Winning the lottery is often touted as a quick solution to financial stress, erasing debt, unlocking freedom, and guaranteeing lifelong security.
In reality, sudden wealth may expose weaknesses rather than correct them. It doesn’t matter if millions of people are involved, the pressure, attention and subsequent decisions can outweigh any financial gains.
The chances of winning are slim, but someone has to win, right?
1. Alex Toth ($13 million, Florida Lottery)
Before winning the lottery, Alex Toth lived a simple life in Florida and worked as a golf course groundskeeper. By all accounts, his life was simple and financially constrained.
Toth’s behavior changed rapidly after winning $13 million in 1990. He bought several houses and expensive cars and made impulsive purchases. He also stopped working completely. Within a few years, his expenses increased while his income decreased.
By the late 1990s, Toth was broke. He repeatedly faced legal trouble and had to rely on food stamps to survive. He died in 2008 due to poverty.
2. William ‘Bud’ Post ($16.2 million, Pennsylvania Lottery)
When Bud Post won the lottery in 1988 he was unemployed and receiving disability benefits.
Within a few months, relatives sued him, claiming ownership of the winnings. Tensions rose to such an extent that a brother was convicted of plotting to murder her.
Meanwhile, Post invested in speculative ventures, including an oil business that failed. Expenses increased due to increased legal costs. By the mid-1990s, the Post declared bankruptcy.
3. Evelyn Adams ($5.4 million total, New Jersey Lottery)
Evelyn Adams lived a modest, stable life and held a regular job before her victories in 1985 and 1986. She was not rich, but she managed her finances without any great difficulty.
Winning the New Jersey Lottery two years in a row changed his circumstances. According to later reporting, Adams began taking financial risks, including gambling and speculative investments.
He eventually lost his winnings due to bad investments and gambling losses. The money ran out within a few years.
4. Suzanne Mullins ($4.2 million, Virginia Lottery)
Suzanne Mullins initially chose an annuity, a decision often considered conservative. Structured payments provide steady income over time.
However, Mullins borrowed in exchange for future annual payments to fund business ventures. These loans carried high interest rates, which reduced its future cash flow and compounded obligations.
As the debt increased, legal disputes also increased. Within a decade of his 1993 jackpot, the remaining value of the annuity was effectively wiped out.
5. Janite Lee ($18 million, Missouri Lottery)
Janet Lee lived comfortably and was politically active before her 1993 victory. She was financially stable and engaged in civic life.
After winning, he donated aggressively to political campaigns, including contributing over $1 million to Democratic causes, including significant contributions to Al Gore and the Democratic National Committee.
Within eight years, tax liabilities and debt strained his financial position. Lee filed for bankruptcy.
6. David Lee Edwards ($27 million, Illinois Lottery)
Before winning the Illinois Lottery in 1988, David Lee Edwards worked in a manufacturing plant and lived an ordinary, working-class life. His lifestyle matched his income range.
After taking the lump sum, Edwards and his wife spent it rapidly and without restraint. He bought many luxurious houses, expensive cars, jewelry and a private jet. Continued drug addiction further weakened judgment and accelerated spending.
The money ran out within five years. By the late 1990s, Edwards was destitute and dependent on temporary housing. He died homeless in 2002.
7. Billy Bob Harrell Jr. ($31 million, Texas Lottery)
Before winning the Texas Lottery in 1997, Billy Bob Harrell Jr. worked as a Home Depot shelf stocker and struggled financially.
After the win, Harrell focused on helping friends, family and charities. He paid off the debt and donated generously, but the requests increased rapidly. As the pressure from those around him increased, the expectations became overwhelming to manage.
Within two years, most of the money was gone. Legal disputes, strained relationships and constant financial stress took a serious toll emotionally. Harrell took his own life.
What to do if you win the lottery?
Winning the lottery may seem like a finish line. In fact, it is the beginning of an entirely different financial life, one that most people have never trained for. Money comes faster than rules, limitations or professional support. Without these, even large sums of money can quickly be lost.
Here are some basic rules you need to follow if you win the lottery.
- Keep winnings private until you get professional advice.
- If you win more than $100,000 in savings, consult a fiduciary advisor who is legally bound to act in your best interests. SmartAsset Offers a free service that matches you with verified advisors.
- Hire a property attorney and a tax attorney before making important decisions.
- Keep the money in a low-risk, liquid account until plans are developed.
- Set a minimum six-month cooling-off period for large purchases or gifts.
- Create written guidelines for lending or giving money and follow them consistently.
- Expect an increase in requests for help and plan responses in advance.
- Track the pace of spending, not just the balance.
- Get a second opinion on any advice that involves urgency or specificity.
Winning the lottery does not guarantee long-term security. What matters is how thoughtfully the funds are managed after the initial excitement subsides. Structure, restraint, and clear boundaries are often the difference between a temporary windfall and permanent stagnation.
sources say
us sun; seattle times; The Mirror (UK); The Mirror (US); time (janite lee); Lexington Herald Leader; Time