With the Mega Millions jackpot swelling to at least $502 million for Friday night’s drawing, many ticket-holders likely are daydreaming about what they’d do with that kind of money.
They also should be thinking about how they would protect their identity if they win big.
Experts say it’s the most important step to take to protect your sudden wealth. It also isn’t always an easy thing to do.
While some states allow winners to easily remain anonymous when they collect their winnings, others do not. In other states, as long as you plan ahead, you can create a trust to receive the money to avoid your name being attached to the cash.
Whether you can shield your identity or not, you should assemble a team of professionals who are experienced in helping lottery winners. That includes an attorney — this should be your first call — an accountant and a financial advisor. Choose these people carefully.
Here are some tips for maintaining your privacy, as much as possible, if you win big Friday night.
Your first urge might be to share your exciting news with, well, the world. However, the fewer people who know, the better — even if you are able to claim your prize anonymously.
“Obviously it may be impossible to keep it from immediate family, but news like this travels quickly,” said Jason Kurland, an attorney with Certilman Balin Adler & Hyman, a law firm in East Meadow, New York.
Past lottery winners have discovered the hard way that long-lost friends and relatives can come out of the woodwork looking for a piece of the prize. And it can happen even if you claim your money anonymously.
“Try to keep the circle of people who know as small as possible,” Kurland said.
If you won’t be able to remain anonymous when you collect your winnings, shut down your social media accounts in advance, Kurland said.
“The media will try to find as many pictures of a winner as possible, and social media is the first place to look,” Kurland said. “You also want to make sure there’s as little personal information out there like your phone number or address.”
While any determined snooper or scammer could probably track down that information, you don’t want to make it easy for them.
Kurland said he advises big-jackpot winners to skip out the day they claim their prize.
“Just being out of town for a few days can help,” Kurland said. “In this 24-hour news cycle, the interest in a winner will hopefully disappear after a few days. If you can avoid being around for a week, you might be able to escape the initial exposure.”
Even in states that let you collect your winnings anonymously, lottery officials might reveal the town where you live.
“Everyone there will be looking around to see who is spending more, who quit their job, who is taking big vacations,” Kurland said. “Winners should enjoy their new-found wealth, but if anonymity is a main concern, it can be a difficult balance to strike.”
More from Personal Finance:
Mega Millions jackpot swells to $502 million. What to do first if you win
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How much you really need to earn to take home $100,000
