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You've won the lottery. You've signed the ticket. You've kept quiet. And now you're facing the reality: you need professional help.
But who do you hire first? A lawyer? A financial advisor? A CPA? And how do you know who to work with when you've never needed this level of expertise before?
The professionals you choose in the first few weeks after winning will shape every financial decision you make for the rest of your life. Choose wrong, and you could lose millions to bad advice, excessive fees, or outright fraud.
Here's how to build your team—and in what order.
Why You Can't Do This Alone
Lottery winnings create a level of financial complexity that most people—even financially sophisticated people—have never dealt with.
You're facing:
- State and federal tax implications that could cost you 40-50% of your winnings if not managed properly
- Estate planning needs to protect your wealth from lawsuits, creditors, and family disputes
- Investment decisions that will determine whether your money lasts 10 years or 100 years
- Privacy and security concerns that can put you and your family at risk
- Pressure from family, friends, and strangers who want a piece of your windfall
No single professional can handle all of this. You need a team. And you need to build that team before you claim the prize.
Hire a Lawyer First
Your first call should be to an attorney—specifically, one who specializes in estate planning, asset protection, and ideally, sudden wealth or lottery winners.
Here's why the lawyer comes first:
They can help you claim the prize strategically. Depending on your state, you may be able to claim through a trust or LLC to protect your anonymity. Your lawyer will know the rules and help you structure the claim correctly.
They set up legal protections immediately. Trusts, LLCs, and other legal entities protect your assets from lawsuits, creditors, and family disputes. These need to be in place before the money hits your account.
They coordinate the rest of your team. A good attorney will help you vet and hire other professionals—financial advisors, CPAs, insurance agents—and make sure everyone is working together.
They protect you from yourself. In the emotional chaos of winning, your lawyer is the one who can say, "Let's slow down and think this through," when you're about to make a costly mistake.
What to Look For in a Lottery Lawyer
- Experience with high-net-worth clients and estate planning
- Knowledge of your state's lottery claiming rules
- No conflicts of interest (they shouldn't also be selling you financial products)
- Transparent fee structure (flat fee or hourly, not contingency or percentage-based)
- Strong references from other clients in similar situations
Do not hire the first lawyer who says they can help. Interview at least three. Ask tough questions. Check their credentials.
Hire a CPA or Tax Advisor Second
Once your lawyer is in place, bring in a CPA or tax professional who specializes in complex tax situations and sudden wealth.
Your CPA will:
Model lump sum vs. annuity. They'll run the numbers on both payout options and show you the tax implications of each.
Create a tax strategy for the first year. Depending on the size of your winnings, you could owe millions in taxes. Your CPA will help you plan for that and identify strategies to minimize your tax burden legally.
Advise on charitable giving. If you're planning to donate any of your winnings, doing it strategically can save you significant money on taxes. Your CPA will show you how.
Coordinate with your financial advisor. Once you hire an advisor, your CPA will work with them to make sure your investment strategy is tax-efficient.
What to Look For in a Tax Professional
- Experience with high-income and high-net-worth clients
- Knowledge of multi-state tax issues (especially if you're planning to move)
- Proactive planning approach, not just tax return preparation
- Ability to model different scenarios and explain them in plain English
- No product sales (some CPAs also sell insurance or investments—avoid this conflict of interest)
Hire a Financial Advisor Third
Now that you have legal and tax guidance in place, it's time to hire a financial advisor who will help you invest, manage, and protect your wealth over the long term.
Your financial advisor will:
Build an investment strategy. They'll create a diversified portfolio designed to generate income, preserve capital, and grow your wealth over time.
Create a spending plan. Just because you have $10 million doesn't mean you can spend $10 million. Your advisor will help you determine a sustainable spending rate so your money lasts.
Coordinate your overall financial plan. This includes insurance, estate planning, retirement planning, education funding for kids, and any other financial goals you have.
Protect you from bad decisions. When you're tempted to invest in your friend's "can't-miss" business idea or lend money to family, your advisor is there to provide objective, unemotional guidance.
What to Look For in a Financial Advisor
- Fee-only compensation (not commission-based)
- Fiduciary duty (they're legally required to act in your best interest)
- Experience with sudden wealth or lottery winners
- Comprehensive planning approach, not just investment management
- No conflicts of interest (they shouldn't be selling insurance or earning commissions on products they recommend)
- Transparent fee structure (typically a percentage of assets managed, or a flat annual fee)
Ask to see their Form ADV Part 2, which discloses their fees, services, and any conflicts of interest.
Other Professionals You May Need (But Not Immediately)
Insurance agent. You'll need to review your life, disability, umbrella liability, and property insurance. But this comes after your core team is in place.
Security consultant. If your state requires public disclosure of lottery winners, you may need professional security advice to protect your home, family, and personal information.
Family therapist or counselor. Sudden wealth creates emotional and relational stress. Having a neutral third party to help you navigate family dynamics can be invaluable.
Red Flags to Watch For
Anyone who contacts you first. If a lawyer, advisor, or CPA reaches out to you after hearing you've won, run. Legitimate professionals don't chase lottery winners.
Promises of guaranteed returns or "secret" strategies. If it sounds too good to be true, it is.
Pressure to act quickly. Good advisors encourage you to slow down and think carefully. Bad advisors create urgency to get you to sign before you realize they're ripping you off.
Fees based on a percentage of your winnings. Your professionals should charge based on their time and expertise, not a cut of your prize.
Lack of transparency. If they won't clearly explain their fees, services, or credentials, walk away.
The Cost of Getting This Right
Hiring a lawyer, CPA, and financial advisor isn't cheap. You might spend $50,000 to $150,000 in the first year on professional fees.
But here's the thing: those professionals can save you millions in taxes, bad investments, and legal problems. The cost of not hiring the right team is far higher than the cost of hiring them.
Final Thought
Winning the lottery is a once-in-a-lifetime event. But managing that wealth is a decades-long process.
The professionals you hire in the first few weeks will set the foundation for everything that comes next. Take your time. Do your research. And remember: you're not just hiring people to manage money—you're hiring people to protect your future.
We've worked with clients navigating sudden wealth, and we've seen firsthand the difference that the right team makes. If you're facing this decision, we'd be honored to help.
This material is for educational purposes only and should not be considered financial, legal, or tax advice. Professional selection and wealth management strategies vary based on individual circumstances. Consult with qualified professionals before making decisions regarding sudden wealth.
Securities offered through LPL Financial, Member FINRA/SIPC. Investment advice offered through Great Valley Advisor Group, a registered investment advisor and separate entity from LPL Financial.
Chesapeake Financial Planners | 2402 Scotlon Ct, Forest Hill, MD 21050 | (410) 652-7868 | www.chesapeakefp.com