the benefactor is creditworthy, and your heirs can collect if you die, then a 5 percent discount rate means they'd pay you about $613k today for the right to the $1 million in the future.
'Hey bank. Reddit genie offered me $1,000,000 in ten years. What's that worth to you?'
For me it means for the next 10 years I can enjoy every penny of my paycheck today. Sure that isn't a boost of 100k right now, but it isn't all delayed gratification. I'm sufficiently young that I'll know half the million that's coming later will fund my entire retirement by itself, and I'll be okay until then.
Now if this choice came a year and a half ago when I was in a bind because my pandemic income was pathetic, that's a completely different story. I would have very seriously looked at the 100k upfront because of how many short term problems it would have solved.
Long term it probably would have still not been optimal but it wouldn't have been a bad call. Today giving up the 900k, even inflation reduced, would be a bad call.
The 100K. Because I'm 71 yo. If the $1M could be inherited, then $1M.
Honestly I'm going to go the opposite of a lot of the people here a million dollars later in life would be nice but realistically 100,000 tomorrow would help me a lot more.
Either one isn't going to make me rich or guarantee me a retirement but at least with 100,000 tomorrow, I can settle all my debts replace a bunch of things that have been broken or gotten old and still have a comfortable savings net left over to really get me out of this slump I've been in.
As much as it's nice to think I would be patient and wait for the million dollars realistically I need the money now, not in 10 years.
Especially when I look at how high a 100,000 still is and think about how much it could pretty much solve every problem in my life - which would also frankly solve most of my mental health struggles like anxiety and stress by removing most of the major factors that contribute to those.
My initial reaction was take the $100k tomorrow. I can 86 my student loans, pay off all my debts and even if I don’t have much leftover I will at least have a clean slate. This is still my opinion.
I know that $100k won’t mature into $1 million as a lot have mentioned. But for so many, including myself, looking ten years down the line is tough. Living every day worrying while that money sits years away. Just checking off boxes waiting for that money. It would be brutal.
If you can afford to wait take the million. But the reality is a lot of us can’t wait ten years.