When we heard about last week’s €175 million lotto win, Ireland’s biggest ever, I’m sure we all fantasised about what we would do if we had a massive windfall. While research suggests that most winners’ life satisfaction improves, it’s undoubtedly a life changing event that needs careful thought. Here’s my advice, from a financial advisor’s point of view.
1. Take a breath
First up, having confirmed your win with the National Lottery, decided who to tell and lodged the winnings in an instant access bank account, take a break. In fact why not take a holiday.
2. Get professional advice
Next, I strongly recommend you find an expert tax advisor to advise on gifting/inheritance issues and an independent financial advisor to advise on investment strategy and financial planning.
3. Think time, not money
Instead of asking ‘what should I do with the winnings’, I suggest first asking ‘what do I want to do with my time for the rest of my life’. The answer to this question is I think the key to your future life satisfaction – financial freedom allows you to follow your passion.
4. Family first
Once you’ve decided on how you want to fill your time, think carefully about how you want to treat your immediate friends and family – this is where things can start getting tricky.
5. Charity next
Then you can think about charitable donations to causes close to your heart.
6. Stay grounded
Easier said than done, but try not to let money issues dominate your new life. Yes with money comes responsibility but all of those worries can be outsourced – that’s what expert independent advice is for. I await your call!