MONEY MATTERS
WARREN INGRAM: A whopping windfall or lotto lucky break is often a curse
If you suddenly come into a whole heap of money, consider enlisting a psychologist to help you acclimatise
Many people daydream about winning the lottery or getting a surprise inheritance. Such a stroke of luck can be life changing, but history shows your life would likely be worse and not better a few years after the windfall. They say money can’t buy you happiness, is that true? Reviewing the average findings of numerous studies — especially in the US — tracking the lives of lotto winners, it seems only 55% of them felt happier in the years after winning. The results for families that have inherited large fortunes are very similar. It is rare for a large family fortune to remain intact by the third generation from the time the fortune was created. In most instances, the second generation, that is the first people to inherit the money, are responsible for destroying the family fortune. What happens to people when they suddenly get a lot of money? Lotto winners in the US are twice as likely to file for bankruptcy as the general population. That means they are actually worse off than th...
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