According to the National Endowment for Financial Education, 70% of lottery winners or people who receive large windfalls end up broke in a few short years. This generally takes less than five years on average. 30% will declare bankruptcy aka – go broke.
Dumping a mostly full, ice cold beer down the drain is something I’ve never done in my life. Six months ago, doing something like that was sacrilege!
In some cases, receiving a windfall can be life changing, but before you rush out and buy your new dream house or Ferrari, there are a few simple, yet powerful, steps you can take that can ensure you make the right financial decisions. Afterall, you don’t want to end up as another Rags to Riches to Rags statistic.
When you live a life of comparison, the simple fact is that your spending will always outstrip your income regardless of how many promotions you receive, raises you are awarded, or lotteries you win. Why? There will always be more to buy if for no other purpose than to impress The Jones and their ilk. Why do you think most lottery winners end up bankrupt within five years?
Thus, while religion and adherence to it varies widely from person to person and place to place, the ‘god’ the unites us all is money, or more accurately, our collective faith in it. It’s the story you’ve been told all your life: money = happiness, money = freedom, money = everything.