Step 1: Sign the ticket and secure it immediately

Before anything else, sign the back of your ticket. An unsigned winning ticket is a bearer instrument — whoever holds it can claim the prize. Once signed, photograph it and store it somewhere secure. A bank safe deposit box is ideal.

Step 2: Stay anonymous if you can

Several US states allow winners to remain anonymous, and in Canada, UK, and Australia you generally have more privacy protection. Research the rules in your jurisdiction before coming forward. Going public immediately is one of the most common mistakes — it invites scammers, estranged relatives, and predatory financial advisors almost instantly.

Step 3: Don't tell anyone yet

This sounds harsh, but the advice from lottery officials and financial planners is consistent: tell as few people as possible until you have legal and financial counsel in place. Even well-meaning friends and family can inadvertently spread information that puts you at risk.

Step 4: Assemble your team before claiming

You need three professionals in place before you walk into the lottery office: a tax attorney, a financial planner (specifically one with fiduciary duty), and a certified public accountant. Not your current accountant who does your tax return. A specialist who has worked with windfall income.

Key advice

Most lottery officials will tell you that winners have weeks or months to claim their prize. Use that time wisely. Never rush claiming.

Step 5: Decide on lump sum or annuity before claiming

In the US, you must choose your payout option at the time of claiming. You cannot change it afterward. This is one of the most consequential financial decisions of your life — make it with your financial team in place, not under pressure in the lottery office.

Step 6: Establish a waiting period before spending

Financial advisors who work with sudden wealth consistently recommend a mandatory waiting period — typically 6 to 12 months — before making any major purchases. No new house, no new car, no gifting to family. Park the money somewhere safe and boring (government bonds, FDIC/CDIC insured accounts) while your team develops a plan.

What most lottery winners get wrong

  • Claiming immediately without professional advice
  • Going public before establishing privacy protections
  • Lending or gifting money to family and friends within the first year
  • Quitting their job on the day they win
  • Trusting financial advisors who approach them unsolicited
  • Making large purchases before understanding their tax liability

The statistics that should concern you

Studies consistently find that a significant percentage of lottery winners — some estimates as high as 70% — are broke within a few years of winning. The reasons are almost always the same: premature spending, bad investment advice, and family pressure. The money itself isn't the problem. The lack of preparation is.

"The lottery is a financial event, not a life event. Treat it like a business transaction first and an emotional milestone second." — Common advice from wealth management professionals

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