With the lottery becoming the new American Dream rather than a lifetime of hard work, there is an amazing development taking place in the world of lotteries. Two different lotteries have yet to produce a winner of the major jackpots. The Mega Millions lottery did not generate a winner, nor has the Powerball lottery. With Mega Millions now rolling up to $390 million and with the Powerball now at $222 million, this now puts the week of June 30 with a whopping $612 million up for grabs by the millions of people who play the lottery each week.
The odds should have generated a major winner in each lottery by now. What is amazing is that the $612 million combined would not represent a record lottery even if it was combined. It is just highly unusual for these to both be rolling up to such high sums simultaneously.
Lottery players know that the cash option is lower. The annuity value of $390 million for the Mega Millions would be $265 million for the cash option, while the annuity value of $222 million would be just over $151 million for the cash value.
Whether lottery winners take the annuity or the cash option, either one of these lotteries can create multi-generational wealth. What lottery winners have to understand is that sudden extreme wealth brings the need for sudden extreme responsibility. This is why 24/7 Wall St. has created the 12 Things Not To Do If You Win The Lottery.
Can you imagine winning a sum of over $100 million over $200 million? Even after you back out the discounts, the maximum tax rates for a state and the IRS, and even after backing out settling up your old life’s obligations, this is empire-building money.
The lure of the lottery is simple. It gives ordinary people the dream of becoming filthy rich overnight. It also comes without all of that pesky hard work year after year and having to save endlessly all along the way. Again, all newly attained wealth comes with the need for extreme responsibility. Sadly, many lottery winners seem to have ignored that lesson. It has been reported over the years that many lottery winners have gone absolutely broke, and some went broke in just a few years after becoming filthy rich.
Maybe it seems hard to imagine that you could blow through $100 million, $200 million, or more. It is simple to do. Careless planning and careless actions can wipe out almost any sum in short order. Have you ever heard that you should only have to become rich once? It’s true. There are many pitfalls waiting for unprepared lottery winners. Again, extreme wealth comes extreme responsibility.
Any new instant wealth can impact all of your family relationships and friendships. Running out and bragging to everyone could be more than dangerous – it could even cost you your life. Immediate financial advice and tax advice is a must, so is a budget. Being an ATM and banker for friends and family can wipe you out. Knowing high finance is a must, and winning money doesn’t teach you that. If all of these points sound outlandish, there is a serious chance that you are a prime candidate to go broke despite massive wealth.
Temptations await those who unexpectedly come into vast fortunes. Jets and yachts, mansions and third and fourth homes, private islands, keeping an entourage, hosting private concerts, and on and on. Any combination of these unneeded temptations could chew through hundreds of millions of dollars rapidly.
Hopefully the message is setting in. The whole point of 12 Things Not To Do If You Win The Lottery is that there are more temptations than there are reality checks. 24/7 Wall St. simply just does not want to see anyone who gets rich go broke. Again, extreme wealth brings extreme responsibility. Remember that you should only have to become rich once.
Here are the 12 things not to do if you win the lottery.