Didn't See That Coming, Did You?

"If I had a million bucks..." Everyone wishes they had more money. And even when they have enough, they wouldn't mind a little more. It's why we scratch tickets (despite the odds), go to the casino (despite the hundreds who go to therapy for it), and continue to play poker at home for anything from $5 to $200 a night.

So if we were to, say, win a couple hundred million by some ungodly chance, life would be perfect...

Or would it?

According to this article, you can come up with a thousand reasons to win the lottery, but there are a handful of reasons that the lottery could be disastrous for your life and health.

Lottery

Here's my favorite:

3. You'll have an increased risk of bankruptcy

Given the fact that you'd have enough dough to clear up your debt, bankruptcy seems a long shot after winning the lottery. But experts say lottery winners actually are at greater risk of bankruptcy.

"Winners suddenly have significantly more credit available to them than they ever had. That makes them more likely to make purchases on credit, rather than use cash," says Scott Dillon, a senior bankruptcy attorney at Tully Rinckey in Albany, N.Y. "Winners are much more likely to make significant impulse purchases far beyond their previous means. So the purchase amounts will be much higher, making the interest accrued on those credit cards much higher. And because they don't stop to think the money could run out, winners don't generally think they need to create or live by a monthly budget."

"While it may be counterintuitive, a large influx of wealth without proper planning can easily cause people to forget the need to save for the future," adds Dan White, founder and president of Daniel A. White & Associates, a financial planning firm in Glens Mills, Pa., that specializes in asset protection and transitional and retirement planning.

That's just one reason. There's a couple more really good ones on that list, and what it all comes down to is...money doesn't solve everything, and can cause more problems than it fixes. My personal sentiment, which I have felt for many years, is that should I find myself the unexpected recipient of a millions dollars...I would pay off my loans, get a small house, buy a new bike, and live off the rest of it for five years or so.

You go out and buy five cars, a three story mansion, install a pool in the shape of the playboy bunny, and hire burlesque dancers every other night (not to mention upgrading to a minibar the size of Rush Limbaugh's ego) and you're going to find your money is like a cup with a dozen holes in the bottom. Just...empty.

So if you were to stumble across a few million in cold hard cash, what would you do with it? Would you consider it a blessing...or the end of your life as you know it?


Food for thought.

I'd buy I comfy house not to big, but not to small either on land that has Its own water source, buy one new car and use old car in demolition derby (make money), Put a million in the bank live off interest, The rest try to open a real BBQ place that uses charcoal not gas. SnF

Except I would not over do my spending. I'm not interested in things like solid gold toilet covers or fifty pounds of diamonds and emerald bling. I would have a large home with a huge library, computer room and entertainment room and a few servants and a good car, but not a limo and definately not any kind of car worth over fifty thousand dollars, except for one custom made car which would look like a science fiction starship. And I would have my own ship so I can travel and see the world.

I'd be very smart with my money, and live far below my means. I'm just not into buying things just for status, and I'm just not into things like $2500 an ounce caviar and crap like that. It's buying those kinds of things that tend to help people lose their money quickly. They are just not smart with it.

The other thing too that you've got to watch out for are the nuts. You see, when you're rich you become a target from everybody who thinks that your money should be theirs and they'll use any dirty trick to sue you to take your money away. People will be coming out of the woodwork to do what they can to get you to give up some of your money to them and if you don't comply they'll insult and berate you to no end.

It all comes down to WANTING more than you NEED. I love the saying "Want Less".

Sure, I'd buy a nice house, decent car, nice furniture. Take a vacation from time to time.

But do I need a huge house with 60 rooms? or a $50,000 car? Or a private jet? No. I don't. I don't even WANT these things.

If i came across a couple hundred million all of a sudden, i'd pay off my mum and dad's mortgage (or buy her a new house outright) and give them enough to live comfortably for the rest of their lives, as they have had a hard life. Then I would give each of my brothers and sisters (I have 3 brothers and 3 sisters) enough to get the best education that they can, but not enough to live comfortably for the rest of their lives, because I think having to sort things out for yourself builds character and empathy for other people.

I'd give myself a holiday somewhere, preferably in Asia. Not an expensive holiday, just a week or two in a nice place. I wouldn't let myself keep enough to live comfortably either, I would go on my own missionary style trip to poor countries/cities, use my money to help install clean water facilities, schools, libraries, renewable energy facilities etc. and make sure the money is spent by me, for the people, rather than contributing to charity, as the BILLIONS that have ever been donated to charity, don't seem to have done very much.

Originally posted by tinker9917
It all comes down to WANTING more than you NEED. I love the saying "Want Less".

Sure, I'd buy a nice house, decent car, nice furniture. Take a vacation from time to time.

But do I need a huge house with 60 rooms? or a $50,000 car? Or a private jet? No. I don't. I don't even WANT these things.

"May you live as long as you want, and never want as long as you live."

That is an Irish blessing...I love the philosophies in it.

reply to post by domasio

Good post, well thought out. I would be nice to provide some of the things to others which we take for granted

I watched a very interesting French Canadian documentary a while ago in which they were interviewing lottery winners. For the most part people have very negative ''side effects'' from it. Stress and anxiety build up from gaining that huge amount of money. Socially its a disaster, it does change the behavior of people around you...everyone ends up expecting a share. When you win the lottery the media usually report you as the winner, in the news paper or the local news....thats when the harassment from people who want to sell you stuff begins.

"May you live as long as you want, and never want as long as you live."

Thats really awesome Starchild, never heard it before. Thanks for sharing

reply to post by jesiaha


Very true, I've never understood how people can have such animosity towards a neighbour just because they got lucky playing the same game that they do. I guess it's a very agressive form of envy, one which I, luckily, would never feel, as I have a rich family nearby, and wouldn't dream of havng that much money and using it just on myself and my own family.

Originally posted by domasio
reply to post by jesiaha

 

Very true, I've never understood how people can have such animosity towards a neighbour just because they got lucky playing the same game that they do. I guess it's a very agressive form of envy, one which I, luckily, would never feel, as I have a rich family nearby, and wouldn't dream of havng that much money and using it just on myself and my own family.

For example, there was one guy's story that I remember. Every year he was organising a big BBQ with his friends and neighbors, every guest was cutting in by bringing stuff. Then he won something like 2 millions...
As usual that year he organised the event but most of the guests didn't cut in that year...and he brought it up with some of the attendees. That created a hell for himself, he was vilified amongts his friends and neighbors and people cut ties with him...

I would buy a bigger piece of land and secure my families financial future, but the rest I would give away immediatly to those who truly need it. I would use it however it seemed best in order to help as many people as possible.

I hate money for what is represents and how it causes people to act. I don't aspire to be monetarily wealthy as I am already wealthy with family and friends and that is what truly matters to me. I have everything I need to live, and provide for my family. My daughter has more at her age than I ever had growing up.

Most hope for lottery winnings to make their lives easier or better. To me having that much money would be an awful burden because of the type of person that I am. I wouldn't feel right living a life of luxury while others around me suffer from debt and other money created troubles. I guess I just care about others too much to be able to enjoy something like winning the lottery.

Funny that you mention that, OP, my wife is involved in a lawsuit that will make her a millionaire this year sometime, and we have giving this a great deal of thought. We will create a Charity Trust, and take only a small amount for ourselves. Living in the lap of luxury is simply not our cup of tea.

Yup there are a tonne of past winners who have gone broke after winning large pots of cash in lotteries.

Like Ron White said...

"You can't fix stupid. "

Best thing to do is hire a financial planner for all that money. It may save you from going broke.

reply to post by Starchild23


You mean the idiot tax?

Yeah lot's of people like to pay that tax.

Kind of sad really.

And yes, most people who get rich off the lottery end up loosing it all.

I knew a guy who won 5 million, was broke 3 or 4 years later, won another million and was broke after 6 months.

~Tenth

reply to post by Starchild23


I would put half into a savings account.
Then I would use the rest to suit my daily needs like usual.

I like to thing I wouldn't change but no-one ever really knows.
It's just I have certain things I spend money on and I don't need much else.

Originally posted by tothetenthpower
reply to post by Starchild23

 

You mean the idiot tax?

Yeah lot's of people like to pay that tax.

Kind of sad really.

And yes, most people who get rich off the lottery end up loosing it all.

I knew a guy who won 5 million, was broke 3 or 4 years later, won another million and was broke after 6 months.

~Tenth

edit on 3/31/2012 by tothetenthpower because: (no reason given)

Wow, now he's probably waiting to be struck by lightning...I'd say the odds are on his side lol

Social investment. Buying up homes and land to build new homes and then rent them out to people on low incomes.

Personal investment. Complete my education, perhaps become a perpetual student.

Filial investment. Take all my kids on a spending spree!

And just for kicks, occasionally post a wad of cash through some random person's door.

reply to post by tothetenthpower


Precisely. It's astonishing, really, the number of people who completely forget about or ignore the idea of conservation.

Maybe they just believe they'll never run out. A million is a big number, but it's pretty small considering how everything nice is priced these days...especially if you want a fast car and a mansion, like a lot of people seem to. Then there's maintenance costs and taxes, which are only worth the expense if you continually have a few million coming in every month. That's only true for a relatively small portion of American taxpayers.

But not everyone thinks about these things. And we call ourselves intelligent...