If you come into a great sum of money, whether through a lucky lottery pick or an inheritance, you’ll need to plan carefully to make sure you don’t squander it away and end up like many poor lottery winners. DailyFinance offers some wise advice for handling that large pile of cash.
Photo by Keith Ramsey.
One of the best tips is to take a few weeks or, better yet, even a few months before making any major financial decisions like moving or quitting your job. Also, while you should enjoy your good fortune, certified financial planner Diahann Lassus advises you set a boundary for how much you’ll spend on using the money for fun, like 5 per cent.
Check the full article for other tips on managing sudden wealth, so you can be prepared when it happens to you.
Six Tips on How to Avoid Squandering a Financial Windfall [DailyFinance]