Nearly One-Third Of U.S. Lottery Winners Declare Bankruptcy

drypowder

drypowder

Les Deplorables
Joined
Dec 17, 2016
Messages
4,565
Location
behind enemy lines
Rating - 100%
15   0   0
Nearly One-Third Of U.S. Lottery Winners Declare Bankruptcy

Studies show that lottery winners are more likely to declare bankruptcy within three to five years than the average American.

In fact, nearly one-third of lottery winners declare bankruptcy, and it doesn’t end there. It’s usually followed by depression, drug and alcohol abuse and estrangement from family and friends.

Moral of the story: if you win the lottery, do yourself a favor and give me the money and let me bear that burden for you.
 
Chdamn said:
Easy come easy go for a lot of people.

And if you weren’t happy with your life before you win the lottery you ain’t gonna be happy with it after.
Click to expand...

True. But misery would be much easier with financial security.
 
Chdamn said:
Easy come easy go for a lot of people.

And if you weren’t happy with your life before you win the lottery you ain’t gonna be happy with it after.
Click to expand...


Look at that, people who are good with money don't play the lottery.


SPST said:
True. But misery would be much easier with financial security.
Click to expand...

Never seen somebody looking unhappy on a Jetski.
 
If I ever win the lottery, my wife will find out when she signs the next tax return.

Because that money ain't going ANYWHERE until AFTER that tax year is settled...not one minute before.

Until then, it sits in the bank or wherever, marinating in whatever interest it earns.

Afterwards...when all the taxes are settled and the amount remaining is indisputable, a series of investments and bank accounts will be set up and the interest, capital gains, and dividends will be charted and mapped out. And ONLY that will be touched for day-to-day living.

Bugger that getting tens or hundreds of millions and spending it all overnight.
 
@RetiredUSNChief I think it would also be acceptable to pick an amount of the winnings to be used to splurge, but beyond that do as you say - let your money work for you.
 
Well if anyone here on the forum hits a big one and doesn't want to be bothered with all the strain of spending and saving let me know. I'll gladly buy the ticket at the original cost from you so you can go on with your life. :):)
 
RetiredUSNChief said:
If I ever win the lottery, my wife will find out when she signs the next tax return.

Because that money ain't going ANYWHERE until AFTER that tax year is settled...not one minute before.

Until then, it sits in the bank or wherever, marinating in whatever interest it earns.

Afterwards...when all the taxes are settled and the amount remaining is indisputable, a series of investments and bank accounts will be set up and the interest, capital gains, and dividends will be charted and mapped out. And ONLY that will be touched for day-to-day living.

Bugger that getting tens or hundreds of millions and spending it all overnight.
Click to expand...
Eff that noise I’m buying a new ‘vett, a velvet Elvis and moving in next to the mayor.
 
RetiredUSNChief said:
If I ever win the lottery, my wife will find out when she signs the next tax return.

Because that money ain't going ANYWHERE until AFTER that tax year is settled...not one minute before.

Until then, it sits in the bank or wherever, marinating in whatever interest it earns.

Afterwards...when all the taxes are settled and the amount remaining is indisputable, a series of investments and bank accounts will be set up and the interest, capital gains, and dividends will be charted and mapped out. And ONLY that will be touched for day-to-day living.

Bugger that getting tens or hundreds of millions and spending it all overnight.
Click to expand...

Don’t worry too much about the taxes, they withhold it so you aren’t tempted to overspend before paying your taxes.

I would move to a state without an income tax and then claim the prize as late as possible to try to avoid the NC income tax.
 
If you were to hit the Lottery be ready for every long lost relative, friend, sob story, charity, etc to be calling ... hands out. I’d be thinking of setting up financially for sure but I’d also be looking to hide from the blood suckers.
 
JimP42 said:
If you have a significant winning ticket, get a lawyer and claim it anonymously. No need to advertise to family or strangers that have come into money.
Click to expand...
Most lottery winners in NC can't remain anonymous by law.
 
Last edited:
I saw a thread awhile back that a financial advisor started about what to do if you win the lottery. His advice was tell no one, sign the back of the ticket, put it in a safe, go to the biggest city near by find the biggest law firm and demand to speak with a partner of the law firm. Don’t buy people anything, don’t give anyone money. If you feel generous and want to do something for people you set up a trust and they will get a set amount of money each month. Invest 70% of your winnings in safe investments. 20% to blow on luxury items and 10% to use in risky investments. This would get your blowing money phase gone, and your I’ll be a great investor phase gone. Then you just live off the interest of the 70% you safely invested.
 
Im willing to risk it.

I play the lottery less than half a dozen times a year. Spending less than 20 bucks a year (sometimes I buy multiple tickets).
I'd gladly hit the lottery and risk going bankrupt in 5 years.
It'll be a hell of a ride for five years!
 
Same can be said for many professional athletes. They don't plan for what happens when any injury ends their career. Happens so much that it is seems newsworthy when a player is frugal.
The CTO of my employer is also not good with money. Wasted a 5hit ton of money on useless expensive "team building" trips to impress people.
Foolishness with money is not limited to lottery winners.
It is mindset.
Has my father won the lottery when he was alive, he would still have driven a sensible small car. He was the only high level manager at his employer not driving an expensive import.
My brother and his wife are both lawyers. Their house in the only one in the neighborhood without a foreign luxury sedan in the garage. His Frontier has 120,000 miles on it.

Plenty of kids that grow up in wealth piss away their trust funds.

Sent from my SM-G935V using Tapatalk
 
DCGallim said:
I saw a thread awhile back that a financial advisor started about what to do if you win the lottery. His advice was tell no one, sign the back of the ticket, put it in a safe, go to the biggest city near by find the biggest law firm and demand to speak with a partner of the law firm. Don’t buy people anything, don’t give anyone money. If you feel generous and want to do something for people you set up a trust and they will get a set amount of money each month. Invest 70% of your winnings in safe investments. 20% to blow on luxury items and 10% to use in risky investments. This would get your blowing money phase gone, and your I’ll be a great investor phase gone. Then you just live off the interest of the 70% you safely invested.
Click to expand...
That's a thread on Arfcom. I read it every once in a while to brush up on what to do if I hit it big.

I usually play the lottery when the prize passes $200M. Less than that just doesn't seem worth it.

Every state lottery commission has different rules regarding what you have to agree to in order to claim your prize. For some it's appearing in ads for the lottery, for others your picture is put on TV, others just the newspaper.

Sent from my XT1565 using Tapatalk
 
GoWolfpack said:
I usually play the lottery when the prize passes $200M. Less than that just doesn't seem worth it.
Click to expand...

I dont know man, buying a 2 dollar ticket and hitting for 60M still seems worth it to me.
Even after the gov takes all their money etc, my house is still paid off, as is my parent's.
And I'm sitting pretty with 25+M in the bank etc
 
GoWolfpack said:
Every state lottery commission has different rules regarding what you have to agree to in order to claim your prize. For some it's appearing in ads for the lottery, for others your picture is put on TV, others just the newspaper.
Click to expand...

I'm gonna add a condition to mine.

They have to send pictures of me with my winnings to my ex-wife.
 
First thing I would do is pay off the house and small remaining debts.

Wife and I have IVF so we can have kids.

Buy some land and build my wife and I's dream home and shop.

Hire a good CPA to keep me walking on the straight and norrow. Invest part of the reaminer, open more Roth IRA. Basically try to put the money to use so when we retire in 30-40 years we will do what ever we want.
 
Last edited:
When I win I'll set up an M-2 on the front lawn, brag about winning to everyone and then have some target practice in the following days.

After that I'll proceed to blow it all in the next year or two on anything and everything, crash my Lotus while drunk and then be right back here broke like always.

No sense in delaying the inevitable.
 
If I ever win the mega millions lottery, I'm gonna introduce a lot of callers, beggers, and general donations-riffraff to my new favorite word:

"No."

And I'll laugh maniacally doing it, too.

If I'm not important enough to solicit donations from now, then I'm not important enough to solicit donations from then. So bugger off.
 
You must log in or register to reply here.
Back
Top Bottom