Don't spend like a lottery winner
Evelyn Adams managed to hit the New Jersey Lottery jackpot twice -- first in 1985 and again in 1986 for a total of $5.4 million.
A heavy gambler, the New Jersey native soon lost much of her money in Atlantic City casinos. By 2001, she was broke and living in a trailer.
Easy come, easy go.
"Many lottery winners feel their assets couldn't possibly run out, and they overspend without a plan," says Riccio. "No longer having to work, ultimately they have no plan to save and have to go back to work because they overspent."
One way to avoid falling into this trap is to create a budget on either a monthly or annual basis.
Another way is to work with a tax professional or an investment adviser to help create a budget and spending plan to maximize the longevity of the assets in your retirement portfolio.
"Sticking with a disciplined financial plan and avoiding the temptation to buy yourself and family members elaborate gifts or paying for a grandchild's college will keep your assets at a comfortable level," says Riccio.