Before you start spending, take stock of any obligations or costs around the inheritance, said Susan Bradley, a certified financial planner and the founder of the Sudden Money Institute in Palm Beach Gardens, Fla.
“If it’s not liquid, readily available money, you’re going to have a to-do list,” she said.
For example, should you inherit a home, you’d need to decide (perhaps jointly with other heirs), if and when to sell, Bradley said. In the meantime, you’ll need to cover financial obligations around the house like property tax bills and maintenance costs.
You’ll also need to think about the tax obligations say, of selling inherited investments or taking distributions from an inherited IRA, she said. (Depending on where the decedent lived, you may even owe inheritance tax).