When you dream of a big lottery win, your mind may jump to white sand beaches and gently clinking mimosas. The part you won’t dream of is one of the most important: The management of such a big pot of money.
Back in 2012, Forbes published an article called “10 Things To Do When You Win The Lottery.” That piece is still very relevant to lottery winners today. Here is a summary of those steps with some of our commentary below it:
1. Remain anonymous if your state rules permit it.*
2. See a tax pro before you cash the ticket.
3. Avoid sudden lifestyle changes.
4. Pay off all your debts.
5. Assemble a team of legal and financial advisers.
6. Invest prudently.
7. Live within a budget.
8. Take steps to protect assets.
9. Plan charitable gifts.
10. Review your estate plan.
*It’s no surprise that remaining anonymous is the number one step that the Forbes article lists. However, in the Canadian context, there is currently nothing explicitly stated in the various lottery commission rules that permit a jackpot lottery prize claimant to remain anonymous. As we mention in this website though, Jackpot LawyerTM might be able to help you do so depending on your situation as the holder of the winning ticket.
For the remaining steps recommended in the article, we can help connect you with trusted professionals to help you have your cake and eat it too when it comes to being a lottery winner.
Author: Gregory Pang
Gregory is a lawyer practising with RedFrame Law (In Association with Nicholl & Akers) and owner of Jackpot Lawyer.