Not so lucky?

money frown faceLast Friday the Schenectady County DA offered William Rivenburgh a plea deal -- two years in prison -- on drug charges. It's not really a notable story except for the fact that only three years ago Rivenburgh and his wife won a million dollars from a scratch-off lottery ticket. Now, they're broke and accused of selling cocaine.

It's quite a contrast from November 2006. From a TU story at the time:

It's not the kind of windfall he can retire on. But it's just enough to take the pressure off. Besides home repairs and bill payments, he will invest some of his winnings in stable accounts. It will be a good supplement to his annual salary, which is about $50,000, depending on how much overtime he picks up.

As it happens, the Rivenburghs' story is just the latest in a long line of lottery winner woe.

The web is full stories about people winning the lottery and going broke. A guy who won $315 million in a 2002 Powerball lottery told ABC News a few years back that he felt like the score had cursed his family and "I wish I'd torn that ticket up." (ABC didn't say whether the man had played 4 8 15 16 23 42.)

Research on the subject has found that people don't necessarily end up that much better off after a win. A study from the 1970s found that lottery winners weren't any happier than a control group (money can buy many things, happiness might not be one of them). And a recent working paper based on data about Florida lottery winners reported that a lotto score often just helps a person headed for bankruptcy postpone going broke -- not prevent it.

But a 1987 study of 576 winners found "overall, winners were well-adjusted, secure and generally happy from the experience." A study published in 2005 found that Britons who won moderate amounts (up to $200k) did "go on eventually to exhibit significantly better psychological health."

Comments

If anybody reading this ever has the misfortune of winning, I'll shoulder the burden of the cash for you.

I love the LOST reference! Huge fan.

I can see how winning the lottery would be more of a curse than a blessing. Picture this - you've been dirt poor all your life, then all of the sudden you've got tons of money. You have no idea how to control yourself. You can do just about anything you want. So, you start pissing it away on anything and everything, and next thing you know, you're flat broke. I can totally understand how it happens.

I think a lot of it is poor financial planning/execution. It can be hard to say no to family and friends that ask you for a little bit of cash, since you figure "Well, I did just get all of this for free..."

Personally, if I were ever to hit it big, I'd be off to a planner and pocketing it away to collect some nice dividends somewhere so I'd know it was somewhere, but not really have it at my immediate disposal. Then again, I don't really play the lottery, so I'd probably have to start...

@Albany Jane: Your comment reminded me of a guy who won $85 million a few years back -- he seemed to have the right approach:

http://money.cnn.com/2007/02/20/magazines/fortune/lottery_winnings.fortune/index.htm

4 8 15 16 23 42

Say Something!

We'd really like you to take part in the conversation here at All Over Albany. But we do have a few rules here. Don't worry, they're easy. The first: be kind. The second: treat everyone else with the same respect you'd like to see in return. Cool? Great, post away. Comments are moderated so it might take a little while for your comment to show up. Thanks for being patient.

What's All Over Albany?

All Over Albany is for interested and interesting people in New York's Capital Region. In other words, it's for you. It's kind of like having a smart, savvy friend who can help you find out what's up. Oh, and our friends call us AOA.

Search

Recently on All Over Albany

Approval for another big apartment project, Warehouse District reuse, Pine Hills demos, and more exciting tales of the Albany planning board

Exciting Tales of the Albany Planning Board is a program recorded before a live studio audience once a month in which the fates of multi-million... (more)

Flowers from the Netherlands, then

Decorative arts break: The earthenware tiles above are from the collection of the Albany Institute -- they date to around 1625 and they were made... (more)

Chuck Schumer is supporting marijuana decriminalization (and thinks legalization in states has worked out pretty well)

Chuck Schumer says he'll be introducing legislation for decriminalizing marijuana on the federal level, which would allow states to decide on the legality of recreational... (more)

History days at Cherry Hill and Ten Broeck Mansion

Historic Cherry Hill and the Ten Broeck Mansion in Albany are again hosting early May history days, this time on May 6: Historic Cherry Hill:... (more)

Morning Blend

Cities and trash + The city of Albany is apparently behind schedule on mapping out a plan for how to handle its trash after the... (more)

Recent Comments

... Also I would try a Tux shop. They do measurements for other tux shops all the time (for free), it's an industry courtesy. Waldorf Tux shop (Lark St) is an independently owned, "old school" tux shop--real sense of proper fitting---not just taking the "closest size" from the rack. ...

Chuck Schumer is supporting marijuana decriminalization (and thinks legalization in states has worked out pretty well)

...has 1 comment, most recently from ace

Where to donate a virtually new mattress?

...has 10 comments, most recently from EMB

Stuff to do this weekend

...has 1 comment, most recently from Audrey

A look around the new Cafe Madison

...has 2 comments, most recently from mg

The new season of the CDPHP Cycle bike share has started up

...has 4 comments, most recently from Paul