If you’re lucky enough to win a lottery jackpot, the first step to take is to wait to cash in. If you win the lottery in the first place, you should take a week to process your prize before claiming it. This way, you can plan how you will handle your new wealth. Most lotteries allow winners to claim their prizes six to twelve months after winning. To avoid problems later, it’s a good idea to get professional advice about how to handle large sums of money.
Hitting the Lottery Jackpot by David Nibert is a sweeping history of lottery games. Nibert traces the history of lotteries, starting in the 16th century. They helped fund colonialism and burgeoning industries in the early nineteenth century. The book also explores the ideological dimensions of lotteries, including how they encourage a get-rich-quick culture. Nibert makes the case that lotteries are a pernicious government tax.
Once you win the lottery, you have many decisions to make. You can either take the entire prize in a lump sum or divide it over many years. Unless you have a problem with self-control, you may want to consider an annuity. Annuities are a tax-efficient way to receive a lottery prize. Some provide a guaranteed income for up to 29 years. These payments can help you avoid paying taxes on the large sum you win, and they protect you from problems with money management.