re: If the average middle-class American

What the average idiot should do?

Take every cent of it and put it in an 18 month CD. This will let the shock wear off, and it will be illuminating that, with practically zero risk, they now have about $30k more than they started with.

Now, pay off the credit cards. It sucked making all of those payments over the last 18 months, didn’t it? Maybe you won’t max them out again this time, which is what most people seem to do after paying them off (usually after selling a house).

From here, it branches a fair bit. Have you been grinding out work as an employee for a small business that you could conceivably run yourself but just didn’t have the start up capital? Take a shot and see if you can change your life. However, if doing so will use up more than 50% of what you have left, it’s probably not a good idea, because most people are going to frick this part up.

If you live in a 60’s ranch style death trap, consider a new home that isn’t much (if any) bigger, but is significantly newer so you can start seeing some relief on utility bills.

Take a nice, reasonable vacation somewhere you never thought you would be able to go (should be doable for less than $15k, full stop. Most likely less).

Now put the rest in a nice, low fee vanguard index fund and get your arse back to work.