I always wondered what I would do if I won say.. 10 million dollars. Tax free, of course. (This is Canada!). First - debt free. Own a nice house and so on. That's going to burn oohh about $600,000. Then I'd want a boat, maybe an apartment somewhere nice and hot. That's set me back another $600,000. Or more, who knows.
I would quit work. So I would set up a fund where I could have a steady income for the rest of my life which is about another 20 years. So to clear $10,000/month just from a 3% financial vehicle I would need $15,000 per month gross. Or $180,000 per year. That would need about $5,500,000 invested.
So far I have spent about 7.7 million bucks. Left is 3.3 million dollars. Hmmm... family? Ok, I'd set up funds for the kids. Travel? Sure, let's take a cruise around the world.
So within mere months I can blow through 2/3 of the money. Easy. That's what people do. Lots of people that win big have nothing left after a year or two. They have no sense of the future. I think that with a big win - the lottery corporations should provide a free financial advisor. I also think that having winning pots more than a few millions is silly. Wouldn't it be better to share the prizes? Say take the 50 million recently won here and make it 50 one million prizes? Chances of winning would be greater.
But no, this is one of the reasons for people buying lotto tickets in the first place. To hope for the big win. Someone told me the other day when I asked why he bought lottery tickets: "It's a cheap way to dream a little for a few bucks a week." Good point. Go to any mall and hang around the lottery booth and you'll see the same people there all the time. Especially elderly people. It's their entertainment.
Do they get hooked? Perhaps some do. It's like anything - moderation. Even though most people have no idea of the math of lotteries. However, they saying goes: "If you don't buy a ticket you are guaranteed not to win anything." I guess even a remote chance of winning is something.
Can you increase your odds? As a data analyst I would say yes. The drawings are random, but you can increase your odds of winning by buying a set of tickets and mathematically pick numbers that cover more combinations. There are lots of systems out there, the most popular is The Silver Lotto System. See link below.
Play the lotto within means. Only spend money you can afford to lose. And good luck.