While lotteries are popular with many people and raise billions in revenue for state governments, critics cite numerous problems, including an alleged promotion of addictive gambling behavior and a major regressive tax on lower-income groups. Critics also point to the fragmented nature of lottery governance, which leaves public welfare considerations in a position to be largely overtaken by the ongoing evolution of the industry.

In some cases, a winning ticket holder is forced to split the prize with other ticket holders, which can significantly diminish the value of a jackpot. For example, the $1.3 million won by mathematician Stefan Mandel required more than 2,500 investors to buy all of the possible combinations. As a result, Mandel’s total payout was only $97,000. Even with the help of others, it is still hard to win a large amount of money in the lottery, but you can increase your chances by investing wisely.

Lottery advertising is often deceptive, presenting misleading information about the odds of winning a particular jackpot and inflating the current value of a prize. Furthermore, the way that tickets are sold (by dividing them into fractions) can increase the cost of playing.

State lotteries typically enjoy broad public approval, but that support has little to do with the actual fiscal condition of the state government, as studies have found that the lottery is a popular revenue source even in times of economic prosperity. In fact, some experts argue that the popularity of a lottery may be used as a political tool during economic stress by politicians seeking to avoid raising taxes or cutting other programs.

One of the most important things to remember about the lottery is that it’s not a smart place to put your money. Unless you have the time to devote to research and analysis, you are more likely to lose than win. That’s why it’s important to have a plan for how you are going to use any winnings you receive.

Khristopher J. Brooks writes about personal finance for CBS MoneyWatch. He previously worked as a reporter for the Omaha World-Herald, Newsday and the Florida Times-Union. He specializes in the U.S. housing market, the business of sports and bankruptcy.

You can follow him on Twitter @KhristopherJBrooks and on Facebook. You can find the latest installments of his “The Week in Review” series on NerdWallet’s Facebook page. Copyright 2017 NerdWallet. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.