A LOTTERY winner has revealed his tips for what to do with a big prize after someone took home a $1billion jackpot.
Timothy Schultz, who won a 1999 Powerball draw, took to YouTube to warn the recent $1.34billion winner about how to protect their money.
Schultz’s biggest tip in his recent video was to contact a money expert to advise you on what to do next.
“I really hope that you are contacting financial advisors and people that know how to deal with that sum of money, that they are accustomed to investing,” he said.
He recommended getting this done before you claim the ticket, in order to be prepared for what to do with the funds.
He also advised winners to contact an estate attorney before claiming a prize, to figure out if you can remain anonymous by using a trust or another entity.
Rules about jackpots and remaining anonymous can get highly convoluted and vary by state.
Schultz’s next tip was to have a ground rule for what you want to do with the money.
Specifically, it’s important to figure out where you want the money to go, whether it be to individuals or a charity.
Too often when people win the lottery, friends, extended family, and acquaintances come out of the woodwork seeking financial help.
With seemingly unlimited funds, it can be hard to say no, so it’s important to figure out what your boundaries are before you have the cash.
“Back in the day when I won, I received stacks of letters – and that doesn’t happen to everyone but people do come out of the woodwork for some lottery winners,” Schultz said.
Schultz recalled the “surreal” feeling of winning.
“It is extremely exhilarating,” he said.
“They are probably in shock right now, because it is literally like being struck by lightning.
“It really can turn your life on its head,” he said.
After winning $28million in 1999, Schultz got a degree in journalism.
He now hosts a podcast that features interviews with and advice for lottery winners.