Why do lottery winners really go broke?

There are a very lucky set of people who become overnight millionaires when they win the lottery. People buy their tickets, cross their fingers and wait for the numbers. The thing is, before you start playing the lottery in your town, you need to know that money doesn't solve it all. If it did, there wouldn't be a selection of lottery winners out there who went broke - despite their vast windfalls of cash.

A lot of people want to win the lottery, dreaming about what they would do with the money if it landed in their laps. The unexpected millionaire is an excited and relieved individual who believes that all their problems are solved because they have money now. However, the result for some is that they are barely able to survive the drama and the fame that comes with a millionaire’s lifestyle. From the incessant pressure from media outlets to the sudden friends and family emerging from the woodwork with their palms out waiting for a slice, winning the lottery has been hard for some.

Too Much, Too Soon

Why do lottery winners really go broke?

There are some winners out there who don't quite recover from the sudden wealth they have. It's wonderful the moment that they win, but as time moves forward, things become sour, and what was once fun becomes worrying. For the most part, a lack of financial planning and no maturity when it comes to spending their money is the problem with some - including an inability to manage their spending power.

Winners Who Are Now Losers

Callie Rogers

Back in 2003, Callie was 16 when she was old enough to play the UK Lottery, and she won a cool £1,900,000. Her money was blown on drugs, plastic surgery, and parties, and her wealth drove her to despair. Now, she is a qualified nurse and is far happier despite having a net worth of less than £10,000.

Lisa Arcand

In the same year Callie won her fortune, Lisa Arcand bagged $1 million. It's not the biggest jackpot out there, but it's still a life-changing amount of money! She used the money for a house and vacations, but along with that, Lisa opened her dream restaurant. After falling behind on her bills, her seafood restaurant flopped and closed down.

Sharon Tirabassi

Why do lottery winners really go broke?

Winning the Canadian lottery of $10 million was a dream come true for Sharon, but she's currently back to renting a home and working part-time to ensure her kids have a roof over their heads. The money was mismanaged to zero, and she ended up with nothing.

David Lee Edwards

After winning $27 million with US Powerball in 2001, David blew his cash on sports cars, drugs, and even a jet. In five years, he had rinsed the money off and sold his assets to buy more drugs. He passed away broke and was cremated as there were no funds set aside to bury him.

If you won big, what would your first financial decision be?

This post was written by
Jason L - who has written 160 articles
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