Win the Lottery? What Now?

I recently saw a news story about a family that won a lottery worth over four hundred million dollars ($400,000,000 plus).  That’s a lot of money!  Of course it is.  And it’s that kind of winning that keeps people buying lottery tickets.  But I can’t help wondering: how will this financial windfall change them?

Will coming into this immense amount of money be good or bad for the family?

You think this a dumb question?  I beg to differ, if you do.  For, my question does NOT assume that the sudden and delightful receiving of lots of money in the short term, will mean lasting joy and happiness in the long term.

Why not?

For one, money is a powerful thing.  And so the question is: will this money have power over them or will they have power over it?  How will they manage this money?  Will they have an investment strategy and a spending plan?  All their lives, they have worked for money.  Do they now know how to make money work for them?

They want to do good things with this money.  That’s great, because everyone needs money.  And there are a lot of needy people out there, many who honestly deserve a helping hand.  But then there are the moochers and freeloaders out there as well, those who want a free helping hand without obligation or responsibility or accountability.  So, the family will have to learn when and how to say no as well as yes to a need.  How will this now wealthy family discern the difference, when the needy come knocking at the door for a helping hand?  That is, how will they properly manage charitable giving toward beneficial causes and needy cases without being hoodwinked and swindled?

Knowing how to properly manage wealth toward long lasting prosperity involves a learning curve.  Families that are born into money learn from childhood how to own, live with, and manage their wealth.  Or, successful entrepreneurial type individuals who demonstrate creative and talented business acuity are sharp enough to learn how to manage their financial success along the way (I think of a Bill Gates or a Mark Zuckerberg for example).

So, here we have a working class family that is suddenly catapulted into millionaire status.  If this new money is going to last into the next generation, they have some homework to do.  Before they make any promises or commitments to anyone, they need to speak with some professionals.  They need to meet with financial experts, financial advisors and planners.  They need to meet with a good and trustworthy financial accountant and lawyer.  They need to learn about financial investment strategies and become informed about State and Federal tax and inheritance laws.  And it wouldn’t hurt for them to do some millionaire social networking to meet other millionaires so as to find out how other wealthy people manage their wealth.

More importantly, they need to keep their heads and nurture their hearts so as to continue to be a family of faith, love, honesty, and integrity.

So, what will this money do to them?  Only time will tell.  I pray that it is truly a blessing and not a curse upon them.