How to Protect Your Privacy When You Win Mega Millions or Powerball

There’s a chance that at least a few people will be much wealthier by the end of 2020 than most of us.

Without a ticket that matches all six numbers drawn in Mega Millions on Tuesday, the jackpot for Friday night’s draw has risen to $ 401 million. The Powerball top prize is not far behind, with $ 363 million for Wednesday night’s draw.

If you’re lucky enough to be the next big winner, experts say part of protecting your windfall is protecting your identity if you can.

“Four hundred million dollars would attract a lot [attention], ”Said attorney Kurt Panouses, founder of Panouses Law Group in Indialantic, Florida, and an expert in helping lottery winners.

Hiding your win will protect you from strangers and scammers who want a cut of the prize.

Still, states don’t always make privacy easy: only a handful allow winners to remain completely anonymous. In other cases, you may be able to claim the prize through a trust or limited liability company, or LLC, which does not have your name on – but you need to plan for that.

Here are tips for big lottery winners to try and maintain their privacy.

The standard advice is to sign the back of your ticket. However, if you’re in a state where a trust or LLC can claim the prize, you may want to hold off on that signature if privacy is important to you.

“You want to protect the ticket, of course, but the name on the back of the ticket is what is identified as the beneficiary,” Panouses said. “The back of the ticket is important for privacy purposes.”

In most states, he said, if you’re using an LLC or trust to claim the money, you can bypass disclosure of your name.

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Panousas said he has also established trusts whose beneficiaries are so-called sub-trusts rather than the winners. This adds an extra layer of privacy protection.

While you may like to share your exciting news, experts say the less people know the better.

“Keep the circle small of people who know or don’t tell anyone,” Panouses said.

In addition, if you claim victory in conjunction with, say, other family members – i.e., through a trust or LLC as a shared prize – all involved must sign nondisclosure agreements, Panouses said.

In addition to choosing experienced professionals to help navigate the windfall, it may also be wise to avoid professionals from your hometown if you’re concerned about the news that your win is leaking.

Someone in that office might say to others, ‘Oh, that’s the lottery winner,’ Panouses said. He relies on a large investment and trust company with a track record of serving wealthy households.

“If I open accounts with them, I know the information will not be disclosed,” Panouses said.

It’s probably a good idea to skip the city after claiming your prize.

“We’ll make sure the winners have a plan to go somewhere for a week or so after they claim,” Panouses said. “When people find out you’ve won, they might come to your place.”

It’s also worth changing your cell phone number, he said. If you have a landline, that should also be changed.

You may also want to close your social media accounts if you cannot remain anonymous.