Powerball - are you the winner?

[Linda Weygant]

So the winner of the latest Powerball in California hasn't come forward to claim their winnings yet.

Powerball Winner

So I started thinking about this and day dreaming about what I would do with $40 million.  Would I retire?  Would I continue to invest in real estate?  Would I go on a whirlwind world tour?

The answer is yes, probably some of all of that in a certain order.

Here's what I would do.

First, I'd play it exactly like the person who won has done so far.  Lay low for a while, figure out what to do, build a plan, talk to some advisers, then execute.  You have six months to claim the prize, so I'd let all the excitement die down.

Stay anonymous - in Colorado, you can claim lottery winnings through an LLC. Many other states don't allow it. Send my lawyer to go claim it and keep my name out of it.

Stay anonymous for real.  Like, MAYBE I'd tell my family.  Some of them.  I might make them sign non disclosures.  But the number of lottery winners who end up broke within 10 years approaches 100% due to family and "friends" who are suddenly around to help the winner spend their money.

Set up some annuities for family and friends, anonymously, for those who are not investment minded and for whom a windfall would be disastrous.  If they talk about how they are suddenly getting money every month from some mysterious benefactor, reply with "WOW!  Me Too!  I wonder who it is????"  This helps explain my own sudden increase in spending/investing.

Go on a vacation.  A real one.  For like a whole week, maybe even two!  I haven't had a real vacation in years.

Come back and start serious research for investing.  I could buy like 200 houses like the ones I currently buy (usually less than $250K) or I could do something really amazing.  The possibilities would suddenly feel endless and I'd probably end up in analysis paralysis for a couple of months.

Start focusing on what I really want to do.  What is that?  Who knows, but it's nice to dream about, no?

[Andrew B.]

if I win the lottery, first thing I'm doing is calling everyone I know and asking to borrow $500. Anyone willing to give me the money, I keep in contact with them after I collect my winnings. If anyone tells me to kick rocks...guess what I'll tell them when they come looking for money.