It’s the most exciting part of playing lotto games – winning. You have been playing a system and playing it regularly when your numbers come up. You realize that you are the winner of a large jackpot. It’s all too common for lotto winners to spend their winnings too quickly. You need to make sure that you are careful with your prizes.
There are several known instances of lotto winners running through the entire amount of their winnings within six months or a year and ending up broke. A lotto jackpot win can bring instant wealth, wealth that most are not used to. As a result, they go on spending sprees buying all of life’s luxuries. They will buy new homes and cars and take lavish trips and before they know it, they have gone through a sizable chunk of their winnings.
Upon winning a large jackpot, a winner must have a plan. Otherwise, he or she will end up like the numerous others who have squandered away their fortunes. Once you have verified that you are a winner, you should immediately meet with an attorney and a financial professional you trust. These two will play a big role in how your new wealth will affect you.
Make an agreement with your attorney, the financial person, or your family that you will not spend any of the winnings for a period of three to six months. During that time period, figure out exactly what you will do with the money. You can pay off debt, including mortgages, set up trusts for your children, or donate to worthy charities. Only after you have done the things that will benefit you and your family the most long-term should you begin to enjoy spending on luxuries.
Winning can catch people out
So many people have won a lot of money on the lottery, only to squander it all in a few years and left with nothing to show from it. When somebody goes from having little to no money to all of a sudden having vast amounts of life-changing money, it can soon be frittered away on expensive luxuries. This is why anyone really needs proper financial advice, so they can ensure that they spend wisely and make the money last for a long time rather than reach that peak of supposed financial freedom, only to lose it all.
While the chances of winning a lotto jackpot big enough to change your life are very small, if you play the lotto regularly then you are giving yourself a much better chance of doing this. So to be prepared makes a lot of sense, even if it just means that you have somebody in place that can give you the kind of advice you need to make the best out of your winnings.
While it is always good to listen to your family, it is often best that you seek the advice of a professional financial advisor. While family members will have the best intentions when giving you advice, it may not always be the best advice for you to follow. So speaking to a professional who knows exactly what you should be doing to make your money last is the best advice you could be given if this ever did happen to you.