A lottery winner is someone who has won a large sum of money in a lottery. The prize may be in the form of a lump sum or broken down into annual payments.
The winning numbers are drawn at random from a pool of numbers. The odds of winning vary depending on the lottery and the number of tickets purchased, but they are usually quite low.
Lottery winners should consult a lawyer, accountant and a financial adviser before making any major decisions. A good attorney can help ensure that the money is properly claimed and that taxes are paid, while an accountant will ensure that all of the winners’ financial obligations are met.
Most of the time, winners choose to take a lump sum. However, some lottery winners choose to take the annuity option, which involves a series of payments that are broken down over several decades.
Having a large sum of cash can be an intimidating proposition, especially if you aren’t already familiar with managing your money. The first thing a winner should do is find a reputable legal and financial adviser to help them make strategic decisions about their prize, says TIME’s Sara Ortega.
One of the biggest challenges of life after a big win is that it may change how you interact with other people. Suddenly, you may need to think about who you can support or who you can subsidize.
It’s also important to consider your own personal preferences and your state’s lottery laws. Many states require lottery winners to identify themselves in the news and at press conferences. This can be a risky move, as it could attract scammers and “friends” who are trying to get special attention from a winner.