While the Mega Millions jackpot estimated at over $1 billion has most of us thinking about the color of Ferrari to buy, or which remote island to build a home on, some legal and financial experts warn that winning big may come at a cost.
"The hardest thing is keeping that you won quiet, but that's the first, best thing you can do for yourself," said Robert McLeod, a partner at Taft Law in downtown Minneapolis. "Although now the lottery generally allows you to keep your identity private, I wouldn't hold my breath that it's going to stay that way."
McLeod says shouting the news of your good fortune from the highest mountain could spell almost immediate trouble, even if you have good intentions about telling people.
"You can fully expect that people will be coming after your wealth one way or another," he said. "It could be people simply asking for help, or people trying to con you out of the money. You need to put up some personal defense barriers, in addition to your own personal safety."
Bruce Helmer, co-founder of Wealth Enhancement Group, believes the first two phone calls made by someone winning a large lottery should be to an attorney and a financial advisor. Those two calls could spare a few headaches and a lot of heartbreak.
"Your attorney and advisor can work together to help you make sure that you protect this money from those who would seek to have you part ways with," Helmer said.
Helmer adds that instant millionaires, or billionaires, may be skeptical when it comes to placing immediate trust in an attorney or financial advisor.
"If someone calls me up as a financial advisor, they wouldn't have to tell me that they had just won the lottery," he said. "They could ask me about my philosophy, what it costs, how it's beneficial to them, and how it benefits me. That initial inquiry should be about working towards a win-win business relationship. They could vet me and find out if they like me without telling me they won the lottery."
When it comes to office lottery pools, or other lottery pools involving multiple parties, there are steps to take to make sure there aren't any legal hurdles when claiming the prize.
For instance, McLeod says poor record keeping could set the stage for a lengthy and messy legal battle.
"If someone's not very accurately keeping track of which ticket bought which new ticket, you're going to have mess," he said. "It will be hard to know who participated, and who didn't in the long run."
The Minnesota Lottery writes that tickets up to and including $50,000 can be claimed by mail. Appointments are recommended when collecting prizes above $50,000.