The contents of this article are for educational purposes only. They are not intended to be a source of professional financial advice. You will find experts on investing here.
After winning a lottery, chances are that you don't want to spend all your time planning and keeping track of your money. A great investment would be hiring a qualified financial planning expert and tax advisor. This will not only save you time but also help you figure out the best investment options for you.
A good financial advisor will take you through all the tax obligations that you will require to fulfill and advise you on whether it's best to take the lump sum or receive annuity payments. Annuity payments will guarantee you full payment of the full jackpot over a specified duration of time. This can help you pace your spending.
You can also get useful tips from your advisor on how best to live an enjoyable life while still investing. That way, you can be able to hit your personal and financial goals.
Before settling on a financial advisor, find out the following so you can select the best advisor to work with:
Get in touch with William Huston, AIF®, AIFA® today for professional wealth management and investment advice.
Saving money will only enable you to keep it secure for a while, but investing will allow your money to grow and generate passive income. While investing might not be the most interesting thing to think about after winning the lottery, it is definitely the smartest thing to do.
There are many low and high risk investment options available in the market today. From bonds to stocks to mutual funds, it is important that you allocate some of your winnings into building your investment portfolio.
If you're not sure on where to get started, get in touch with a qualified investment advisor for guidance on the best investment options for you.
If you just won the lottery and don't yet own a home, now would be the best time to buy one, as the value of real estate often appreciates over time. Be sure to work with an experienced and qualified Realtor to help you identify a property that you'd like to purchase. If you're looking for a great Realtor to work with in Los Angeles and the greater Southern California area, get in touch with Ila Corcoran today for all your real estate needs.
If you're already a homeowner, consider getting a second home which could act as a vacation or rental home. In both cases, you'd be able to earn extra income from the guests who book your home or the tenants living there.
Don't be afraid to spend some of your lottery winnings on a fun vacation. Work life balance is important and with the payout from your jackpot, you can plan for a fun trip to your dream destination. During this time, you can relax and recharge as you reflect on your newfound wealth without the pressure of immediately diving into major financial decisions.
Whether you'd like to visit a warm tropical island or go for a safari, the choice is yours.
If Lake Tahoe, California is on your travel bucket list, here is a cozy and intimate vacation property where you can spend your holiday.
Resthaven Tahoe is a cozy, private and safe hotel that is located on Manzanita Avenue, South Lake Tahoe, CA. The hotel is well suited for solo travelers or those on a group trip, with beautiful scenery and stunning views of Lake Tahoe which is located within walking distance from the property.
The hotel is pet friendly and is furnished with 17 comfortable and well equipped rooms that offer digital check-ins for guests. For individuals who enjoy participating in activities, South Lake Tahoe is an ideal vacation spot with year-round activities that guests can participate in. Whether you’re planning for a summer getaway or a ski vacation, Resthaven Tahoe is the perfect vacation spot for you.
Book your stay with us today and enjoy all that South Lake Tahoe has to offer.
A great way to secure your financial future is to start by clearing any pending debts that you have. Start with the high interest debts first as they attract the most interest and then finish off with the low interest ones. Be sure to include student loans, credit card debt, car payments and personal loans in your debt repayment plan.
Being debt free will not only help you make better investment choices, but also enable you to have peace of mind. It is important that you learn how to manage money well to avoid getting into any bad debt with your lottery winnings.
No matter how prepared you are in life, emergencies and unforeseen circumstances are bound to happen. Having some money tucked away in case of such situations is one of the best things that you can do for yourself. This will not only provide financial security for you, but also enable you to navigate with ease.
If you're getting started on setting up an emergency fund, consider putting away money that can cover your living expenses for at least 6 months. Investing this money in a high yield savings account or mutual fund as opposed to a traditional savings account is a better option. That is because your money will continue gaining interest and you can also access it easily in case you need it.
If you're in your 20s or 30s, retirement might not be top of mind for you right now. However, it is important to acknowledge that in a few years time, you'll probably be transitioning out of your job and into retirement.
As a lottery winner, it is important to set up a retirement fund so that you're secure and don't have to change your lifestyle when you stop working. If you're not sure of how to go about it, consult a qualified financial advisor so they can help you calculate how much you need to set aside, putting into consideration factors like inflation, medical bills and family members that you support.
The advisor can also offer advice on the best place to invest your retirement savings. Some low risk options could include a mutual fund or an IRA (individual retirement account).
Estate planning is the process of creating a plan of how an individual's assets will be managed and preserved in the case of death or if they become incapacitated.
With a winning ticket in a lottery, it is much more important that you have all your estate planning documents in order because the value and complexity of your assets will drastically change. If you have a family or dependents, it is critical that you preserve generational wealth for the next generation.
If you just won the lottery and are not sure where to start, schedule a call with the Bay Street team today for guidance on estate planning.
When you become financially independent, it is important to also uplift others in your community or society at large.
Some people think that all jackpot winners are greedy and selfish but that's not the case. In fact, many lottery winners in the past have made donations to charitable organizations. As a plus, you can enjoy some tax benefits in this case. Some lottery winners do care about the society and choose to donate a part of their winnings to charitable causes or organizations.
Directing a part of your lottery winnings to a cause that you're passionate about is not only noble but is also socially responsible. You could actually be the catalyst of some necessary change in society!
You just never know.
If you're lucky enough to win the lottery, you can collect your prize money as a lump sum or an annuity.
A lump sum payment means that you receive your money all at once. If you opt for this option, it is important to note that taxes will be distributed over the full amount at once.
An annuity payment option basically means that you receive an annual payment spread over a number of years. As a lottery winner, this is a good payment option as it helps you regulate your spending as you receive a little at a time.
If you hit a mega jackpot, don't let lifestyle creep get to you. Live within your means and get a financial or investment advisor to help you plan and manage your finances wisely. That way, you can enjoy financial freedom for the rest of your days.
The worst thing would be to end up in debt after hitting a major jackpot.
Bay Street Capital Holdings is an independent investment advisory, wealth management and financial planning firm based in California. The firm's main focus is on managing client portfolios with the aim of maximizing returns and managing overall risk.
For investors interested in hotel investing, the firm is currently running properties in Los Angeles and is working on building and operating boutique hotels in Portugal. With four approved hotel projects that have an estimated IRR of 18.87%, investing with Bay Street through its Alt Path Hotel Fund can help you secure a Portuguese Golden Visa.
https://www.fool.com/investing/how-to-invest/how-to-invest-if-you-win-the-lottery/
https://www.wikihow.com/Spend-Lottery-Winnings
https://www.cnbc.com/select/lottery-winners-lump-sum-or-installments/
https://www.forbes.com/advisor/personal-finance/you-won-the-lottery-now-what/
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