Current Events > Congratulations. You won the lottery. How do you take your winnings?

(+) Yeah! (+)

How you taking yo winnings?

In payments so I don't spend it all at once.

entirely in pennies.

In Bitcoin, NFTs, and silver bars.

I don't know what to do with lottery money so it'd just sit there, so lump sum please and thank you

Installments. Get lazy for the rest of my days as I get money for touching myself with a photocopy of the original ticket.

What are the installments like?

Always take the lump sum.

Even severely cut, having that lump amount to grow over time through investments is way more profitable in the long run. Will also help to keep the winnings ahead of inflation. You could easily live SUPER comfortably off the passive income (interest, capital gains, etc) generated by that kind of wealth year on year)

Lump sum. It would be extremely easy to turn that into more money.

It would also be really easy to lose all that lump sum if you pick the wrong thing to invest in.

I'd take the lump sum. I'd just have to pay the federal tax but California doesn't tax winnings.

I believe i'll take the payments.

Imit8m3 posted...

It would also be really easy to lose all that lump sum if you pick the wrong thing.

I mean... that's why you have a diverse portfolio. Fuck, the first two things you invest in with that money is:

1) get a lawyer
2) get an excellent financial advisor/accountant

Imit8m3 posted...

It would also be really easy to lose all that lump sum if you pick the wrong thing to invest in.

That's why you pick something easy like a total market index fund. There's more serious problems out there if you lose all your money there.

Lump sum i would buy a lot of things first and just keep whatever is left in the bank

Always take the lump sum

2 minutes until I'm a billionaire

Cash 25 years is to long

Lol mega millions website is fucked harder than GameFAQs earlier today

https://twitter.com/wbaltv11/status/1553214359131807744

nop, dam

Nope :(

I WON!!!!!!!!

2 dollars.

Won back $2 out of $10!

Meh. I'll check it next time I go to the grocery store.

.....people realize that lump sum means you get vastly less cash overall right? Not to mention that incremental payments is guaranteed income for the next 25 years.

You go for a lump sum payment and all of a sudden everyone and their mother comes out of the woodwork asking for hand outs.

I would rather take the incremental payments, which is guaranteed living. It allows me to put a down payment on a property, guarantee I have money to pay for said property for the next 25 years which brings me up to my 60s, at which point I have a nice retirement home, if I don't decide to sell it at some point.

I have the option of refinancing the home at a later date if I renovate to make it more favorable to the current market (don't ask me how that works, I just heard about it from a Graham Stephan video), which in turn means I either get money back, or I pay less on mortgage payments overall.

So that 2k I spend per month could turn into 1k at a later point in time. Possibly less.

But for me, I would use that time to build a tiny home on a piece of land that I own. The most expensive cost is wiring the internet.

Ivany2008 posted...

people realize that lump sum means you get vastly less cash overall right?

You get more because the chances of you collecting the entire annuity is pretty much nothing.

Ivany2008 posted...

.....people realize that lump sum means you get vastly less cash overall right?

Half, which you can make up with semi-competent investments.

Not to mention that incremental payments is guaranteed income for the next 25 years.

Thirty years, and frankly I'm probably not living that long.

Looks like I won $4 out of $20 spent..no Applebees tonight

Doesnt matter. Either one will buy me enough liquor to be constantly shitfaced until I die of cancer in 8 months.

Questionmarktarius posted...

Half, which you can make up with semi-competent investments.

Thirty years, and frankly I'm probably not living that long.

That's if your investments pan out for you. There is always the chance that investing will leave you with less money than you started with, and even if you don't live 30 years, it still guarantees you a roof over your head, and pocket money.

Everyone says take the lump sum but I don't even have the faintest idea how to invest money and the concept scares me.

KainWind posted...

Everyone says take the lump sum but I don't even have the faintest idea how to invest money and the concept scares me.

If you're under 40, the annuity isn't a terrible idea.

Lump sum. That money gonna grow.

Mathematically it's better to take lump sum but I would take the annuity anyway. Can only go broke once a year.

https://www.courier-journal.com/story/news/2022/07/30/mega-millions-numbers-lottery-jackpot-drawing-results-wednesday-7-29-22/65386408007/

one ticket sold in Ohio matched all 5 numbers except for the megaball and added the multiplier.

May be a few more hours to find out if someone won the full amount.

Also, the lottery website has crashed.

damn

Ivany2008 posted...

.....people realize that lump sum means you get vastly less cash overall right? Not to mention that incremental payments is guaranteed income for the next 25 years.

The jackpot is something like $1,200,000,000 right now, right? As in 1.2 billion dollars US. Taking the lump sum would *still* get you like $400,000,000 after taxes, compared to like $22,000,000 a year via the annuity. Both are ridiculous sums of money, the difference is $400M an even semi-smart person can do A LOT more with it because they have the money an leverage to hire really smart people and the capitol to swing that lever hard. Like you could blow $200,000,000 on the dumbest shit you can thing of and invest the other $200,000,000 and never work again. In fact, not only would you never work again but you could pick 50-60 other people who *also* would never have to work again based off average market returns on a $200M investment if you were so inclined. Assuming a 9% ROI it works out to $18M, or just slightly less than the annuity would pay out AFTER you waste half your capitol and if you divide that 50 ways you could give 50 people an annual salary of $360K for doing fuck all (or give them $50K and keep $2.5M annually for yourself). And you'd still have $200M invested somewhere you could cash out if you needed it

My point is this: Regardless it is a ridiculous amount of money. Taking it up front lets you do the most ridiculous amount of shit and still come out of top if you even half-ass take care of it

KainWind posted...

Everyone says take the lump sum but I don't even have the faintest idea how to invest money and the concept scares me.

You don't need to understand any of that. You can hire people whose sole job is to take your money and use it to make more money. Just gotta make sure you hire people you trust. Stick with big firms who have waaaaaaaaay more at stake if they fuck you over for your pitable millions and it'll be fine

Upfront. I can make the best use of the money that way. The only thing is I have the sense not to waste my money on the lottery.

fire_bolt posted...

The jackpot is something like $1,200,000,000 right now, right? As in 1.2 billion dollars US. Taking the lump sum would *still* get you like $400,000,000 after taxes, compared to like $22,000,000 a year via the annuity. Both are ridiculous sums of money, the difference is $400M an even semi-smart person can do A LOT more with it because they have the money an leverage to hire really smart people and the capitol to swing that lever hard. Like you could blow $200,000,000 on the dumbest shit you can thing of and invest the other $200,000,000 and never work again. In fact, not only would you never work again but you could pick 50-60 other people who *also* would never have to work again based off average market returns on a $200M investment if you were so inclined. Assuming a 9% ROI it works out to $18M, or just slightly less than the annuity would pay out AFTER you waste half your capitol and if you divide that 50 ways you could give 50 people an annual salary of $360K for doing fuck all (or give them $50K and keep $2.5M annually for yourself)

My point is this: Regardless it is a ridiculous amount of money. Taking it up front lets you do the most ridiculous amount of shit and still come out of top if you even half-ass take care of it

You don't need to understand any of that. You can hire people whose sole job is to take your money and use it to make more money. Just gotta make sure you hire people you trust. Stick with big firms who have waaaaaaaaay more at stake if they fuck you over for your pitable millions and it'll be fine

I'm more or less speaking about the lower lotteries. The ones that are 10 million and below. Maybe even up to 20 million. Taking a lump sum for those to me is just stupid. I can understand if its the Billion dollar lottery, though even then I get the feeling that I would get people showing up at my doorstep begging for money.

Playing the lottery isn't necessarily against my values, but I don't see any reason to throw any money into it.

Ivany2008 posted...

I'm more or less speaking about the lower lotteries. The ones that are 10 million and below. Maybe even up to 20 million. Taking a lump sum for those to me is just stupid. I can understand if its the Billion dollar lottery, though even then I get the feeling that I would get people showing up at my doorstep begging for money.

All you're doing at that point is moving the decimal places over. The logic is more or less the same. $10M jackpot is an annuity of $350K for 20 years vs around $6M up front that you can invest and collect $540K a year off of at that 9% ROI I mentioned, although that is assuming you invest all the winnings since it is a lower amount. If you spent $3M to get yourself set up with like a house/car/whatever the fuck you want and then invested $3M it'd still be a $270K annual return. Even assuming a shitty ROI of 5% still gets you $150K yearly after you spend the $3M. It'd be almost impossible to not get at least a 5% ROI

Occupy_This posted...

one ticket sold in Ohio matched all 5 numbers except for the megaball and added the multiplier.

That's worth 3 million. And I'm pretty sure that was Tuesday not today

Purchased $6 in tickets yesterday. Decided to go buy a few more this afternoon and the line at the plaid pantry by where I live and the line was out the door. I would have waited but it was 100 degrees.

I'm guessing we're going to have to wait until at least tomorrow or Sunday to see if there's a winner. I've searched all over and can't find anything.

Anonymously in a lump sum

lump sum for sure

Installment. I don't need that much money right away, and the market looks pretty unstable to invest it.

It's objectively correct to take the lump sum payment. Do people think the lotto companies are just offering the installment plan because they're such great people with your best interests at heart? There is no guarantee you live another 30 years. And even if you do, with each year that passes, that installment payment is worth less and less because of inflation. And since Powerball knows this, installment plan payments are not equal. Each installment payment is 5% greater than the last. It's backloaded, because they know in most cases 30 payments will never go out.

Take the lump sum, don't be an idiot with your money. Objectively the highest value, lowest risk option.