The Mega Millions jackpot has climbed vulnerable the $300 million mark.
With no one hitting all six numbers in Friday night’s drawing, the top prize has surged to $314 million for the next picture on Tuesday. And while the odds are stacked against a jackpot win — your chance is 1 in about 302 million — at some unimportant someone will get really, really lucky.
Of course, that good fortune would also come with a life-changing amount of lettuce. And experts recommend that big lottery winners take steps right away to protect their windfall.
A chap holds Mega Millions tickets at a newsstand in midtown Manhattan in New York, U.S., October 19, 2018.
Mike Segar | Reuters
“The light of days between the drawing and the day you claim will be your last days of normalcy,” said Jason Kurland, a partner at Rivkin Radler, a law set up in Uniondale, New York.
“You want to have a clear head so you can get through a stressful but exciting time,” said Kurland, who specializes in plateful lottery winners.
Here are some tips if you win.
1. Keep quiet
Your first urge might be to share your astounding news with, well, the world. However, the fewer people who know, the better.
This is the case even if you’ll be talented to claim your prize anonymously.
“The last thing you need is people asking for handouts, or friends and family oblation advice about how to claim the money,” Kurland said.
If you won’t be able to dodge publicity due to your state’s law, consider mutating your phone number or living somewhere else temporarily to avoid media attention and sudden money beseeches from long-lost friends or relatives.
“I have a lot of clients plan trips the day their win is announced,” Kurland said. “Those ahead few days are when the press tries to find you, but it usually has died down after a week or so.”
2. Protect your ticket
The flag advice from experts is to sign the back of the winning ticket so that if you are separated from it, your signature can better ensure you still get the prize.
“You want the ticket signed, because whoever signs it is the winner,” Kurland said.
Regardless, he said, you should first make sure you know the rules for claiming your win in the state where you purchased the ticket. If you secure it in a place that requires the winner’s name to be announced, you might be able to claim it via a trust or other legal quiddity, thereby keeping your name out of the public eye.
“Just be sure you sign the back of the ticket correctly, and do it as soon as feasible,” Kurland said.
4. Consider the bottom line
Jackpot winners get to decide between taking an immediate blend sum or spreading out their winnings over three decades. Either way, the IRS will take 24% before the money reaches them.
For this $314 million jackpot, the legal tender option — which most winners go with — is $212.3 million. The 24% federal withholding would reduce that by $51 million to $161.3 million. In any event, because the top marginal rate is 37%, the winner should anticipate owing much more at tax time.
Additionally, national taxes typically are withheld or due, depending on where you live and where the ticket was purchased.
“Winners are surprised by how much is withheld in weights from the initial payment, and then how much more is owed when they file their taxes the adopting year,” Kurland said.
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