The reality is that we see time and time again how lottery winners live tragic lives after collecting their winnings. The statistics that show this are startling because bankruptcies happen more frequently than we think. The first reason being that people who pass the test and show they understand the basic concepts of financial planning can use the money effectively and not blow it all away. Some people won’t change and the lottery won’t bring th
em happiness. This means that when they hit it big there’s no education and knowledge on how to handle the winnings and they blow it all on nonsense purchases. A better way to live is to be content with your situation and make the best of it. The reasons for this would be two fold. The lottery has really played a big part in a lot of family and personal life tragedies.
The title of this article is about going from winning the lottery to diving head first into poverty. Then and only then can they collect on their winnings. The second reason would be that people who can’t pass the test and show they don’t care about being responsible would have their winnings slashed greatly and the money would be used for donations to charities. The mental condition of falling in love with luxury items that outlasts their money happens all the time and people end up being worse off than before they won.Not always the case
This is certainly not always the case as many people who win the lottery have enough common sense to know what they’ve got and try to plan accordingly.
They all have high hopes of winning big and living happy for the rest of their lives. They say all the great things they’ll do, how they will retire early, and help a lot of other people in need. But is this how reality plays out when we do see people win the lottery? In most cases it certainly is not. Most of the lottery winners are people with low income and usually little education according to economists at various
research universities. But again people who have good financial education generally aren’t using their hard earned money to throw it away, but instead use it to pay bills and secure their financial future. Still people have gambling fever and that slim chance they win supersedes logic and reason. It’s happened way too many times how the money seems to disappear on silly things quickly and before they know it all the lottery money is gone and they go bankrupt. Instead they will get a large sum of cash, use it all within a short period of time, and then go right back into poverty because their minds and mental being were of a poor person trying to get rich instead of a person trying to live a normal life. The sad fact is that as that quote says about the lottery being a tax on the poor and stupid, while a crude word, seems to ring true. The lottery is a tremendous waste of time and money and I agree with the quote that “The lottery is a tax on the poor and the stupid”. There have been some great strides to change the system and help educate people and change this mindset, but until we as a nation embrace these sweeping school changes things won’t change.
We hear people say this all the time. Many people are so thrilled that they just get lost in emotion.
It has been suggested by some financial advisors and advocates that there be a course that lottery winners should be forced to take before they can collect on their winnings. “If only I could win the lottery I’d be happy for the rest of my life.” It sounds legitimate; you get lots of money you are set for life. In school we learn all about things we’ll never use while things we have to know like how to manage finances and open a bank account are never taught. There are people who have won it big and turned into big philanthropists which is absolutely wonderful to hear. Money fever is highly contagious when people suddenly hit it big, so the only thing we can do is fight back early. While this is just one of many approaches and leans towards the extreme I do agree that some kind of education is needed to help people avoid these struggles.
Humans will be humans. Of course this would never happen because there would be a great uproar among the public, but something should be done so people don’t just get a heap of money and then have their minds melt because they go money blind. It’s no wonder we see bankruptcy and poverty come as a result of big winnings because people haven’t received proper education on this subject of personal finance. This article points out some of the things that happen to people who win the lottery, and it will humble you to be happy with your living situation no matter where you are at.
Money signs in their eyes
People have played the lottery since the idea of gambling came into existence. This is why we see this happen more frequently than it should because people who are desperate and usually not in great financial shape win the lottery and ruin their lives. The chance of you winning the lottery is basically zero, and the money you used to buy those tickets could have been used to pay off debt, buy food, or better your life. They must take this class that gives a crash course in financial literacy, planning, and strategy and then they must take a test and pass it. Don’t throw your money away, use it instead to start building towards your financial future.Winner!
People will play the lottery anyway, so when someone does hit it big we all get excited for them and are curious how they are going to use the money. Not a month goes by where I don’t see numerous news paper articles all over the USA about people who won a lottery and ended up either bankrupt, committing suicide, or were driven to a life of crime. To think of how much of a difference a person with millions of dollars could make in this world if they would think of others and not just themselves is a mind boggling thought.