How Lottery Winners Waste Their Winnings

lottery winner

The lottery is one of the few games in the world that doesn’t discriminate. It doesn’t care if you are black, white, short or tall, republican or democratic, or rich or poor – all that matters is if you have the right numbers. That is the reason why millions play the lottery, and dream of winning big. However, a sudden influx of money can be life changing but it also can ruin you if you aren’t careful.

A lot of people squander their lottery winnings. In fact, about 70 percent of lottery winners lose or spend their entire winnings within five years, according to the New York Times. A few things to keep in mind if you’re lucky enough to hit the jackpot:

Lifestyle creep

If you have millions of dollars at your fingertips, it can be tempting to splurge on a new car, bigger house or other major purchases that you couldn’t afford before. But this type of spending can lead to debt and unnecessary expenses, which can be hard to overcome.

Showing off

Many lottery winners become so overjoyed after winning that they start flaunting their wealth to friends, family and complete strangers. This is a huge mistake because it can make people jealous and turn them against you, making them want to steal your money or take revenge. Instead, take some time to yourself and consult with legal and financial professionals to make wise decisions about your assets.