Winning Powerball Jackpot Can Be Tough, Winner Could Still End Up Losing
LOS ANGELES (CBSLA.com) — Powerball frenzy continues to build as tickets are selling at record pace. But the prospect of becoming an overnight millionaire is slimmer than ever, especially after the game was restructured last October.
Now, the odds of winning the top prize went from one in 175 million to one in 292 million. And even if you do win, your new fortune doesn't always lead to happiness.
"The historical assumption is if you win the lottery you're set," Attorney Andrew Stoltmann said. "Unfortunately, the overwhelmingly majority of lottery winners don't have that story."
Stoltmann said he has represented six people who had seen their lottery winnings disappear.
"Once this person wins the lottery, they become a global target. There are literally people across the world, who put these people on a list to harass and try to sell bad investments and also just flat out try to take their money."
Last year, a study found that 44 percent of lottery winners spend their winnings within five years.
Some call these misfortunes or the lottery curse when winners find their luck has run out.
In 2002, Jack Whittaker hit the Powerball jackpot winning nearly $315 million. Years later, his family life fell apart and he was arrested twice.
Abraham Shakespere of Florida was murdered after winning $30 million.
Just this week, Powerball winner Marie Holmes made headlines after spending millions bailing her boyfriend out of jail again.
Author Michael Norton suggested the key to happiness is sharing some of the prize money.
"Lots of people end up perfectly fine. People who struggle after winning the lottery actually are the people who do things like quit their job, buy an island and move to it," Norton said.
Nevertheless, with what could be $1 billion on the line, plenty of Americans are willing gamble.
"What else in the world could you possibly buy for 2 or 4 dollars where walking around carrying it for a couple of days makes you feel like maybe you're going be a multi-millionaire tomorrow," Norton said.
If you do hit the jackpot, experts said you can expect plenty of friends, family and co-workers to come out of the woodwork.
Only six states allow lottery winners to remain anonymous. California is not one of them. The Golden State is among the majority of states that require lottery winners to reveal their identity if they want to collect their cash.
Delaware, Kansas, Maryland, North Dakota, Ohio and South Carolina allow winners to remain anonymous.