Here’s how to make the most of your good fortune.<\/b>
\nThe Mega Millions lottery is now at a record-breaking $970 million. CNBC estimates that the odds of winning the Mega Millions is 1 in 302.6 million .
There’s no secret to winning the lottery \u2014 the only surefire way to get yourself a winning ticket is to be incredibly lucky. Kimberly Morris of Wake Forest, North Carolina, won the lottery twice in one day, and she can attest that there’s nothing to victory but chance. \u00ab\u00a0I wasn’t really expecting much,\u00a0\u00bb she says. \u00ab\u00a0I just enjoy playing the lottery.\u00a0\u00bb
If you do win big, however, there are clear rules experts suggest you follow and traps to avoid. Here are three ways to really beat the odds \u2014 by making sure your winnings don’t go to waste.
The first thing that experts recommend winners do is to keep quiet . \u00ab\u00a0I would recommend not telling people,\u00a0\u00bb says Nick Holeman, certified financial planner at Betterment . \u00ab\u00a0I wouldn’t necessarily go broadcasting it to the world.\u00a0\u00bb
Holeman says that coming forward too early can lead to hasty decisions and can make lottery winners targets of crime and greed. Lottery winners typically have three months to present their ticket, but they often come forward much more quickly.
For instance, when Mavis L. Wanczyk of Chicopee, Massachusetts, won the $758.7 million Powerball jackpot earlier this year, she spoke with the press in less than 24 hours.
Experts also suggest not making any rash life changes. The CFP Board of Standards says nearly one-third of lottery winners eventually declare bankruptcy, and lottery winners are more likely to declare bankruptcy within three to five years than the average American.
That’s often because winners can become reckless with their newfound wealth. In order to avoid a harsh fate, lottery winners should not make any hasty decisions. Former social worker Sandra Hayes maintains a frugal lifestyle, even after winning a $224 million Powerball jackpot with a dozen of her coworkers.
\u00ab\u00a0I know a lot of people who won the lottery and are broke today,\u00a0\u00bb she said. \u00ab\u00a0If you’re not disciplined, you will go broke. I don’t care how much money you have.\u00a0\u00bb
Powerball winners have the option of collecting their winnings as a lump sum prize or in a series of payments over 30 years, known as an annuity. Holeman says the annuity is the smart choice.
\u00ab\u00a0If you get a huge lump sum, it’s easier to make a mistake, whereas if you choose the annuity, then at least if you mess up and blow the first year’s worth, you have another chance.\u00a0\u00bb
Jim Cramer, on the other hand, thinks the lump sum option is the right choice, arguing that you want to put as much money as possible to work for you as soon as possible. \u00ab\u00a0Take the money all at once,\u00a0\u00bb the CNBC \u00a0\u00bb Mad Money \u00a0\u00bb host said. \u00ab\u00a0Don’t let them string it out like that. You want the time value of all that cash working for you. That’s vital.\u00a0\u00bb
No matter which you choose, thinking strategically can help you avoid making the same mistakes of winners past.
This is an updated version of a post that appeared previously.
Like this story? Like CNBC Make It on Facebook!
Don’t miss:<\/p>\n

\n

Similarity rank: 8.9<\/div>\n

Sentiment rank: 1.4<\/div>\n

<\/div>\n

TW posts: 7<\/div>\n

TW reposts: 1<\/div>\n

TW likes: 1<\/div>\n

TW sentiment: 10<\/div>\n<\/div>\n