Posted on 01/08/2016 12:51:41 PM PST by NRx
Evidence shows that most people who make it to the top 1 percent of income earners usually don't stay at the top for very long.
But the person who wins the $800 million Powerball jackpot during Saturday night's drawing, assuming one person wins the entire pot, will have such a large pile of cash that they can create a steady cash flow of millions of dollars a year without taking much risk.
"With this amount of money there's really no reason to be overly aggressive," said Jeffrey Carbone, managing partner and founding member of Cornerstone Financial Partners in Charlotte. "Lottery winners unfortunately try to get richer but now it's really about maintaining your wealth."
For someone taking the lump-sum, the prize would amount to an estimated $372 million after federal taxes, according to the website USAMega.com. After state taxes, that pot would be reduced to about $350 million -- though it could be more or less, depending on the state. (Ten states, along with Puerto Rico and the U.S. Virgin Islands, don't charge any state taxes on lottery winnings, according to USAMega.com.)
After investing that $350 million in a conservative portfolio that earns an average of 3 percent a year, the move could generate a steady cash flow of about $10.5 million a year. (And that's without spending down any of the actual prize money.) For the typical worker, that would be enough money to cover the bills, buy a nice car, offer some financial support to family and friends, and still indulge in some nice meals and a few vacations.
(Excerpt) Read more at washingtonpost.com ...
See now I’m all confused. You went to bermuda to become a changed woman so you’re still geneticly male but you are married to a guy so...
OH MY GOD YOU’RE GAY!!! ;)
Maybe but mouthwash is hard to come by in a garage ;)
That’s why if I relocated to Europe, my choice of a city would be Bratislava.
All the amenities of being in a European capital, but it’s relatively small, and an hour from Vienna if you want to take a day trip, and the Slovaks aren’t bent on cultural suicide like Western Europe is.
I go to a casino every week now and play casino poker machines. Instead of betting 25 cents (a $1.25 bet each time) as I do now, I would double that to 50 cents (a $2.50 bet each time). It requires some thinking to play poker machines and that is why I do it so I would keep on doing it if I won the Powerball jackpot. I will have a ticket for the Saturday drawing and I am sure I will win.
Catherine, if I win, I will buy you an SUV, your choice of brand and color, so you can drive down to Texas to see me. We have extra bedrooms and extra bath at the other end of the house, so you would be comfy. Will take you down the road to Justin, Texas, and outfit you in Justin boots and cowboy clothes.
If I do not win, which is unthinkable, will send note to Cruz that he should have rigged it so I won. Will not bother with Trump, he would look terrible in boots anyway.
The best advice I’ve heard for those winning a lottery is to set aside, say, a $250K. Blow it on a new car, a cruise, whatever. Don’t do anything very big. This advice says that no one knows what it’s like to suddenly be that rich. You need time to figure out exactly what it is you want and where you want it. Just blow through your $250K and spend a few months really thinking about life. Who knows, you might decide you need to get to know Caitlyn Jenner.
Nice hair though ;)
I always wondered what somewhere deep in Romania would be like. Completely away from it all.
A parent can gift their child up to $100K/year tax free.
An old boss of mine hit big in the Dotcom boom. He bought a huge place. I was there when he surprised the wife...a great and very modest woman who wasn’t into excess at all. She sat in the living room looking around blankly saying ‘How am I gonna clean all this?”
The Carpathians in Southern Poland/Northern Slovakia are gorgeous.
Its all academic for me now anyway but I was born and raised in the Adirondacks. 40 below wasn’t uncommon in winter.
I see the pictures of the landscapes there and just drool.
What could possibly go wrong?
Moving won’t help. You have to claim the prize in the state where you purchased it.
Thank you.
The suggestion I read was that you should claim in as an LLC or a nonprofit or something like that. That way you are still anonymous.
I don’t see any car.
Googled it. Yup, that would be perfect.
First thing to do is to incorporate.
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