What If You Win A Lottery!

Advertisement
What If You Win A
Lottery!
Advertisement
Most of us fervently wish we could win a lottery – an easy ticket to fulfil many dreams. But rarely do we consider how the prize money should be utilised in case we really win a fabulous amount. Planning and prioritizing are most important to ensure that the prize money is put to best use. Listed below are four easy and simple ways to utilise the prize money.

Track your income and expenses
Continue to keep track of your income and expenses. Remember that the money won in the lottery won’t be there forever. So you should have a realistic approach before using this money to meet routine expenses.

Pay off your debts first
The next important step is to pay off your debts. Start taking small but consistent steps, and gradually you will become debt free. This will also help improve your credit report and hence, your credit score.

Create an emergency fund
Advertisement

This should be your top priority after clearing your debts. If you already have an emergency fund and maintain it regularly, that’s a good practice. Otherwise, you should start saving immediately. Emergency funds can be extremely helpful as they keep you going even in unforeseen circumstances.

Try different investment avenues
After setting aside some funds for emergency purposes, start investing. Understand your long-term and short-term goals, and invest accordingly. Sound investments will help your money grow and enable you to reap the benefits in future.

So plan and prioritize before you use that prize money! And yes, keep hoping that both you and I will win a lottery soon…

P.S. Before you do all this, treat yourself and your family to a holiday!

About the author: Satish Mehta is the founder and director of Credexpert, a credit and debt counselling company in India.
Advertisement