The multistate Mega Millions lottery jackpot stands at a world record high of $540 million for tonight’s drawing. Mathematicians will say you have a better chance of being struck by lightning 100 times than of hitting the jackpot. But spending $1 to fantasize about what you would do with the winnings can be a cheap form of entertainment.
Our friends at the Detroit Free Press have put together an article, “With a Mega Millions lottery jackpot this big, it pays to be smart”, about what to do if you win.
Before you cash in that ticket, make sure to consult a tax accountant and an investment adviser (Sigma would be glad to help) to crunch the numbers and help you decide which payment option is best for you. With good money management you and your heirs could live very well for many, many years on the proceeds. But if you aren’t smart with money, your fortune could quickly be squandered.
What would you do with the $540 million?
Marisa A. Lenhard, CFA, CFP®