29 Jan Powerball jackpot amounted to more than 396 million dollars, and someone won that amount. Such money can change your life, but not necessarily for the better. Some jackpot winners have become victims of the “curse of lottery”, and some end up bankrupt, divorced or even died, says GOBankingRates.
“It’s so strong shock, that they are not ready for it, said don Mcnay, a financial Advisor lottery winners. It’s the curse of the lottery because the winnings made their life, and not improved”.
If you still haven’t won the Powerball jackpot, such “bad luck” can be a hidden gift.
Money doesn’t make you happy — and it is
If you have 99 problems, winning the lottery will solve only one. Although it would be nice never to worry, knowing that your debit card has enough money to make major purchases in your life may be other things that will not help money.
Published by the National Bureau of economic research, in 2018, the study of long-term consequences of winning the lottery showed that the gain has no significant effect on the daily happiness of the people.
“We have not found convincing evidence that in the long run, lottery winners are happier,” said the doctor of economic Sciences, University Professor Daniel Cesarini, co-author of the study.
Won’t leave you alone with asking for help
Many winners of the lottery are stunned at how many people asking them for financial help, some end up handing out too much.
Sharon Tirabassi won the jackpot in Canada for 10.5 million dollars and spent almost all the amount in just 9 years old: the woman gave their income to the family and needy friends. She gave her parents $ 1 million and 1.75 million dollars to the brothers and sisters. It also paid for other rent and gave loans to the needy in finances friends or to those who wanted to start a business. Some people, after receiving the money, disappeared from her life.
“Money is the root of all evil,” said Tirabassi.
You may spend all of it and break
Although the number of lottery winners who eventually went bankrupt, may be overstated, it is still possible.
It happened with David Edwards, who was one of two winners of the Powerball in 2001 and won the jackpot of $ 295 million dollars. He spent his money frivolously, buying things like a new house in a gated community, private flights, cars worth over a million dollars, watch for the $ 78,000 ring for 59 000 dollars and a plasma TV for $ 30,000. A number of poor business decisions and serious cost overruns led to the fact that Edwards eventually went bankrupt and left to live in the garage-cell.
Management of this amount of money can be work for a full day
You will need to help you manage your winnings and you’ll have to find someone you can trust. Unfortunately, not all financial advisors have the ability to manage such large amounts. This was the case with the Powerball winner Gloria Mackenzie, who received the winning $ 590 million. She sued her own son for hiring a financial adviser, who, she claims, improperly disposed it means. In her lawsuit, which was pending as of April 2019, it is alleged that she suffered damages in the amount of more than $ 10 million.
“Money earned from 0.02% to 0.08%, — the lawyer told Mackenzie Greg Anderson. — Then Gloria took $ 2 million in additional fees.”
Anderson warns to trust random people like that.
“Your friend, the specialist on trading strategies and risk, can give good advice, but what kind of financial liability he will incur in the event of an error?” — Anderson said.
Your children and family members may suffer
Stories of children who grew up in wealth and had serious problems because of this, it is not uncommon.
When in 2002 Jack Whittaker won the Powerball jackpot in the amount of 315 million dollars, he shared his winnings with his granddaughter brandi Bragg, which ultimately led to her addiction.
“She doesn’t want to be responsible for the money; she doesn’t want to inherit her money; she’s just looking for the next dose, said Whittaker. — She said, “All I care about is drugs.” It broke my heart.”
In 2004, Bragg was found dead, her body was wrapped in plastic wrap.
“My granddaughter died because of money,” said Whittaker.
Not all your friends will be sincere
Although true friends will be happy for your good luck, there may be those who are jealous or angry. And you never know who will try to take advantage of you.
The winner of the lottery Sandra Hayes, who in 2006 shared the winning Powerball 224 million dollars with a dozen of his colleagues, said her surprise win turned some friends into enemies.
“I had to endure the greed of the people who tried to get me to give them money. This has caused severe emotional pain, admitted Hayes. Are the people who you loved deep down, and they turning into vampires trying to suck the life out of you”.
The prize is subject to huge tax
The amount of money jackpot on 29 January was 274,6 million dollars, creating Federal income tax in the amount of approximately 102 million dollars, assuming that the winner is taxed at 37%, according to the tax calculator Powerball.net.
“A big influence on the win have taxes, said Dan Ruth, a CFP and adviser on welfare from Oklahoma city. — If you win, just be aware of how big can be the tax amount and make sure you are ready to cope with it.”
The winners are not always able to remain anonymous
Only six States — Delaware, Kansas, Maryland, North Dakota, Ohio and South Carolina — allow winners to remain anonymous. In the rest of the winners will publish, which makes them vulnerable to claims of greedy strangers.
One of the clearest examples of this is the case of Abraham Shakespeare who won $ 31 million in the Florida lottery in November 2006. After the victory he was approached by a woman named Doris “Dee Dee” Moore, who said he wants to write about it. Eventually Moore got him to trust her with money management and left him without means. Later, she was found guilty of killing Shakespeare.
Winners may become victims of crimes
Shakespeare is not the only lottery winner who is a victim of a crime. Several other lottery winners were robbed, kidnapped and even killed for their winnings.
In 2005, the lottery winner from Illinois Jeffrey Dampier Jr., who, along with his ex-wife won a jackpot of about $ 20 million, was kidnapped and murdered her daughter and her boyfriend. The body of the Dhampir was found in a van with boyfriend cash 1500 dollars in his pocket.
You may need to move
Some lottery winners are persecuted to such an extent that they have to leave the city to find peace.
Mavis Vanik, an employee of the hospital from Chicopee, Massachusetts, was forced to take police protection posted outside her house after she won the Powerball jackpot on 758,7 million dollars. In addition to the media, which flooded nearby yards, people knocking on doors in her neighborhood trying to find out where she lives.
Victory can lead to divorce
Don Mcnay said lottery winners often get divorced. It’s not too surprising, given that about one-fifth of divorces are caused by problems associated with money.
That same fate befell the British Roger and Lara Griffiths who won the lottery 1.8 million pounds (2.3 million dollars). Their winnings, they spent on a dream house, a Porsche, a Lexus and a private school for their children. But soon Griffiths was constantly arguing about money, and six years later their marriage broke up.