You’ve Won the Lottery – Now What Do You Do?

For most people, in fact the vast majority of the planet, a large jackpot win on the lottery would mean life change in a big way.

how-to-win-the-lottery_Richard-LustigI mean, who hasn’t dreamt of what they would do with all those millions; a new house; a new car (or 2); a boat; a vacation to the Mauritius for you and 40 of your closest pals.

But what would happen if you awoke on Sunday morning to the realization that you had become an instant multi-millionaire…would you risk losing it all on silly purchases or would be smart enough to think about your options?

What Would you Do With it All?

Imagining about how life would be so good after a massive lottery win can be tantalizing to the senses and a highly enjoyable experience. Mentally planning that dream holiday and basking in the feelings aroused by those mental images can be exhilarating.

Dreaming about all the super fantastic things you will do with your new found wealth can really motivate you and make you feel good. Will you travel the seven seas, race camels across the desert or just bask by your castle’s pool in the Mediterranean sun?

Perhaps you will retire to an ocean view beach house that sits on the sun-kissed shores of the Caribbean. Or, you may want to build some stables for those award-winning horses who keep on the ranch.

Slow Down Cowboy

There May Be Rustlers Ahead!

Dreaming about a lottery win may be amazing but if you are taking real steps to increase your chances of winning and even play as part of a syndicate then perhaps fantasizing about how you will spend your money is not the wisest thing you should be doing.

You should probably be making plans about how you will best utilise this money and thus avoid becoming just another victim of the curse of the lotto.

Curse of the Lotto

We have all heard stories about men and women who, having won huge sums on the lotto, end up even more broke than when they started. It just seems that some people can’t handle having money.

Don’t be one of them!

After a huge win on the lottery, or any other big financial gain, it is fine to spend some of it and celebrate your new found wealth but don’t squander it.

The Best Course of Action After a Win

Most financial experts advise winners to take a few days or even weeks before touching their winnings.

The only thing you should spend any money on is a modest holiday for you and your immediate family (or those who will be affected by the win the most). This will give you some time to relax and allow yourself to get used to the idea of being wealthy.

Either before you jet off or just afterwards, or both, you should seek the counsel of at least 2 independent financial advisors.

If you can find a professional who has already dealt with previous lottery winners or people who have inherited sudden wealth all the better if not seek someone who is competent and perhaps recommended by the lottery company.

Such a person is trained to help you manage your money and prepare for the future.

UK & Europe Winners

In the UK and Europe the lottery fund is paid in one tax-free sum.

Did you know that depending on the size of your win and the financial plan you follow you could easily live-off the interest form that amount without ever having to touch your actual winnings? What’s more you would live with much higher level of income than most other people you know or that you could ever aspire to through working.

USA & Other Countries

In USA lotteries and other similar country lotteries winners are given the option of a lump sum payout or an instalment plan. A financial advisor will be able to tell you whether you should take a lump sum or take instalments, dependent on how you want to build your life in the present and future.

Unplug & Drop-Out

Unplug your phone. Buy a new cell phone and advise your family, close friends and financial advisor of your number and tell them to share it with no-one!

Consider staying with friends or family members for a few weeks.

Many lotteries give out the names of winners and their locations. It is very easy to track winners down with this information. So be prepared for an onslaught of unwanted attention.

The last thing you want at this stage is begging phone calls and letters or other distractions.
You need to keep a level head and maintain clear thought processes.

If you are “caught on the hop” by someone asking for money you can simply say you have not got the money yet and have not even spent anything on yourself (which will be true) and therefore are not at liberated to give any away.

Whatever you do make sure you have a financial plan in place and you are absolutely certain how you are going to use your winnings…in detail…before you give any money away!

Celebrate

Once you have a sound financial plan in place…relax!
And, of course, you should now celebrate and just enjoy the beginning of your new life.