Why are people who win the lottery advised to not make any major purchases for at least 1 year after they win big time?
I want to know all the reasons why people who win the lottery are advised to not make any major purchases for at least 1 year after they win big time.
BQ: What are all of the tips and tricks to increase a person's chances of winning on scratch off tickets more often?
Please give me details with a source or 2 with your answers, if any of you can! That would be very greatly appreciated. A source or 2 with each and every answer isn't exactly needed, but it's so preferred.
- SquidmasterLv 710 months agoFavorite Answer
One of the major reasons is taxes.
Loterry winning sill have to be taxed, so they advise you wait for a year until your next tax reurn goes through, and then you'll know how much money you have left.
- 9 months ago
There is no way to increase your odds on scratch tickets.
- Jeffrey KLv 69 months ago
There is no way to increase your chance of winning on scratch tickets. They are completely random.
- Anonymous10 months ago
Most who win have NO idea how to handle large amounts, they go on a spree, and the money is gone. Some even get killed for their money, like the Shakespeare dude in Florida.
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- 10 months ago
It's just a spending spree after getting all that money
- SeaLv 410 months ago
This is just my own personal observation of how it goes, not on the lottery however, but any large sum of money that someone didn't earn themselves burns faster than paper on fire. That years time gives them an opportunity to think and devise a financial plan to save some to make some, then you can spend more. That just doesn't make sense to most people. It's very rare for most people to have that kind of self discipline. Good Luck on that to those who win.
- Jay PLv 710 months ago
If you start making large purchases right away, it's amazingly easily to go overboard and blow through your winnings quickly. A lot of people don't understand or fully understand how to effectively save money and when they are suddenly much richer than they have ever been before, the money seems to be endless. The reality is that it is not and there have been many cases of people that won millions in the lottery only to become broke within a short period after.
- KatLv 610 months ago
There's going to be a huge tax bill coming their way for that money they won. It's important to have that on hand to pay your HUGE tax bill
- AidenLv 510 months ago
Because if they make one major purchase, they'll see how easy it is and make two. Then three, then four. Then it's all gone and they've wasted their money.
However if they withhold from making any purchases for a year, they have a year to understand how quickly all of that money really goes. They'll be a lot more responsible with that money and they'll understand the consequences of making large purchases. It helps them to better spend their money rather than waste it on useless junk.Source(s): No sources I'm afraid. This is just a bit of my own insight as to why they would do that.
- Anonymous10 months ago
Then they'll find some peace of mind, you and me, bel ami.