I won the Lottery!
OK, you have the winning numbers, you just found out that you won a huge lottery. Your life just became humongously complicated, so take a step back and follow these simple rules, because if you do not protect yourself immediately, the world will be at your doorstep harassing you. Long lost relatives, charities, and the media. I have two steps of instructions for you, this first set is gentle, the second set will walk you through the way to keep the money and your sanity.
1. Shut your mouth
2. Sign the lottery ticket.
3. Keep your mouth shut
4. Research a law firm to help you set up a corporation that will then cash the ticket (scroll down to learn why).
5. Still keep your big mouth quiet!
The Mega Millions lottery is currently 1.6 Billion dollars. The after tax cash value of that could be half a billion. There are many reasons you need to protect yourself and your family, in many different ways, so follow these simple steps:
1. You cannot navigate what needs to happen to protect yourself and your lottery winnings by yourself. You are going to need an investment bank, a lawyer, and an accountant.
2. You are not collecting the winnings, you have to set up a corporation to receive the money. This is how you protect yourself and your family from the tax man. And don’t worry, you own the corporation!
3. You want to be generous and give money to charity? Don’t. You maximize your full charitable tax deduction by starting your own charitable foundation in the same tax year that you win the lottery. Take advantage of this huge lottery and start a 100 million dollar foundation, it will have multiple benefits for you:
A. You make yourself an employee of the foundation. As an employee you ensure the foundation provides you with healthcare! Do not fall into the trap where you think you are filthy rich and can afford any health situation that comes along!
B. You have to spend a minimum of 5% of the value of the foundation every year. You can spend the next 20+ years being charitable all over the world!
C. Someone needs money? Give them a job at the Foundation!
4. Never give anyone in your family a gift of money! They would then have to pay tax on that gift, after you already paid tax on your winnings. That is double taxation! Instead, you make them a part owner of the corporation that you formed. Say the corporation will be worth 400 million after taxes. You make sure your siblings each own 10% of the corporation. They are now worth 40 million dollars each after taxes, assuming you have five siblings like we do.
5. Lottery winners must be made public as a protection to show that the system is real. Before you cash that ticket (I mean before the corporation cashes that ticket!) you need to have moved into a hotel where you can be anonymous! Treat yourself, make it a nice place!
I would still charge everything and continue to collect points on my Amex, but now it is not an Amex Gold, it is not an Amex Platinum, it is the Amex Black Card! Cause I am rich baby!
Disclosure: This is not legal advice in any way, just my own research when I dream of winning billions of dollars! Use this as a guide!
I totally love list and is my list except did not think through the health insurance or setting up the charitable foundation. My only tip is when you or the corporation shows up to pick up the check is come in a disguise, the sunglasses, hat you get the idea because they will take your photo with the big check. finally NO INTERVIEWS EVER!!!!
Yes, such a timely and well written article. Such a great way to put such a big dream into perspective. I can only imagine what you would name your charitable organization. PS Anything with MAGIC MITCH in the name would be a dead giveaway for all those you know and love you! Keep on Dreaming and Shining BRIGHT!
That is some interesting reading.
Love this!
The chances are so low, but there’s a chance. 😉 I wish I’d win!
Thank you for the heads u[p. This is very well thought out and informative. Obviously, you are knowledgeable. Do you give advice for setting up businesses for beginners? Or a blog for starting your own business?