ex-Lottery winner now on food stamps.

[CrackaLackaZe]

"Willie Hurt of Lansing, Mich., won $3.1 million in 1989. Two years later he was broke and charged with murder. His lawyer says Hurt spent his fortune on a divorce and crack cocaine."

ROFL oh my god that's classic

 

[viking66]

glad you posted this because i plan on hitting the lottery next week.. I will let you know how it comes out..

 

[DeeKnow]

not surprising.... most ppl have no idea how to manage their money...

 

[nageov3t]

Originally posted by: Brutuskend
First thing you do when you win the Lotto.

Cut ALL ties and then move someplace where NO ONE knows you!

indeed.

not that I will ever win the lotto (I don't even play it), but I can see all of my dad's poor, crazy family coming out of the woodworks asking for money, trying to make me forget how awful they were to my family when we lived with them in Canada.

I'd give money to my immediate family members and distant family members that I like and are in need of the money, then I'll go into hiding

 

[LuNoTiCK]

It's funny, if you won the lottery, I bet everyone thinks they deserve a cut. If that money is earned another way, they are probably not as likely to think they deserve a cut.

 

[dman]

Originally posted by: LuNoTiCK
It's funny, if you won the lottery, I bet everyone thinks they deserve a cut. If that money is earned another way, they are probably not as likely to think they deserve a cut.

This is clearly because people who don't have money believe they would gladly share it with you if they were to win the jackpot and therefore you need to share with them. And of course, everytime you'd hangout, you would have to cover all the bills because, hey, you are the big jackpot winner, etc.


I rarely play the lotto (not a large jackpot buyer either,just semi-random). If I won I'd try to keep it a secret. Still, I believe I would be generous with my winnings but I wouldn't be giving handouts until all my financial stability needs were met first.

Just because you win a few million doesn't mean you are set for life. Unfortunately.

I tell my wife I win $3-5 every week by not playing she doesn't like that argument.. but so far I'm ahead.
I'll never hear the end of it if our numbers come in (or came in and we didn't see it).

 

[Viper GTS]

Why is it any surprise that someone who buys lottery tickets doesn't know how to manage money?

Viper GTS

 

[rudder]

When I win powerball on Saturday, first thing Monday I will take a bulk of the winnings and invest them. Of course I will spend the rest on liquour and hookers. At least this way I cannot touch the bulk of the jack.

 

[bleeb]

Some people just don't know how to deal with the realities of that money.... this is an unfortunate (ironic) example.

 

[Gooberlx2]

I never learned one simple word in the English language -- 'No.' I wish I had the chance to do it all over again. I'd be much smarter about it now..."

...says Evelyn Adams, who won the New Jersey lottery not just once but twice (1985, 1986) to the tune of $5.4 million.

Fvck you buddy!

 

[NuclearNed]

I play when the jackpot gets really big, but I only will play about $5 per drawing. I figure there is no reason to spend more than that because it doesn't really increase your odds of winning by any significant amount.

Anyway, if I ever win, most of the winnings are going into mutual funds, and I will live off the interest for the rest of my life.

 

[Thegonagle]

Originally posted by: Viper GTS
Why is it any surprise that someone who buys lottery tickets doesn't know how to manage money?

Viper GTS

Exactly!

 

[flot]

Amusing article... I actually just bought a handful of lottery tickets last night (hey, $40m jackpot, we don't screw around here in fl) but, no didn't win.

However, I was thinking about this stuff, and honestly I think if I were to win some ungodly sum of money, I'd do my best to keep it quiet. Or, more realistically, if I won $5 million - I'd probably go around telling people I won $500k. So I could still explain away a few ridiculous spending items - but not to the point where all my friends would be expecting me to buy them cars.

Having said all that though - it IS free money, and you only live once, so I do think I'd be inclined to go out and totally blow some of it, just for fun. Seriously, imagine how much fun you could have in a weekend with $30k burning a hole in your pocket..hahaha. But these stories of people squandering away millions in a matter of 2-3 years? That's retarded. The smart thing to do would be to buy your own house, if you were determined to help out family members or whatnot, BUY their houses (don't buy it _for_ them, buy it _from_ them and let them live in it), and then take a look at what you have left vs what you want to do with the rest of your life. Personally I think I'd be pretty happy with not paying for housing, and collecting a nice steady $25-35k a year of "Free money" for the rest of my life.

 

[dullard]

I've heard of many more stories just like those. I heard of one study that showed that people who suddenly got a huge amount of money are almost the most likely of all to become bankrupt (there are some groups with greater chance, but not too many). The article hinted at some of the reasons why.

The plain truth is that a million dollars really isn't that much anymore. A family of two teachers, or a good engineer, or a semi-successful small buisness owner, etc should all expect to earn a million dollars over their career. Thus if you suddenly get $2 million (~$1 million after tax) you should expect to live a life of an engineer. But no. They live lives of Donald Trump thinking they are rich with $1 million in the bank account.

Suppose you got $2 million in a lottery when you are 30. If you take the lump sum and have good investments that should give you ~$75,000 a year for the length of a normal life (80 years). $75,000 a year really isn't much. In many places in the country that won't even be able to get you a decent house. Yet they take that $1 million lump sum and don't invest it all. They quit their job, buy a $500k house, blow $200k immediately for fun, and then invest the $300k that is left. Well the $300k that is left will only net you maybe $11k a year with good investments. How many people here can live on $11k a year even if there was no mortgage? Not many. Especially when you think the property tax on that house is probably $8k-$10k. That leaves this "millionaire" with $1000 to $3000 a year to live on. Bankruptcy soon follows.

There is no way around it, you will go bankrupt if you behave like a normal human.

 

[dullard]

Haha. Flot's "smart thing to do" was posted 1 minute before me and describes exactly how all these people get bankrupt. A "nice steady $25-35k a year of 'Free money' for the rest of my life." won't pay the property taxes on all those houses you just bought. Let alone pay the maintanence and utilites on your new large house.

 

[vood0g]

surprising how most of these people seem to be screwed over by their family members.

 

[randomlinh]

honestly, if at all possible, i wouldn't tell a soul I won any money. I'd be too afraid of all the leeches out there, and you'd never know who your true friends are.

 

[dullard]

Originally posted by: lnguyen
honestly, if at all possible, i wouldn't tell a soul I won any money. I'd be too afraid of all the leeches out there, and you'd never know who your true friends are.

Unfortunately most lotteries have the fine print that the winner MUST be known to receive their payment. The must have their picture taken with the large check and be in all the newspapers and TV news shows. Why? Free advertizing for the lottery.

 

[kranky]

I don't play the lottery, but if I did and I won, I truly believe I could keep it a secret. I'd have a lawyer draw up a blind trust and let the trust become the "official" winner. Most lotteries will not allow winners to remain anonymous so you need a lawyer to front for you. I'd still share with family and friends, but if I told them I did it in the stock market they'd believe me.

Most of the winners who lost it all wouldn't have had that trouble if they had stayed anonymous. But for many people it's not going to happen.

 

[maziwanka]

its sad to see how greedy ppl become...

 

[hevnsnt]

I lost all my lottery winnings on a freaking dice game to tron.

 

[Viper GTS]

Originally posted by: dullard

Originally posted by: lnguyen
honestly, if at all possible, i wouldn't tell a soul I won any money. I'd be too afraid of all the leeches out there, and you'd never know who your true friends are.

Unfortunately most lotteries have the fine print that the winner MUST be known to receive their payment. The must have their picture taken with the large check and be in all the newspapers and TV news shows. Why? Free advertizing for the lottery.

Yup, look at Jack Whitaker.

I actually had high hopes for him considering he was already a self made millionaire, but from the sounds of it it's been a pretty sh!tty deal for him. Between the strip club visits, the multiple vehicle breakins, assault charges, DUI, check fraud, & the dead dude in his house, it just doesn't seem to stop.

The fact that I even know his name means he's got to have it bad.

Viper GTS

 

[ElFenix]

Originally posted by: Viper GTS
Why is it any surprise that someone who buys lottery tickets doesn't know how to manage money?

Viper GTS

i buy lottery tickets, f-off!

 

[amoeba]

Originally posted by: ElFenix

Originally posted by: Viper GTS
Why is it any surprise that someone who buys lottery tickets doesn't know how to manage money?

Viper GTS

i buy lottery tickets, f-off!

are you good at math?

 

[mitaiwan82]

the poor stay poor, eh?