The best way to build wealth and keep it is a lot like building an enduring cathedral out of stone… strategically placing one stone at a time. But many times we give in to your need to have instant gratification and substitute straw for stone and as a result, our wealth cannot endure.
You can get rich quick or stay rich, but rarely both. A current headline reads Ultra Millions Jackpot hits $333 million — The 12-state lottery has positive situs togel would-be winners doling out dollars for an opportunity to acquire what’s by using up to function as the third-biggest You. S. lottery payout.
And lottery nausea backgrounds through the neighborhoods of America once again. CNN news recently reported that we Americans spend more than $25. 1 thousand a year on lottery tickets.
If this became the swine flu racing through our neighborhoods, the Centers for Disease Control and Wa D. C. would be alerting all of us to take precautions and urge everyone to get the swine flu vaccine.
But this is not considered a public nuisance; rather it is treated by the media as an exciting unique with the chance that someone will become instantly rich. As exciting as that thought is, we tend to overlook many of the facts surrounding the lottery that the media often reports as well.
Here are facts gleaned from studies and reports:
The odds of winning are microscopic. In this most recent lottery, you would have a one in 175, 711, 536 chance of winning. What a 0. 0000006% chance. According to the National Weather Service, your likelihood of being minted by super in a given year are merely 1 in seven-hundred, 000. In other words you are 251 times more likely to be minted by super than to win the big lottery!
In recent years, the average household in the You. S. spent $372 on state lottery tickets. Over 10 years this is an investment in hope of $3, 720. Since we now enjoy an average expected life of approximately 80 years in the united states, someone who continues the lottery habit for most of their adult life, over 40 years they would invest $148, 900 in hope!
If that $148, 900 were committed to a simple CD having 3% interest for those 40 years, it would return $485, 391! And your likelihood of winning this investment lottery are just about 100%. If you invested that $148, 900 in something that paid 8% interest for the same period, your return would be $3, 649, 161.
Since lottery tickets are just $1, and the jackpot payout is double the odds of winning, if a person bought all 176 million mixtures, he or she would be guaranteed to win at least $157 million. So playing the Ultra Millions could make sense if you could afford to spend $176 million on tickets. And remember that this only works if there is a single winner who doesn’t take a lump sum payout.
And what happened to those few that did win the ultra lotto? Studies show that nearly 30 % of multimillion dollar lottery winners become insolvent in just a few short years after their big win. And there are estimates that 70% OF Lottery Winners will waste away their earnings in many years.
True, investing in more old investments may not be as exciting to you as investing in similar to the lottery with the hope of instant reward. But even great mom could have told you the old wisdom: a bird in the hand is worth two in the rose bush. In other words, if you are going to invest, invest where the chances are favorable, the returns are guaranteed and the growth of your investment is steady.
Even if you think that the sure steady method of building your wealth is a little like watching your lawn grow; at least you can count on this growth.
When you consider the difference between investing in the lottery and investing in more solid investments it really speaks about your belief in yourself. Where you really believe in your capacity to build wealth, you are less inclined to gamble your money.