How to Prepare for the 'Inevitable Asking for Money' From Family and Friends When You win the Mega Millions Jackpot

If you were to win the $1.1 billion Mega Millions jackpot, you would likely start getting requests for money from family and friends.

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The grand prize has been climbing through twice-weekly drawings since mid-October, with no ticket matching all six numbers drawn to land the grand prize. This is the fourth time the game’s jackpot has passed $1 billion, and if won at this level it would be the fifth-largest lottery jackpot ever.

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If you were to choose the advertised $1.1 billion annuity option, your winnings would be spread out over three decades. However, most jackpot winners choose the lump-sum cash option instead, which is worth $568.7 million.

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There are more changes coming to the U.S. retirement system, so it's important to stay up to date on what's happening. Here are some tips to help you build your emergency savings this year.

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If you won the lottery, a chunk of your winnings would go to taxes. However, the amount you'd end up with after taxes would be more than most people see in a lifetime. Additionally, you may become a target for people who want a piece of your newfound wealth, experts say.

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Emily Irwin, managing director of advice and planning at Wells Fargo Wealth & Investment Management, warns that not everyone is to be trusted. "You never know what's going to happen," she says.

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When it comes to asking for money, she said, it's important to be comfortable saying either yes or no.

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Here are some tips to avoid problems:

- Start by communicating with your team and setting clear expectations

- Be proactive and stay organized-Keep your cool under pressure

-Be open to feedback and willing to adjust your approach as needed

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If you manage to beat the odds and win the lottery, it is important to share the news with as few people as possible.

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"It can be difficult for even your closest friends and family not to say anything," said certified financial planner Susan Bradley, founder of the Sudden Money Institute in Palm Beach Gardens, Florida.

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If you can keep your identity private, that can help reduce the number of people who find out and protect you from strangers hoping to get a piece of your winnings. Some states allow you to claim anonymously, while in others you may be able to set up a legal entity, like a trust, that claims the prize, which would keep your name out of the public eye.

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Before you claim your prize, it's a good idea to set up a team of professionals to help you navigate your new wealth. This group should include an experienced attorney, financial advisor, and tax advisor.

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One thing you can think about during this pre-claiming phase, with the guidance of your team, is whether and how you want to use some of the winnings to benefit others. This can be a great way to give back to the community and make a positive impact with your windfall. Talk to your team about what options are available to you and see if this is something you want to pursue.

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Some jackpot winners choose to support charitable causes by setting up a private foundation or making tax-advantaged contributions. If you decide which causes you want to support from the start - for example, protecting the environment or fighting hunger - it can make it easier and more rewarding to use your charitable dollars, experts say.

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You could also set a yearly limit on how much you give away, whether to charities or individuals. This would help you to stay within your budget and not overspend on giving.

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According to Irwin, it's also important to set up parameters when sharing with family and friends.

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Irwin suggested thinking about under what terms you would gift money when she said, "Are you now the bank for family?"

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"If something bad happens, will you be there to help? If someone wants to start a business, would you give them money to get started, or would you just lend them the money?" she added.

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Irwin explained that one benefit of having a plan is that it can help you feel less guilty when you have to say no to people or organizations.

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Without boundaries, you could find yourself spending money at an accelerated rate and saying yes more often than you wish, she said.

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Additionally, it's important to keep in mind that some gifts come with "carrying costs" that need to be considered, Irwin said. For example, if you were to purchase an expensive home for yourself and each of your four siblings, those properties may come with ongoing, outsized bills and maintenance costs that you may be expected to cover.

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If you win hundreds of millions of dollars, it's important to approach it with foresight in order to create long-term financial stability for yourself and your loved ones.
Irwin advised that people should take care of themselves and their families first, and make sure not to make decisions that could harm their own financial situation.
The Powerball jackpot for Monday night's drawing is $340 million. The cash option is $178.2 million. The chance of hitting the Powerball jackpot is 1 in 292 million.