What would you do if you won 22 million dollars? Buy a new house or new car? Throw a big party for everyone you know? Quit your job and travel the world?
Well, John from Louisville, Kentucky [name and personal details changed] did none of those things. Instead, he decided to keep his win a secret from pretty much everyone he knows.
Why? Well, he called Dave Ramsey, a financial advisor and the host of The Ramsey Show, to explain it. Scroll down to find out all about it and read our chat on winning a lottery with Chloe Elise, money expert, author, and founder of financial literacy company Deeper than Money.
This man called The Ramsey Show to tell them all about his crazy lottery winning story
Image credits: dylan nolte (not the actual photo)
The caller: I won one of those multi-state lottery drawings with a group of coworkers. I haven’t told anyone, uh, besides my wife and besides one sibling. No one knows.
Dave Ramsey: How much?
– After taxes, it was about 22 million.
Image credits: daveramsey
– Holy c**p. Wow. How old are you?
– I’m edging up on about 50 years old.
– Okay. And so you haven’t told anyone, and I’ve got some guesses, but why?
– Well, the first thing I did when I found out that I won was research. And it said, you know, that you get to read all those ‘one in five people lose their lottery winnings or go bankrupt within ten years.’ And one of the things they all said was, you tell too many people and you get too many people at your door asking for this, that, and the other thing, asking for handouts. Expecting you to pay for everything.
Image credits: daveramsey
So my wife and I made a conscious decision just to kind of keep it under wraps and it’s kind of, we’ve kept keeping it under wraps. We haven’t even told our two teenage children. And now I know that sounds strange, but we just don’t want them to grow up to be waiters, you know, waiting for us to die so they can get our money.
– That’s fantastic, man. I love it. I’m okay with that.
Image credits: daveramsey
– I want them to go figure out what they want to do in life and get going on the track.
– Go be somebody.
– Then I’ll let them know. I’m not gonna keep it from them forever, but like… Our parents, we haven’t told any of them. We had another incident about a month after we won the lottery. Um, incident. I don’t want to call it that. My wife’s great uncle passed away shortly thereafter and he didn’t have any kids and he was never married and he left most of his inheritance to my wife and her siblings. So we’ve been able to use that as like, our cover story for when we help people. Like ‘I bought my mom a roof.’ I know, really nice of me. How, you know, when she says ‘how can you afford this’ I just say ‘oh, it’s great uncle Bob’s money, mom. He wanted us to do this.’
Image credits: daveramsey
– Uncle Bob’s money at least 2Xed now, that’s great. Have you got a decent car?
– You’re going to love me, Dave. My house was paid off before I won this. My wife and I really have no desire to move. We had just paid cash for two Toyotas before we won this. And we still have them. We’re not looking to upgrade to anything. Perfectly fine cars.
– Okay. Are you still working?
– I am still working.
– Do you hate it?
Image credits: daveramsey
– Isn’t that ridiculous?
– No, it’s not.
Image credits: daveramsey
– Actually that’s why I’m there. ’cause I kind of like my job.
– Good for you. I think you should keep working. Gotten some great investment advice?
Image credits: daveramsey
– Yes. I have. I have a team. As you can imagine.
– You need a team. I like what you’re doing, and it’s not anyone else’s business.
Image credits: daveramsey
– Right, that’s what I hope.
– And I don’t think you’re being like, ‘hermit in a cave’ weird, ‘Unabomber’ weird or something like that. I think you’re just being wise because what you’ve discerned is that some of the people in your life could not handle the equation.
Image credits: daveramsey
– Correct. That is a very good assumption on your part.
– And you’re doing them a favor by not putting the strain on them, including teenagers.
See the whole exchange here
@daveramsey “John” won $22 million in the lottery, and he’s kept it a secret from his family and friends. #moneytok #moneyadvice #moneytips #lotterywin #relationshipadvice ♬ original sound – Dave Ramsey
Image credits: The Ramsey Show Highlights
“John” is a great example for how to handle a lottery win
Image credits: Alejandro Garay (not the actual photo)
When asked about the best way to handle winning a lottery, Chloe Elise pretty much agrees with how “John” has handled it. “Personally, I would try to live my life as similarly as if I did before coming into wealth.”
This doesn’t mean you shouldn’t share your winnings or keep your fortune a secret, though. Elise believes that one could be open to giving as long as there are healthy boundaries and expectations from both sides. One can help out but should not be financially enabling someone.
Elise also points out that one shouldn’t rely on the miniscule chance of winning a lottery to achieve their financial goals. There are ways to manage your money that allows you to both enjoy the everyday pleasures and have a secure future. It seems like that is what “John” did, and he sounds perfectly at ease with his financial decisions.
Having a good relationship with money is the key to making the most of a lottery win
Image credits: Karolina Grabowska (not the actual photo)
Elise also agrees that one needs a team of professionals to help with such big sums of money. “Personal finance is personal,” she emphasizes and notes that there’s no single one-fits-all approach to handling a lottery win, and it all depends on your wishes and desires for the future. “If anyone who doesn’t know your financial goals and priorities tries to tell you how much to invest vs. keep in cash… don’t listen.”
All in all, Elise encourages everyone to work on your relationship with money before buying a lottery ticket. Sort out your habits, beliefs and values, and once you do get lucky, you, just like John, will be secure about handling such a big responsibility.
“Remember that money is just an amplifier,” says Elise. “As a resource, money allows us to amplify what’s inside of us. If you’re living a life filled with stress, guilt, shame, anxiety, selfishness, scarcity, and even trauma around money… Money is not going to fix those problems. Instead, it’s just going to amplify who you were before.”
There were lots of different reactions to “John’s” story, but the majority agreed that he is one lucky man
My wife and I are building up a pot for our kids when they grow up, but we won't give it to them as a lump sum. We will pay for something we believe is important, such as driving lessons or a contribution to their deposit for a house. We don't want them blowing the money at 18.
I think most people would remain anonymous if they could. Right now only seven states allow lottery winners to maintain their anonymity: Delaware, Kansas, Maryland, North Dakota, Texas, Ohio and South Carolina. And six states also allow people to form a trust to claim prize money anonymously. California entirely forbids lottery winners to remain anonymous. https://www.robertreeveslaw.com/blog/lottery-winners-identities/
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I would say I'd won some money, but move the decimal.. so a large amount but not large enough to be frivolous with it. But as someone said above, this quy was already rich with a paid off house and 2 cars paid for in cash. They were living carefree already. If you'd be in debt and suddenly are able to pay it all off and have your house fixed and get a decent car... you can't hide it. Also, other siblings might start thinking Unce Bob left you more then them, or others expect other siblings to be able to dish up cash as easily as you...
My wife and I are building up a pot for our kids when they grow up, but we won't give it to them as a lump sum. We will pay for something we believe is important, such as driving lessons or a contribution to their deposit for a house. We don't want them blowing the money at 18.
I think most people would remain anonymous if they could. Right now only seven states allow lottery winners to maintain their anonymity: Delaware, Kansas, Maryland, North Dakota, Texas, Ohio and South Carolina. And six states also allow people to form a trust to claim prize money anonymously. California entirely forbids lottery winners to remain anonymous. https://www.robertreeveslaw.com/blog/lottery-winners-identities/
Load More Replies... I would say I'd won some money, but move the decimal.. so a large amount but not large enough to be frivolous with it. But as someone said above, this quy was already rich with a paid off house and 2 cars paid for in cash. They were living carefree already. If you'd be in debt and suddenly are able to pay it all off and have your house fixed and get a decent car... you can't hide it. Also, other siblings might start thinking Unce Bob left you more then them, or others expect other siblings to be able to dish up cash as easily as you...
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