Posted on 01/28/2016 11:55:14 AM PST by MichCapCon
We dumped tea into Boston Harbor over a much small tax bite than that.
(Yes, yes, I know the tea tax had already been repealed by 1773. Relax.)
Quite frankly why not have Powerball available in all 50 states?
While i was in Australia last month they had a very good multi territory lotto.
Www.tatts.com
Tatts Lotto, several lottos per week, and a Set For Life drawing.
I I thought that was the logo for gay love at first...
It would suck to go through life as a Henchman. Only a little better than a Lackey.
Lottery winnings are exempt from State taxes in MI?
Anyone even remotely familiar with finance knows you don’t “give” money to anyone, you route it through perfectly legal tax avoidance schemes like corporations and trusts.
WHAT HAPPENS IF AN ANNUITY PRIZE WINNER DIES?
The estate will handle the lottery prize. A lottery annuity prize is just like any other asset. You can pass any remaining annuity payments on to your heirs or to anyone else. The Powerball game will even cash out an annuity prize for an estate. This may make it easier for the estate to distribute the prize. It also may be necessary to cash out the annuity to pay Federal estate taxes. We will sell some or all of the securities at competitive bid or will even just transfer the securities to the estate. We do not charge a fee of any kind. We often hear people complain that the jackpot should not go back to “the state” when a winner dies. It does not. I think that this misunderstanding may come from the response that the prize “goes to the Estate” and some people hear “goes to the State.”
http://www.powerball.com/pb_contact.asp
I stand corrected. I’d always heard different, it might have been that way back in the beginning until someone bitched about it. And rightfully so.
Shows you how much I know about the game. I didn’t even know tickets had gone up to two bucks each until this last giant jackpot when I decided to throw a few bucks into the kitty.
Thanks.
The million dollar winner on America’s Got Talent gets $25,000 a year for 40 years.
is there a minimum payment if you select the liefetime annuity?
I mean if you seledct that and then then die the next year, is that all you get? (or your family)
Read my post at #27
My grandmother always tilde....a birdin the hands worth 2 in the bush
FWIW, during all the hoorah over the recent big prize, I read something about the fact the 30 annual payments are not equal.
Apparently the payout amount increases 5% per year to account for inflation.
Hah sorry. I tried typing that with one hand. Try it again.
My grandma always told me.....a bird in the hand is worth 2 in the bush.
Nice, but lump sum would be better.
If you had (after tax) 1,000,000.00 and put it in tax free munis, AAA rated, insured 3.5% coupon at par, non call, 40 year maturity, you would get $35,000.00 a year tax free.
THat is ALOT more than $25,000.00 the "annuity" gives you.
After 40 years of tax free coupon payments, you make $1,400,000.00. If you spent NOTHING, and just compounded the coupon payments and then the 1mm bond matured, you would have $2.4mm tax free.
Anyone who choses to take the annuity is an idiot. If they don't get to make that choice, I would cross my fingers that the insurance company is still around and/or honors its agreement in the next 40 years.
If I won any lottery, I would take the lump sum and invest it myself and not rely on a promise from a .gov or company's future promise. Just look at IL and CA issuing "IOUs" to lottery annuitants.
The disclaimer at the end of the episodes make no mention of, that I recall, of a lump sum alternative. I would not be surprised if the winners of a lot of “contests” be they “kick the football through the uprights at halftime” type or “find the one in ten million soda can or potato chip bag” type are forced to take money doled out over a long time.
Good thing ‘cuz I was imagining your gamma’s 2-hands in the bush...
ewwww!
The CNBC folks had a half hour special the day of the Powerball drawing. They recommended getting a lump sum. They assumed one winner. Even with taxes removed and “toys” bought a great deal of money is still left over. For just one person 800,000,000-1,000,000,000 is a lot of money. The one “toy” they recommended was a jet.
Previous winners also said a tough skin was needed. The ability to say “no” is vital. No likes to say no and no one wants to hear “no”, but it is necessary to keep the money.
That’s the idea. The government double dips on your family if you don’t claim they have an upfront claim on your ticket.
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