Mega Millions @ $330M... take the annual payout or the cash option?
(not asking if it's worth playing or if it's a voluntary tax on stupidity)
if you won the advertised jackpot of $331 million...
would you take
Annual payout of $12,730,769 for 26 years
OR
$194,242,000 cash option???
and for $#@!s and giggles, what would you do with your prize money???
Take the cash option. One the value of that money is going down over the 26 years. In 26 years that 12 million will be worth about $5. Two who the hell knows what the taxes will be.
Take 10-15% put it into precious metals. Buy yourself your dream house(s). Invest, run for office, give to charities.
Libertarians - trying to improve the world through ideas and free markets rather than legislation and prisons.
Take the cash, buy a house over a bunker, stock it with the best food and supplies. Buy guns, ammo, gold, silver and get a nice stack of other currencies. Have a nice nest for 100% peace of mind. Buy some other houses around the world, a small plane, and do everything else I've wanted to do.
Last edited by BFranklin; 01-03-2011 at 07:42 PM.
Definitely lump sum, because most lottery annual payouts don't pass to your heirs if you die.
I'd pay my house off, get a gardener and a pool boy, and travel.
194M cash? Yeah, I'll take that.
"Like an army falling, one by one by one" - Linkin Park
Cash option. I would then buy every ounce of physical silver available in the United States, and ship it into my new underground layer in an old missile silo.
Pop some popcorn, and watch as the fireworks start going off as the dealers try to restock in a rush, and thus try to take delivery from COMEX and the LBMA.
If they don't, then I would do it myself, assuming I had any dollars left.
Hard to say, as one option nets you nearly all of it, while the other is significantly reduced (though still a lot).
I'd probably end up going with the cash option, at the end of the day, then found Vault-Tec =p
All jokes aside, I'd probably just live like I currently do--I might upgrade my computer more frequently or update a few other things quicker, but, overall, my lifestyle would still be fairly conservative.
That 194 million might only be about 60 or 70 million after taxes, but it is worth it. you don't know where the lottery will be in 20 years, or if it will exist at all.
Tu ne cede malis sed contra audentior ito
Check out the idea of Future Value.
FV = P(present)V*(1+i(interest))^t(time)
Let's assume you put it in a very diversified conservative portfolio of bonds/metals/stocks/funds and see an averaged 7% RoI/year. For the deal to be worth it (excluding issues Angela brought up), in 26 years, your investment should be valued over $331m - so let's plug the numbers in and find out.
FV=194,242,000*(1+.07)^26
FV=1,128,031,846.84
1.128b>331m so yeah, I'd def. take the lump sum.
Oh, that's a good point. I'm not sure of tax rates on the diff. options. I'd guess if you don't take the lump sum you'd pay tax? Lemme look into this and fix my formula.Originally Posted by libertybrewcity
Edit: I've read taking the periodic payments results in lower taxes, but also that payments gradually increase with time, and there are huge variations in states & cities on taxes, so Idunno what to do -- lump sum would probably still see a dramatically higher return, I'd guess.
Last edited by Kludge; 01-03-2011 at 08:22 PM.
I would take the $194 million cash option, and use it in every legal way possible to get Ron Paul elected in 2012.
I would take the Lump Sum, locate and buy a very large tract of land in MT that is within 30 minutes of an interstate highway and at least 30 minutes away from the nearest town of 50k or greater (only 3 in MT) Also would prefer the county be as sparsely populated as possible.
Then I would build earthship style homes and bring in any friends and relatives who wished to join me. We would utilize alternative energy as feasible, get some free ranging buffalo, horses, chickens and goats. Also would build some earthship style green houses for aquaponics. Any remaining money would be invested in a highly diversified manner.
Then have a big cookout.
Insanity should be defined as trusting the government to solve a problem they caused in the first place. Please do not go insane!
mega millions and power ball pass to heirs.
1. Take the lump sum.
2. Buy a country.
3. Start a "free country" project.....except where I am king.
This. Definitely take the lump sum.
Taxes shouldn't be much different either way (assuming they stay constant for the duration) because the top income tax bracket is only about $370,000. If you spread it out over 26 years more of it will fall in the brackets below $370,000, but it is such a small percentage of the overall payout that it is almost insignificant.
Oh, how I have daydreamed of such a scenario.....(not asking if it's worth playing or if it's a voluntary tax on stupidity)
if you won the advertised jackpot of $331 million...
would you take
Annual payout of $12,730,769 for 26 years
OR
$194,242,000 cash option???
and for $#@!s and giggles, what would you do with your prize money???
1. I would take the lump sum.
2. I would do a couple things.
a. Put away a hefty amount for my child and niece.
b. Set up an annuity for my close family
c. Create a liberty foundation with an annual budget of 500k - 1million. Put money away and use the interest/dividends to enable this.
d. Invest in precious metals and land
e. Set up a parcel of land with water (lake/stream) very far from others, and a nice home. Stocked up for the long haul - for a $#@! hits fan scenario.
..... and I still have over a 100+ million left.. hmmmm
you can throw a pretty epic party with that lol
I just paid my $5 ignorance tax. I couldnt resist the possibility of winning that kind of money. I'd definitely take the lump sum, dump as much as I can into land and metals and watch my millions turn into billions along with inflation. Maybe then Ill have enough money to buy off some Congressman to follow the Constitution.
"Let it not be said that we did nothing."-Ron Paul
"We have set them on the hobby-horse of an idea about the absorption of individuality by the symbolic unit of COLLECTIVISM. They have never yet and they never will have the sense to reflect that this hobby-horse is a manifest violation of the most important law of nature, which has established from the very creation of the world one unit unlike another and precisely for the purpose of instituting individuality."- A Quote From Some Old Book
I got the mega ball and one number... won 2 bucks when I discount the dollar I paid for the ticket.
"When the power of love overcomes the love of power the world will know peace."
- Jimi Hendrix
"If one rejects laissez faire on account of mans fallibility and moral weakness, one must for the same reason also reject every kind of government action."
- Ludwig Von Mises, Planning for Freedom
hell take the cash....you never know if your going to be hit by a Mack truck tomorrow! (Disclaimer: other brands of trucks available)
"Liberty lies in the hearts of men and women; when it dies there, no constitution, no law, no court can save it; no constitution, no law, no court can even do much to help it."
James Madison
"It does not take a majority to prevail ... but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men." - Samuel Adams
Μολὼν λάβε
Dum Spiro, Pugno
Tu ne cede malis sed contra audentior ito
We actually worked out a scenario like this in a finance class I took. Lump sum is the better option because of decreasing purchasing power of the dollar due to inflation, taxes, etc..Also, the Present Value holds more "value" and you have Time Value as well. So yes I'd take the lump sum. I'd lock it away in a tax shelter trust fund somewhere.
Present Value:
http://en.wikipedia.org/wiki/Present_value
Time Value:
http://en.wikipedia.org/wiki/Time_value_of_money
Last edited by Pauls' Revere; 01-05-2011 at 12:59 AM.
The Creature from Jekyll Island:
We're being governed ruled by a geriatric Alzheimer patient/puppet whose strings are being pulled by an elitist oligarchy who believe they can manage the world... imagine the utter maniacal, sociopathic hubris!
C'mon folks, it's time to play the lottery!
Pay your idiot tax!
You've got to love the idiot tax- it's completely voluntary and people willingly pay it!
It's called a user fee
I'd have to pay doubly. Since I live in a state that ranks "gambling" right up there with murder, I'd have to drive to Tennessee or Georgia to get those tickets.
I've put a little thought into what I would do if I won this lottery of $355 million with a cash payout of $224 million.
1. I would TELL NO ONE! Several articles I've read even say not to tell your spouse for a day or two. You don't want your front yard filled with people, a half a dozen tv satellite trucks parked down your block and the phone ringing off the hook with friends you never knew before.
2. Freak out (privately, secretly).
3. On back of ticket put "DVC Trust" for name of claimant but I would not sign it. (see #6). Make several photo copies (front and back). Then place ticket inside a snack sized zip-lock bag, double seal with water proof tape and tape baggie to foot with with medical tape. (That ticket ain't going no place without me.) Photo copies: Mail one to self, one each friend in #4, one in back pocket.
4. Call a friend from law school. This begins the claiming/collection process. Explain to friend that I have created a trust with the res (the property to be entrusted) being the ticket, naming myself as trustee, naming him as trustee in case I die, and explain how I'd want the trust to run in case I die. Then have friend fly to town. He becomes my Tom Hagen. (I have godchild who wants the lead part in a war movie, okay?) Call second lawyer friend who's in town and have him pick me up (too nervous to drive) and go to his office (big firm here in town) and have trust papers drawn up and executed. (Have vision of dozens of the firm's lawyers kneeling before me to inspect ticket taped to my foot.) (Upon death a Trust by-passes probate court and keeps private financial matters. It also protects as against lawsuits - stops people from suing me in hopes of collecting from me personally since the money would be in trust. Example: I go to a bar and get into a fight, I could be sued but since "my" money is in trust any judgment against me would not be collectable from the Trust.
5. Arrange investment amd money matters. (Right now I'd go heavy in physical silver 70% plus.) (FYI the payout comes in two shots. First, the state you're claiming the ticket against pays what it has collected - usually available immediately to a couple of days though they may delay payment to make sure you have time to seek out legal/financial help. Then a second payout from all the other states 14 to 21 days after the drawing.) And since it's early in the year consider moving / establishing residence to a state with no income tax.
6. On first day money is available as explained above have a lawyer from friend's firm go claim the ticket on behalf of the DVC Trust. (This is allowed in all states except two, iirc.) This way nobody outside who I tell knows I won.
I would take the cash payout
Estimated amount received: Of the $224 million cash payout the IRS takes 25% off the top of $56 million (with another 10% ($22 million) owed when you file - if you presently file once a year you can wait - and play with the $22 million until April 2012.) Then the state's IRS takes it's share (5% so $12 million is taken. Total amount received $156 million with another $22 million plus owed next year. End result: About $130 to $135 million after the dust settles including subtracting money for legal/investment help.
7. Make anybody or organization I may give a gift to sign a nondisclosure agreement. I don't want the friend I promised a new car to, to go around telling everyone that I gave her a new car. Or, the church pastor thanking me for my generous $1 million contribution from the pulpit. Most people I know would ask where I got the money to give a new car to a friend or big bucks to a church.
First thing I'm going to do is leave town.....
Tall you you all in a few weeks
Cash option. I'd pay off my mortgage and car, buy a bigger home and beautify it (with all possible anti-burglar/break-in features), go ballistic on survival/food storage supplies, buy firearms and ammunition... and get a very large quantity of gold and silver.
Ron Paul - America, you WILL regret not voting for him!
KNOWLEDGE IS POWER
yes!!!!YESSSSSS!!!!
If you'd won it, you wouldn't be asking.;
The ground of liberty is to be gained by inches, and we must be contented to secure what we can get from time to time and eternally press forward for what is yet to get. It takes time to persuade men to do even what is for their own good.
********HOW THE GOVERNMENT MONITORS YOU AND YOUR MONEY********
************************************************** ************************************************** ************************************************** ************************READ THIS VITAL INFORMATION ABOUT THE LOTTERY, THE BANKING SYSTEM THAT WILL CONTROL YOUR MONEY, AND THE NEW WORLD ORDER
************************************************** ************************************************** ************************************************** ************************
I take any opportunity presented to me while it is available. I would take the cash, lump sum for reasons resulting from not gambling the security of the lottery's future in the American economy. The U.S. can and will change and another power such as China, Japan, or other competing venture capitalist states can put an end to the economy and the lottery as we know it. This is possible because the American dollar has and will fluctuate or devalue as it does at all moments of everyday in the market trade system labeled as the stock market. This is a market established where individuals or certain groups can choose and purchase partial ownership of a businesses, allowing one to have the power to make decisions that affect their investment in the business. This is monitored by the banks that track your purchasing and track your every move. Your purchases depict your interests and capabilities because your routine indicates a pattern of tendencies or habit. The bank has your social security number and so does the government. As a citizen you show up like a radar whenever your social security is registered for a job, loan contract, credit or debit scan. If you agree to let the bank control your money and disburse it to you when you are granted access to it then you are agreeing to be put under dominion and abide as a soldier to the motives of the elite who own the banks and influence the media, our ideals, and our economy. Only the state of mind can collapse the state of the union. If we all choose to not use force then no force can be used against us. Peace is caused by peace not by force, war, and acquisition. I would take the funds I have at my disposal and quickly turn them into assets that will produce a return on the investment. I will devise a physical, conscious empire with the federal reserve notes we use as an exchange and purchasing system while they are still in convention. Money is nothing sitting in a bank because it does not in fact sit in a box with our names labeled on each dollar we deposit. Money can manifest through investments that will accrue equity, a success for the banking system when we deposit our money and they invest it in the properties we buy off of them. Monetary value may not exist in the future if, for example, the world economies collapse and pledge allegiance toward a different state of mind or a new world order where money is no longer collateral in exchange of access to resources, services, freedoms, and venture capitalism. Already the world revolves around who knows whom, and what power and access they have in making decisions that affect other networks; perhaps influencing other networks to join and collaborate to protect and strengthen their assets. I would spend my money very wisely. I am not going to say how because I didn't work this hard mapping out my goals to be pirated and sent off the plank and have someone corrupt my intentions. I wouldn't waste an opportunity like all of you writing about shrining your car, home, pets, and relatives with nonsensical travel, and purchases. Anyone who has power and authority should practice a good cause, and this money should be driven toward that motive. Its not simply what you own, but what you are capable of doing with the resources you have. The exchange of money for things is simply a state of mind we agree upon because anything can be used to make a trade as long as there is evidence or confirmation of the transaction. We allow ourselves to be incepted and we let someone else manipulate our fate by allowing corporate leadership to control how we access information, how we interact, and how we make decisions. We simply agree that there is some unruled, yet understood value system for objects that classifies and categorizes them. Meanwhile the introduction of currency affects the level of importance and necessity of objects in relation to other objects creating a socioeconomic state of mind where money rules all. Our beliefs in this are so strong that it urges us to desire the scarce and acquire the vogue of the elite to make society aware of our importance. It makes us play the lottery and want to win it, with the goal to spend in mind. Every response here, as to what the millions would be spent on, disappointed me. We need to provide global awareness for educational development for the sustainability and advancement of humanity. Every person has to know their civil responsibility apart from their daily routine in case a day of havoc occurs, threatening the ability to sustain and inhabit human life here on earth or somewhere else. We must have more than one option to survive and know how we can contribute and prepare ourselves because we can't depend on a small group to prevail with the few considerations we have now for after earth survival. At this moment, the fate of all relies in the hands of the few that have the knowledge and control over information that can help the world. If government is made, society must always have public access to all information effecting the state of the nation and it must be used solely for survival against threats only. This power must not be used militantly for political or diplomatic relations. Everyone must be alerted and informed periodically of their duty in Civil and Global Defense Preparation (C.G.D.P). We can build faster as a global unit rather than a small group trying to play world hero or even worse, world dictator. We have more potential to survive, evolve, and manifest if we improve our communication system and educate the world. It should not be an ordinance that is governed, instead an understanding and conscious reality for people that at some point the fate of humanity will have to consider. The world is like a ticking time bomb with a clock that we can't turn back nor stop or push forward. We can sit and wait to see our destiny and demise or we can prepare ourselves for the path we are going to travel by testing our options until we have indisputable results. Everyone will know that they are accountable for others just as others are accountable for them. This way civilians are reminded that their participation saves everyone by doing their part in preparing themselves. This will result in the increase in value and respect for human life causing others to want to nurture and develop humanity rather than exploit it for biased, idealized motives. We don't know when the world will collapse nor how, but the best thing we can do is be kept informed so we can work together to resolve and overcome anticipated catastrophe. This program should be mandated and obligated as the value of life is above all that we value in life. This program shouldn't be funded, but instead it should be a civil duty such as a charity. You are a member of a society where your efforts are a vital contribution to the improvement of society. ************************************************** ************************************************** ************************************************** ************************READ THIS VITAL INFORMATION ABOUT THE LOTTERY, THE BANKING SYSTEM THAT WILL CONTROL YOUR MONEY, AND THE NEW WORLD ORDER
************************************************** ************************************************** ************************************************** ************************
I take any opportunity presented to me while it is available. I would take the cash, lump sum for reasons resulting from not gambling the security of the lottery's future in the American economy. The U.S. can and will change and another power such as China, Japan, or other competing venture capitalist states can put an end to the economy and the lottery as we know it. This is possible because the American dollar has and will fluctuate or devalue as it does at all moments of everyday in the market trade system labeled as the stock market. This is a market established where individuals or certain groups can choose and purchase partial ownership of a businesses, allowing one to have the power to make decisions that affect their investment in the business. This is monitored by the banks that track your purchasing and track your every move. Your purchases depict your interests and capabilities because your routine indicates a pattern of tendencies or habit. The bank has your social security number and so does the government. As a citizen you show up like a radar whenever your social security is registered for a job, loan contract, credit or debit scan. If you agree to let the bank control your money and disburse it to you when you are granted access to it then you are agreeing to be put under dominion and abide as a soldier to the motives of the elite who own the banks and influence the media, our ideals, and our economy. Only the state of mind can collapse the state of the union. If we all choose to not use force then no force can be used against us. Peace is caused by peace not by force, war, and acquisition. I would take the funds I have at my disposal and quickly turn them into assets that will produce a return on the investment. I will devise a physical, conscious empire with the federal reserve notes we use as an exchange and purchasing system while they are still in convention. Money is nothing sitting in a bank because it does not in fact sit in a box with our names labeled on each dollar we deposit. Money can manifest through investments that will accrue equity, a success for the banking system when we deposit our money and they invest it in the properties we buy off of them. Monetary value may not exist in the future if, for example, the world economies collapse and pledge allegiance toward a different state of mind or a new world order where money is no longer collateral in exchange of access to resources, services, freedoms, and venture capitalism. Already the world revolves around who knows whom, and what power and access they have in making decisions that affect other networks; perhaps influencing other networks to join and collaborate to protect and strengthen their assets. I would spend my money very wisely. I am not going to say how because I didn't work this hard mapping out my goals to be pirated and sent off the plank and have someone corrupt my intentions. I wouldn't waste an opportunity like all of you writing about shrining your car, home, pets, and relatives with nonsensical travel, and purchases. Anyone who has power and authority should practice a good cause, and this money should be driven toward that motive. Its not simply what you own, but what you are capable of doing with the resources you have. The exchange of money for things is simply a state of mind we agree upon because anything can be used to make a trade as long as there is evidence or confirmation of the transaction. We allow ourselves to be incepted and we let someone else manipulate our fate by allowing corporate leadership to control how we access information, how we interact, and how we make decisions. We simply agree that there is some unruled, yet understood value system for objects that classifies and categorizes them. Meanwhile the introduction of currency affects the level of importance and necessity of objects in relation to other objects creating a socioeconomic state of mind where money rules all. Our beliefs in this are so strong that it urges us to desire the scarce and acquire the vogue of the elite to make society aware of our importance. It makes us play the lottery and want to win it, with the goal to spend in mind. Every response here, as to what the millions would be spent on, disappointed me. We need to provide global awareness for educational development for the sustainability and advancement of humanity. Every person has to know their civil responsibility apart from their daily routine in case a day of havoc occurs, threatening the ability to sustain and inhabit human life here on earth or somewhere else. We must have more than one option to survive and know how we can contribute and prepare ourselves because we can't depend on a small group to prevail with the few considerations we have now for after earth survival. At this moment, the fate of all relies in the hands of the few that have the knowledge and control over information that can help the world. If government is made, society must always have public access to all information effecting the state of the nation and it must be used solely for survival against threats only. This power must not be used militantly for political or diplomatic relations. Everyone must be alerted and informed periodically of their duty in Civil and Global Defense Preparation (C.G.D.P). We can build faster as a global unit rather than a small group trying to play world hero or even worse, world dictator. We have more potential to survive, evolve, and manifest if we improve our communication system and educate the world. It should not be an ordinance that is governed, instead an understanding and conscious reality for people that at some point the fate of humanity will have to consider. The world is like a ticking time bomb with a clock that we can't turn back nor stop or push forward. We can sit and wait to see our destiny and demise or we can prepare ourselves for the path we are going to travel by testing our options until we have indisputable results. Everyone will know that they are accountable for others just as others are accountable for them. This way civilians are reminded that their participation saves everyone by doing their part in preparing themselves. This will result in the increase in value and respect for human life causing others to want to nurture and develop humanity rather than exploit it for biased, idealized motives. We don't know when the world will collapse nor how, but the best thing we can do is be kept informed so we can work together to resolve and overcome anticipated catastrophe. This program should be mandated and obligated as the value of life is above all that we value in life. This program shouldn't be funded, but instead it should be a civil duty such as a charity. You are a member of a society where your efforts are a vital contribution to the improvement of society. We must create a vessel for our safety.
Last edited by xeyeXsawx; 03-21-2012 at 04:00 AM. Reason: Grammatical errors
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