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$590M Powerball winner still shops at Walmart

Topic closed. 170 replies. Last post 3 years ago by jamella724.

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Teddi's avatar - Lottery-008.jpg

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May 13, 2013
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Posted: June 17, 2013, 10:45 pm - IP Logged

But all the interviews I've seen with financial advisors of lottery winners, they say they give them a certain amount of the winnings and tell them to go crazy with it, because after that they'll be on a budget.

Does it mean that you are surrendering control of your money to your financial adviser or whoever you hire? That's scary. I wouldn't feel comfortable with that at all.

I don't think I  even implied that, nor should ANYONE do that. All you need to do is watch a couple episodes of American Greed to see how the wrong financial advisor can wipe you out. Even seemingly honest people turn corrupt when large sums of money are involved. 

And unless they give their CFA power of attorney they can still do whatever they want with their own money. The operative term is ADVISOR. Nowhere in the title does it say controller.

Someone asked: do you think they aren't spending because they're on a strict budget; my reply was: even those on strict budgets are usually told to go crazy first, so her actions are weird to me no matter what. 

I also asked: how strict of a budget could she be on anyway, considering the size of her winnings. Interest payments alone are insane and she doesn't have much time left to do that much damage to the principal. If you read everything in context you should see clearly I made no allusion to anyone giving up control of their money.

I might wake up early and go running.  I might also wake up and win the lottery.

The odds are about the same.


    United States
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    June 18, 2013
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    Posted: June 18, 2013, 9:37 am - IP Logged

    I don't think I  even implied that, nor should ANYONE do that. All you need to do is watch a couple episodes of American Greed to see how the wrong financial advisor can wipe you out. Even seemingly honest people turn corrupt when large sums of money are involved. 

    And unless they give their CFA power of attorney they can still do whatever they want with their own money. The operative term is ADVISOR. Nowhere in the title does it say controller.

    Someone asked: do you think they aren't spending because they're on a strict budget; my reply was: even those on strict budgets are usually told to go crazy first, so her actions are weird to me no matter what. 

    I also asked: how strict of a budget could she be on anyway, considering the size of her winnings. Interest payments alone are insane and she doesn't have much time left to do that much damage to the principal. If you read everything in context you should see clearly I made no allusion to anyone giving up control of their money.

    Teddi,

    Are you saying that someone recommends lottery winners go on a “crazy” spending spree after receiving the payout? If so, who is this person, and what is the purpose?

    If my adviser recommended a spending spree to me, I’d find a new adviser. Spending sprees are counter to financial discipline. Sprees feed impulses and serve as psychological rewards that tend to foster more bad financial behaviors where people end up buying things with artificial appeal rather than appreciable value. It’s a cycle that feeds on itself, and before they know it, people who aren’t familiar with having or managing large sums of money wind up broke. According to research by the National Endowment for Financial Education in Denver CO, these are some of the key reasons why approx. 70% of lottery winners go broke within 5 years.

    Also, if a lottery winner has lived a majority of their life with being frugal or having little money to live on then financial discipline is likely well engrained in their head, especially the older generation like Ms. Gloria.  I bet if you sat down to have a conversation with her, you'd discover this analysis is accurate.  My grandparents were the same way and they were from the same era as Ms. Gloria.

    Telltale clues from the article suggests she had very limited resources because after her husband died she was forced to move out of a trailer where she had called home for 25 years. Then she bought a rundown bungalow for $30,000, so she had very limited means. Remember, people her age draw on life experiences from challenging periods of economic troughs and wartime when money was tight, the future was uncertain, and things were scarce. Back then people saved every penny they could; they weren’t high consumption individuals. I suspect that’s how she has long been accustomed to living. It was a very different culture back then compared to younger generations who tend to be credit dependent and driven by material possessions and expensive items.

    As for her budget in relation to the amount of her winnings and interest income, it’s irrelevant. It seems that you believe her financial goals and plans are to spend it, yet we don’t know that. She may have decided to tie up a substantial portion of the money in accounts that will benefit her survivors after she passes. At Ms. Gloria’s age, she probably doesn’t have a lot of big and or expensive needs or the propensity to spend money.

    Anyway, food for thought from a different perspective.


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      June 18, 2013
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      Posted: June 18, 2013, 10:08 am - IP Logged

      Wow. Ella is all self-centric, scorned and reckless. By now Scott knows she can’t be trusted with anything. No dobut she's envious, which is fitting punishment.  Had she kept quiet, she might have had better odds to potentially reap some benefit from Scott’s windfall. But after what she’s done, if I were him, I’d be really motivated to swiftly deal with her. I trust he has the backbone to do it; and if he doesn't, delegate it to legal counsel and let them show her who is boss.

      If Scott has child support responsibilities, I’d think about modifying these arrangements so the funds go into a trust account that he or counsel manages, rather than pay her through child services and the court. Otherwise, Ella very much comes across as being selfish browbeater who runs roughshod over people and being afflicted with entitlement syndrome. It raises the question about whether she’d exploit or disadvantage any kids from their marriage by using child support to primarily benefit herself rather than the child(ren).

      If Scott sticks to his guns and plays his cards right, Ella’s life could become very difficult. That’s some audacity she had to refuse to talk to reporters about her relationship with Scott, but then she didn't hesitate to toss him under the bus by revealing private details about life. She’s a douche.

        Teddi's avatar - Lottery-008.jpg

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        May 13, 2013
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        Posted: June 18, 2013, 10:37 am - IP Logged

        Teddi,

        Are you saying that someone recommends lottery winners go on a “crazy” spending spree after receiving the payout? If so, who is this person, and what is the purpose?

        If my adviser recommended a spending spree to me, I’d find a new adviser. Spending sprees are counter to financial discipline. Sprees feed impulses and serve as psychological rewards that tend to foster more bad financial behaviors where people end up buying things with artificial appeal rather than appreciable value. It’s a cycle that feeds on itself, and before they know it, people who aren’t familiar with having or managing large sums of money wind up broke. According to research by the National Endowment for Financial Education in Denver CO, these are some of the key reasons why approx. 70% of lottery winners go broke within 5 years.

        Also, if a lottery winner has lived a majority of their life with being frugal or having little money to live on then financial discipline is likely well engrained in their head, especially the older generation like Ms. Gloria.  I bet if you sat down to have a conversation with her, you'd discover this analysis is accurate.  My grandparents were the same way and they were from the same era as Ms. Gloria.

        Telltale clues from the article suggests she had very limited resources because after her husband died she was forced to move out of a trailer where she had called home for 25 years. Then she bought a rundown bungalow for $30,000, so she had very limited means. Remember, people her age draw on life experiences from challenging periods of economic troughs and wartime when money was tight, the future was uncertain, and things were scarce. Back then people saved every penny they could; they weren’t high consumption individuals. I suspect that’s how she has long been accustomed to living. It was a very different culture back then compared to younger generations who tend to be credit dependent and driven by material possessions and expensive items.

        As for her budget in relation to the amount of her winnings and interest income, it’s irrelevant. It seems that you believe her financial goals and plans are to spend it, yet we don’t know that. She may have decided to tie up a substantial portion of the money in accounts that will benefit her survivors after she passes. At Ms. Gloria’s age, she probably doesn’t have a lot of big and or expensive needs or the propensity to spend money.

        Anyway, food for thought from a different perspective.

        Wow, wouldn't it be great if people actually read my posts instead of taking apparently EVERYTHING out of context. Or at least look into claims that I make instead of jumping to conclusions?

        I already know the statistics on lottery winners. I already had an argument with someone here which lasted for days, who was convinced that the statistics on that were wrong or I was making it up. 

        Most people who get a windfall go crazy. Whether sooner or later, it matters lot. At some point it hits them the amount of money they've come into and they generally go hogwild, squander it all and then end up WORSE (not even the same, but worse) than they were BEFORE winning a large amount. Hell, even people who get a generous tax return go crazy. 

        Financial advisors ADVISE that people who win the lottery take a small percentage of that payout amount and spend it on anything they want. As long as the thing(s) they want is covered by the amount assigned to that "craziness" then they are free to spend that money on it. They've apparently found that the winners who do that and who come up with a budget and safe investments for the rest, do better off than those who do not.

        Apparently, getting the need to spend money on frivolous things they could never afford before out of their system, curbs the feeling to overspend later on. 

        I don't need a lecture. What you need to do before jumping down my throat is to perhaps read and try to comprehend my point, get what I'm saying and why I'm saying it before assuming I don't have my facts in order.

        Perhaps you could pay me the same courtesy you want me to pay to Gloria. See where a person is coming from and what, if any, are the merits to their argument.

        I've lived in South Florida for enough years to see very wealthy senior citizens who have a very frugal mindset. Gloria's reaction doesn't surprise me. Her son's does, but not hers. I've seen one too many seniors worth millions clipping coupons and refusing to eat unless it's the early bird special and who refuse to leave uneaten food in a restaurant. Rich seniors who won't shop anywhere but Walmart or maybe a department store but only when they're having a sale. I get it. I get their history and I get why recession or not, they're doing just fine. 

        However, frugal or not, Gloria is not just a wealthy woman, she doesn't have many days left. So I would like to see her have some luxury or some frivolous enjoyment before she pushes up the daisies. As I ALSO said, she could go hogwild for a few years just on interest alone without ever touching the principal. Her estate would still be financially safe no matter what.

        This isn't someone who has 40 good years left. I'd be surprised if she has 5, though she looks very good for her age. She could treat herself, live it up, and still leave more than a hundred million to her heirs without a problem. She's had a hard life, especially recently, I'd like to see her have some easy time now. Is there something wrong with that?

          brees2012's avatar - animal whale.jpg

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          March 26, 2012
          180 Posts
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          Posted: June 18, 2013, 3:14 pm - IP Logged

          Teddi,

          Are you saying that someone recommends lottery winners go on a “crazy” spending spree after receiving the payout? If so, who is this person, and what is the purpose?

          If my adviser recommended a spending spree to me, I’d find a new adviser. Spending sprees are counter to financial discipline. Sprees feed impulses and serve as psychological rewards that tend to foster more bad financial behaviors where people end up buying things with artificial appeal rather than appreciable value. It’s a cycle that feeds on itself, and before they know it, people who aren’t familiar with having or managing large sums of money wind up broke. According to research by the National Endowment for Financial Education in Denver CO, these are some of the key reasons why approx. 70% of lottery winners go broke within 5 years.

          Also, if a lottery winner has lived a majority of their life with being frugal or having little money to live on then financial discipline is likely well engrained in their head, especially the older generation like Ms. Gloria.  I bet if you sat down to have a conversation with her, you'd discover this analysis is accurate.  My grandparents were the same way and they were from the same era as Ms. Gloria.

          Telltale clues from the article suggests she had very limited resources because after her husband died she was forced to move out of a trailer where she had called home for 25 years. Then she bought a rundown bungalow for $30,000, so she had very limited means. Remember, people her age draw on life experiences from challenging periods of economic troughs and wartime when money was tight, the future was uncertain, and things were scarce. Back then people saved every penny they could; they weren’t high consumption individuals. I suspect that’s how she has long been accustomed to living. It was a very different culture back then compared to younger generations who tend to be credit dependent and driven by material possessions and expensive items.

          As for her budget in relation to the amount of her winnings and interest income, it’s irrelevant. It seems that you believe her financial goals and plans are to spend it, yet we don’t know that. She may have decided to tie up a substantial portion of the money in accounts that will benefit her survivors after she passes. At Ms. Gloria’s age, she probably doesn’t have a lot of big and or expensive needs or the propensity to spend money.

          Anyway, food for thought from a different perspective.

               You couldn't of said that any clearer ......I know I would want to be on

                a monthly budget .  To make the money work not to see how much

                money you can spend, but make it last . For Generations . I have read

                and watch negitive stories ,but there are many positive stories out there.

                People wants to read / hear more negitive stories . Many lottery winners

                who won $$$$$$ , to this day they're pretty much living "comfort life " .

                I remember eldery lady and her spouse won in New Mexico and they pretty

                 much didn't live any different . Brought a home and clip coupons .

                 Look at Brad Duke 2003 , he invested his money and hired his family and

                 they're doing just fine . Few years ago , Mother , Dad , Daughter and

                  son in law who won and they brought land and had a house built and living

                  comfortable . We've to remember the good stories too .  I know another story

                  several years ago , couple from Missouri who lives on a farm , they just lived

                   the same too , end up going to South Dakota gambled and end up winning

                    large sum of money. They still live in the same house before the winning .

                       We know this family from Missouri , driving the same ole car , but there money

                    invested for there adult kids and grandkids ... 

                      There's 2 negitive stories stick in my mind , and you know one of them ...

                      Jack Whitaker in West Virginia , my opionion , he screwed up ,  and now he's unhappy .

                       Should never of taken $600,000 in cash to a strip club......no common sense ...

                        The other story the man in florida who won $40 million dollars , brought all kinds of

                      statues and junk , lost his money and home , end up in jail .

                       Everyone has different idea what to do with there money . One thing I know i will never

                        spend my money on is junk , like statues .

            brees2012's avatar - animal whale.jpg

            United States
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            March 26, 2012
            180 Posts
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            Posted: June 18, 2013, 3:29 pm - IP Logged

            Wow, wouldn't it be great if people actually read my posts instead of taking apparently EVERYTHING out of context. Or at least look into claims that I make instead of jumping to conclusions?

            I already know the statistics on lottery winners. I already had an argument with someone here which lasted for days, who was convinced that the statistics on that were wrong or I was making it up. 

            Most people who get a windfall go crazy. Whether sooner or later, it matters lot. At some point it hits them the amount of money they've come into and they generally go hogwild, squander it all and then end up WORSE (not even the same, but worse) than they were BEFORE winning a large amount. Hell, even people who get a generous tax return go crazy. 

            Financial advisors ADVISE that people who win the lottery take a small percentage of that payout amount and spend it on anything they want. As long as the thing(s) they want is covered by the amount assigned to that "craziness" then they are free to spend that money on it. They've apparently found that the winners who do that and who come up with a budget and safe investments for the rest, do better off than those who do not.

            Apparently, getting the need to spend money on frivolous things they could never afford before out of their system, curbs the feeling to overspend later on. 

            I don't need a lecture. What you need to do before jumping down my throat is to perhaps read and try to comprehend my point, get what I'm saying and why I'm saying it before assuming I don't have my facts in order.

            Perhaps you could pay me the same courtesy you want me to pay to Gloria. See where a person is coming from and what, if any, are the merits to their argument.

            I've lived in South Florida for enough years to see very wealthy senior citizens who have a very frugal mindset. Gloria's reaction doesn't surprise me. Her son's does, but not hers. I've seen one too many seniors worth millions clipping coupons and refusing to eat unless it's the early bird special and who refuse to leave uneaten food in a restaurant. Rich seniors who won't shop anywhere but Walmart or maybe a department store but only when they're having a sale. I get it. I get their history and I get why recession or not, they're doing just fine. 

            However, frugal or not, Gloria is not just a wealthy woman, she doesn't have many days left. So I would like to see her have some luxury or some frivolous enjoyment before she pushes up the daisies. As I ALSO said, she could go hogwild for a few years just on interest alone without ever touching the principal. Her estate would still be financially safe no matter what.

            This isn't someone who has 40 good years left. I'd be surprised if she has 5, though she looks very good for her age. She could treat herself, live it up, and still leave more than a hundred million to her heirs without a problem. She's had a hard life, especially recently, I'd like to see her have some easy time now. Is there something wrong with that?

            Teddi,

                    Gloria could surprise you and live till she's 100 years old . Granny who lives with us , she's 97 years

                    old and she out lived her sisters / brothers .

                      Gloria will do fine , keep eating her vegetable and fruits .

                     I agree with you ...she needs to live it up alittle at least . I have no clue exactly what she will

                      recieve but she has enough.   One thing I keep thinking about taxes , I read with this large 

                      amount , it wouldn't be a surprise to pay out $10 million or more , to pay the taxes 2013.

                          Glad they've a Tax lawyer , financial advisor and CPA. That's the first thing you need

                        to hire and you need a solid plan and not tell the world your business . Keep the mouth shut.

                       I figure when I win , my family will found out when I'm on the news .

              Jon D's avatar - calotterylogo
              Los Angeles, California
              United States
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              January 5, 2011
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              Posted: June 18, 2013, 4:06 pm - IP Logged

              Let's also not forget that when she was spotted doing Walmart and eating Crazy Egg cafe, it hadn't even been two weeks. The check probably wasn't even received or deposited in her bank yet. Takes a few weeks for security checks and consolidating money from al the states, etc. I'd be conservative too until I actually saw the money in the bank. Even then, you are still hugely vulnerable until you can diversify.


                United States
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                June 18, 2013
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                Posted: June 18, 2013, 8:33 pm - IP Logged

                Wow, wouldn't it be great if people actually read my posts instead of taking apparently EVERYTHING out of context. Or at least look into claims that I make instead of jumping to conclusions?

                I already know the statistics on lottery winners. I already had an argument with someone here which lasted for days, who was convinced that the statistics on that were wrong or I was making it up. 

                Most people who get a windfall go crazy. Whether sooner or later, it matters lot. At some point it hits them the amount of money they've come into and they generally go hogwild, squander it all and then end up WORSE (not even the same, but worse) than they were BEFORE winning a large amount. Hell, even people who get a generous tax return go crazy. 

                Financial advisors ADVISE that people who win the lottery take a small percentage of that payout amount and spend it on anything they want. As long as the thing(s) they want is covered by the amount assigned to that "craziness" then they are free to spend that money on it. They've apparently found that the winners who do that and who come up with a budget and safe investments for the rest, do better off than those who do not.

                Apparently, getting the need to spend money on frivolous things they could never afford before out of their system, curbs the feeling to overspend later on. 

                I don't need a lecture. What you need to do before jumping down my throat is to perhaps read and try to comprehend my point, get what I'm saying and why I'm saying it before assuming I don't have my facts in order.

                Perhaps you could pay me the same courtesy you want me to pay to Gloria. See where a person is coming from and what, if any, are the merits to their argument.

                I've lived in South Florida for enough years to see very wealthy senior citizens who have a very frugal mindset. Gloria's reaction doesn't surprise me. Her son's does, but not hers. I've seen one too many seniors worth millions clipping coupons and refusing to eat unless it's the early bird special and who refuse to leave uneaten food in a restaurant. Rich seniors who won't shop anywhere but Walmart or maybe a department store but only when they're having a sale. I get it. I get their history and I get why recession or not, they're doing just fine. 

                However, frugal or not, Gloria is not just a wealthy woman, she doesn't have many days left. So I would like to see her have some luxury or some frivolous enjoyment before she pushes up the daisies. As I ALSO said, she could go hogwild for a few years just on interest alone without ever touching the principal. Her estate would still be financially safe no matter what.

                This isn't someone who has 40 good years left. I'd be surprised if she has 5, though she looks very good for her age. She could treat herself, live it up, and still leave more than a hundred million to her heirs without a problem. She's had a hard life, especially recently, I'd like to see her have some easy time now. Is there something wrong with that?

                Not sure why you’re being so sensitive because no one was giving you a lecture Teddi. Gesh. You’ve gotten bent out of shape over an innocuous viewpoint that's different. Like my post said, it was food for thought. Take it or leave for what it was, rather than twist it into something it wasn’t. There’s nothing disrespectful or lecturing about expressing one’s views. Crikey.

                My point is that there seems to be a preconceived notion that lottery winners are supposed to follow some sort of canned list that tells them how to act, where they can be seen, what they should spend and when to spend it, etc. which is goofy. Also, it seems that statements made are critical of her because she isn’t doing what you would like her to do.

                Two weeks have barely lapsed since she claimed the jackpot and it seems you are barking already, yet none of us knows if she’s received the payout, or what her financial goals and plans might be, or even what her needs, desires and habits are.

                I find it disjointed and unjust that she’s been judged based on cosmetic info with the belief that her time is very short and about one article that reveals she was caught shopping at Walmart and eating at casual fare restaurant – and apparently there’s some sort of travesty in that, but I don’t see it, and it seems other people don’t either.

                I also disagree with the overly broad statement that financial advisers advise winners to go on a spending spree. I haven’t seen any voluminous lists or know of an association or society of advisers who give this advice. Heck, I haven’t seen a single adviser with that position, which is why I asked you to cite your sources and offer some reasoning behind the logic. Their logic could be intriguing to others in this forum and serve to generate some thought-provoking dialogue.

                  haymaker's avatar - Lottery-012.jpg
                  Egg Harbor twp.south Jersey shore
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                  June 29, 2011
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                  Posted: June 18, 2013, 10:25 pm - IP Logged

                  Not sure why you’re being so sensitive because no one was giving you a lecture Teddi. Gesh. You’ve gotten bent out of shape over an innocuous viewpoint that's different. Like my post said, it was food for thought. Take it or leave for what it was, rather than twist it into something it wasn’t. There’s nothing disrespectful or lecturing about expressing one’s views. Crikey.

                  My point is that there seems to be a preconceived notion that lottery winners are supposed to follow some sort of canned list that tells them how to act, where they can be seen, what they should spend and when to spend it, etc. which is goofy. Also, it seems that statements made are critical of her because she isn’t doing what you would like her to do.

                  Two weeks have barely lapsed since she claimed the jackpot and it seems you are barking already, yet none of us knows if she’s received the payout, or what her financial goals and plans might be, or even what her needs, desires and habits are.

                  I find it disjointed and unjust that she’s been judged based on cosmetic info with the belief that her time is very short and about one article that reveals she was caught shopping at Walmart and eating at casual fare restaurant – and apparently there’s some sort of travesty in that, but I don’t see it, and it seems other people don’t either.

                  I also disagree with the overly broad statement that financial advisers advise winners to go on a spending spree. I haven’t seen any voluminous lists or know of an association or society of advisers who give this advice. Heck, I haven’t seen a single adviser with that position, which is why I asked you to cite your sources and offer some reasoning behind the logic. Their logic could be intriguing to others in this forum and serve to generate some thought-provoking dialogue.

                  Welcome, Frostednostrals, LOL cool name,

                  regarding your last paragraph,

                  could'nt agree more about the spending spree idea, seems to me that's the start of a bad habit.

                   

                  I mean, how in the world would exercising something in your system, get it out of your system ?

                  exercising something will just make it stronger.

                  Extraordinary Popular Delusions & the Madness of Crowds    -- Charles Mackay  LL.D.


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                    Posted: June 19, 2013, 2:12 am - IP Logged

                    Greetings haymaker. Thanks for the welcome.

                    Not sure of the logic behind that sort of advice. No doubt spending sprees are defined differently by folks. Some may buy real estate, watercraft, expensive autos, designer clothes and jewelry, art, or just stuff and other junk while other people may utilize the spree to pay off debt, address health issues, or set asides for college funds, vacation, etc.

                    Like most things in life and economics, it boils down to individual context and preferences, but I do agree that it's bad when spending sprees involve buying lots of material things to satisfy the urge to spend, rather than being disciplined and using the funds constructively.

                    In the traditional sense, it’s interesting that spending sprees to some people are like candy for their brains… they can’t get enough of them and they usually keep feeding their habit. And eventually they end up with a lot of manure, expenses, an empty bank account, and wondering how they got there.

                      Teddi's avatar - Lottery-008.jpg

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                      Posted: June 20, 2013, 2:39 pm - IP Logged

                      Not sure why you’re being so sensitive because no one was giving you a lecture Teddi. Gesh. You’ve gotten bent out of shape over an innocuous viewpoint that's different. Like my post said, it was food for thought. Take it or leave for what it was, rather than twist it into something it wasn’t. There’s nothing disrespectful or lecturing about expressing one’s views. Crikey.

                      My point is that there seems to be a preconceived notion that lottery winners are supposed to follow some sort of canned list that tells them how to act, where they can be seen, what they should spend and when to spend it, etc. which is goofy. Also, it seems that statements made are critical of her because she isn’t doing what you would like her to do.

                      Two weeks have barely lapsed since she claimed the jackpot and it seems you are barking already, yet none of us knows if she’s received the payout, or what her financial goals and plans might be, or even what her needs, desires and habits are.

                      I find it disjointed and unjust that she’s been judged based on cosmetic info with the belief that her time is very short and about one article that reveals she was caught shopping at Walmart and eating at casual fare restaurant – and apparently there’s some sort of travesty in that, but I don’t see it, and it seems other people don’t either.

                      I also disagree with the overly broad statement that financial advisers advise winners to go on a spending spree. I haven’t seen any voluminous lists or know of an association or society of advisers who give this advice. Heck, I haven’t seen a single adviser with that position, which is why I asked you to cite your sources and offer some reasoning behind the logic. Their logic could be intriguing to others in this forum and serve to generate some thought-provoking dialogue.

                      LOL. I don't think it's senstive to state a fact that I do not require a lecture from you on the statistics of what happens to lottery winners without any impulse control. Whoever doesn't know the statistics by now must have their heads stuck in the sand. I've never liked sand.

                      Anyone who has watched any news story or read any article on the lottery should be able to come to the conclusion that at the very least, there appears to a great number of winners who lose vast sums of money so at least some research should be done on ways to avoid that. 

                      Seems you're drawing some kind of conclusion (I certainly haven't reached) based on a part of a response to a specific question. It doesn't work like that. So I do wish you'd cut it out. 

                      Who exactly is judging her for shopping at Walmart? We've had loads of posts on this topic and I've never faulted her for shopping at a discount store. I've already said I don't care if I'm a multimillionaire, you'd still see me in a McD's drivethrough getting my strawberry banana smoothie. I may not be seen at Walmart, but that's simply because I find Costco and Amazon more convenient and MUCH more economical. I've stated that unequivocally before, so I'd appreciate it if you don't try to put words in my mouth. 

                      In an episode of The Golden Girls, Dorothy found out Sophia had been hoarding up loads of money, and Dorothy was pissed, saying all these years she's been doing without so that Sophia could get a new pair of shoes or eyeglasses. Sophia said she was saving them for her old age. Dorothy said: what old age? You don't leave fingerprints any more. 

                      People who have lived through economically hard times (such as say the Great Depression) are inclined to be a lot more frugal than those who haven't. Couple that with age in which habits have been entrenched for decades and I don't expect to see Gloria suddenly wearing fur coats and eating caviar. Especially in so short a space of time. I said I expected her son to go crazy with it at some point, but not her. Though I would like to see her live it up a bit considering she's had a hard life and doesn't have much time left.

                      What can possibly be there in that statement to be misconstrued?

                      Don't take a phrase out of context, twist it and then say "this is what YOU think". Especially when all my previous posts would quite effectively rebutt that belief.


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                        Posted: June 20, 2013, 2:59 pm - IP Logged

                        I really don't think she needs to be "saving" money. Nor do I see the need for attorneys and planners.


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                          Posted: June 20, 2013, 3:01 pm - IP Logged

                          Wow, wouldn't it be great if people actually read my posts instead of taking apparently EVERYTHING out of context. Or at least look into claims that I make instead of jumping to conclusions?

                          I already know the statistics on lottery winners. I already had an argument with someone here which lasted for days, who was convinced that the statistics on that were wrong or I was making it up. 

                          Most people who get a windfall go crazy. Whether sooner or later, it matters lot. At some point it hits them the amount of money they've come into and they generally go hogwild, squander it all and then end up WORSE (not even the same, but worse) than they were BEFORE winning a large amount. Hell, even people who get a generous tax return go crazy. 

                          Financial advisors ADVISE that people who win the lottery take a small percentage of that payout amount and spend it on anything they want. As long as the thing(s) they want is covered by the amount assigned to that "craziness" then they are free to spend that money on it. They've apparently found that the winners who do that and who come up with a budget and safe investments for the rest, do better off than those who do not.

                          Apparently, getting the need to spend money on frivolous things they could never afford before out of their system, curbs the feeling to overspend later on. 

                          I don't need a lecture. What you need to do before jumping down my throat is to perhaps read and try to comprehend my point, get what I'm saying and why I'm saying it before assuming I don't have my facts in order.

                          Perhaps you could pay me the same courtesy you want me to pay to Gloria. See where a person is coming from and what, if any, are the merits to their argument.

                          I've lived in South Florida for enough years to see very wealthy senior citizens who have a very frugal mindset. Gloria's reaction doesn't surprise me. Her son's does, but not hers. I've seen one too many seniors worth millions clipping coupons and refusing to eat unless it's the early bird special and who refuse to leave uneaten food in a restaurant. Rich seniors who won't shop anywhere but Walmart or maybe a department store but only when they're having a sale. I get it. I get their history and I get why recession or not, they're doing just fine. 

                          However, frugal or not, Gloria is not just a wealthy woman, she doesn't have many days left. So I would like to see her have some luxury or some frivolous enjoyment before she pushes up the daisies. As I ALSO said, she could go hogwild for a few years just on interest alone without ever touching the principal. Her estate would still be financially safe no matter what.

                          This isn't someone who has 40 good years left. I'd be surprised if she has 5, though she looks very good for her age. She could treat herself, live it up, and still leave more than a hundred million to her heirs without a problem. She's had a hard life, especially recently, I'd like to see her have some easy time now. Is there something wrong with that?

                          This looks like a lecture to me..... And your right, I didn't even bother reading it. LOL

                            Teddi's avatar - Lottery-008.jpg

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                            Posted: June 20, 2013, 3:28 pm - IP Logged

                                 You couldn't of said that any clearer ......I know I would want to be on

                                  a monthly budget .  To make the money work not to see how much

                                  money you can spend, but make it last . For Generations . I have read

                                  and watch negitive stories ,but there are many positive stories out there.

                                  People wants to read / hear more negitive stories . Many lottery winners

                                  who won $$$$$$ , to this day they're pretty much living "comfort life " .

                                  I remember eldery lady and her spouse won in New Mexico and they pretty

                                   much didn't live any different . Brought a home and clip coupons .

                                   Look at Brad Duke 2003 , he invested his money and hired his family and

                                   they're doing just fine . Few years ago , Mother , Dad , Daughter and

                                    son in law who won and they brought land and had a house built and living

                                    comfortable . We've to remember the good stories too .  I know another story

                                    several years ago , couple from Missouri who lives on a farm , they just lived

                                     the same too , end up going to South Dakota gambled and end up winning

                                      large sum of money. They still live in the same house before the winning .

                                         We know this family from Missouri , driving the same ole car , but there money

                                      invested for there adult kids and grandkids ... 

                                        There's 2 negitive stories stick in my mind , and you know one of them ...

                                        Jack Whitaker in West Virginia , my opionion , he screwed up ,  and now he's unhappy .

                                         Should never of taken $600,000 in cash to a strip club......no common sense ...

                                          The other story the man in florida who won $40 million dollars , brought all kinds of

                                        statues and junk , lost his money and home , end up in jail .

                                         Everyone has different idea what to do with there money . One thing I know i will never

                                          spend my money on is junk , like statues .

                            People who cannot budget are the people who end up with nothing. It doesn't matter how much money they make or get or even how smart they are. 

                            Read up on a guy named Halsey Minor. I don't even think anyone can deny that this guy has brains, and yet, he is filing for bankruptcy only 5 years after earning $200 million. 

                            I've seen doctors who make over $200k a year, living from paycheck to paycheck; I've seen ARNPs who make a fraction of that but who have a large nest egg, a large 401K, a vacation home, who can pay all their bills, put aside some for savings and retirement, and still have money for some frivolity. It's neither the smarts of a person nor the amount of money involved that factors in. It's all about their psychological make up and impulse control. 

                             

                            Of course that comes with a caveat of someone like David Lee Edwards, whom you mentioned. His problem had more to do with his addiction than anything else. He was an addict who married an addict. Who didn't guess that disaster was imminent? Addict + millions = uh oh. Whether you're addicted to precription drugs, illegal drugs, alcohol, gambling, sex...the minute you have access to somewhat unlimited funds and no good support system, it's a disaster in the making. When your main support system is another addict, it's a Hindenburg-esque tragedy waiting to happen. Unless his bills were directly paid and a urine test was require to receive any large sums of money, this was always going to happen. When Whitaker was giving his drug-addicted granddaughter $2k a week allowance with no oversight, who with a functioning brain didn't see a big neon sign flashing 'Disaster Up Ahead'?

                            Why? because people with no impulse control (that includes gamblers) don't stick to budgets unless forced to do so. If you cannot live within your means, even if your means is millions, you'll end up in the exact same boat as those with nothing.

                            I might wake up early and go running.  I might also wake up and win the lottery.

                            The odds are about the same.

                              Teddi's avatar - Lottery-008.jpg

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                              Posted: June 20, 2013, 4:01 pm - IP Logged

                              I really don't think she needs to be "saving" money. Nor do I see the need for attorneys and planners.

                              No...I see the need for her to have attorneys and planners. She has kids, grandkids and great grandkids she probably wants to leave a lot of money for and would probably want them to not get stiffed by too many unnecessary taxes. That makes sense to me.

                              I might wake up early and go running.  I might also wake up and win the lottery.

                              The odds are about the same.

                                 
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