Edward7 Posted October 23, 2018 Share Posted October 23, 2018 36 minutes ago, luckme10 said: If the odds are one and 292 million and each ticket cost 2 dollars. With a payout of 900 million, it would cost almost 600 million to purchase all of the tickets. Would this be one of the few times when the expected value is higher than the initial investment? Except correct me if I’m wrong, by now someone or some people probably already have the full winning combination, at which point you’d be giving away half of what you put in and paying taxes to put it back in your account. Even worse if two other people won and the whole pot is split 3 ways. This is all assuming that you purchased each and every single possible permutation. Link to comment Share on other sites More sharing options...
zeedubbya Posted October 23, 2018 Share Posted October 23, 2018 1 hour ago, luckme10 said: If the odds are one and 292 million and each ticket cost 2 dollars. With a payout of 900 million, it would cost almost 600 million to purchase all of the tickets. Would this be one of the few times when the expected value is higher than the initial investment? No chance in having the time to purchase all tickets. By my calculation you would have had to have around100 people start about 25 days ago buying tickets at a pace of 100 tickets a minute for 12 hours a day to buy all ticket combo. Even if you had 600 mil to spend what if it ends up being a split? 3 ways, 4 ways. Yikes! I once read somewhere it’s hard to comprehend the odds of winning the powerball or mega millions, but to think about it this way. If you lay one dollar bills on the ground end to end around the entire coast of the USA......twice. For every ticket you have, you get to drive around the coast once. You start driving or walking and at some point you reach down and pick up the one marked bill which is the winner. If you have 100 tickets—well congrats! You get to make 100 trips. One of my biggest questions would be—if you were the sole winner of a 1.6 Billion Lottery prize would you tell anyone right away? I think my wife and father would know and that’s it. 1 Link to comment Share on other sites More sharing options...
gweilgi Posted October 23, 2018 Share Posted October 23, 2018 4 hours ago, FatherOfPugs said: You do realize that the Cash Value Option is $904 million. The 30 year annuity is the full $1.6 billion. The cash value option is always about 1/3 less of what the "Grand Prize" total is due to the Grand Prize technically being a 30 year annuity, paid once per year for 30 years. At that point, your at $53.33 million a year for 30 years, taxed at the highest income bracket of 37% (as of 2018, not the old 39.4%) if your state has no income taxes, so you take home is $33.6 million a year for 30 years, still not to darn bad. The lottery is taxed as income, no different that if you had winnings from a casino, it's all considered income by the IRS. https://money.cnn.com/2016/01/08/pf/taxes/powerball-jackpot-tax-bill/index.html Here's something I had always wondered .... could one not securitise this annuity? Even at a 20% discount, this would still give the recipient far more than the cash option ... Link to comment Share on other sites More sharing options...
M777 Posted October 23, 2018 Share Posted October 23, 2018 Set up trusts Take care of loved ones Donate part of the interest that the funds would generate Custom 2500 sq foot home with at least 10 acres of land and private lake Buy a helicopter Build one of the largest Habanos collections know to man Buy a life time supply of Pappy Van Winkel 15 and Rye. Vacations every month Eat lots and lots of lobster In reality I rarely play these type of lotto games, I play a much smaller one around once a month (pot usually sits at 15 mil) odds are 1 in 20 million vs 1 in 300 million plus which is where mega millions is at. Link to comment Share on other sites More sharing options...
joshhooper7 Posted October 23, 2018 Share Posted October 23, 2018 16 hours ago, ShortFatHokie said: But you would be in the highest tax bracket which is now 37%, plus state income taxes, if you state has them. Your still on the hook for the other 9% + state taxes on April 15th, 2019... My interest would be taxed in the highest tax bracket, but the tax bracket is solely based upon income. Should I keep my 1.152 billion in a savings account, it will never be taxed again. Only earned money from that calendar year gets taxed. I'd cash out in Florida and be free of state taxes. Easy day! Link to comment Share on other sites More sharing options...
Auspaul Posted October 23, 2018 Share Posted October 23, 2018 Interesting read no tax on lotto winnings in Australia if I won that sort of money would have to give a lot away to worthwhile causes and get myself a Bentley with the boot(trunk) turned into a humidor and every time I am asked for a cigarette would hand out a box of cubans Link to comment Share on other sites More sharing options...
MountainMilG Posted October 23, 2018 Author Share Posted October 23, 2018 3 minutes ago, Auspaul said: Interesting read no tax on lotto winnings in Australia if I won that sort of money would have to give a lot away to worthwhile causes and get myself a Bentley with the boot(trunk) turned into a humidor and every time I am asked for a cigarette would hand out a box of cubans I read about that somewhere else as well. Maybe Canada? I wonder why no taxes on lottery winnings, you'd think the government would want their easy percentage off the top. Certainly in this case 590 odd million certainly is something to add to the tax coffers. Link to comment Share on other sites More sharing options...
Auspaul Posted October 23, 2018 Share Posted October 23, 2018 Think Government makes money of taxing the companies that run the Lottos I know they make a fortune out of pokie machines Link to comment Share on other sites More sharing options...
rckymtn22 Posted October 23, 2018 Share Posted October 23, 2018 59 minutes ago, MountainMilG said: I read about that somewhere else as well. Maybe Canada? I wonder why no taxes on lottery winnings, you'd think the government would want their easy percentage off the top. Certainly in this case 590 odd million certainly is something to add to the tax coffers. Yes, not tax on lottery winning in Canada at least initially. I would imagine the government gets taxes on large winnings in the long run. Link to comment Share on other sites More sharing options...
TBird55 Posted October 23, 2018 Share Posted October 23, 2018 I would definitely try to figure out a way to remain anonymous. Link to comment Share on other sites More sharing options...
Rrm7284 Posted October 24, 2018 Share Posted October 24, 2018 -First I would take care of El Presidente’s over crowded locker problem.-Second would be to buy a lifetime supply of the world’s finest whiskeys and wines-The rest will undoubtedly go to the divorce lawyers Sent from my iPhone using Tapatalk 1 1 Link to comment Share on other sites More sharing options...
gweilgi Posted October 24, 2018 Share Posted October 24, 2018 3 minutes ago, Rrm7284 said: -First I would take care of El Presidente’s over crowded locker problem. -Second would be to buy a lifetime supply of the world’s finest whiskeys and wines -The rest will undoubtedly go to the divorce lawyers Sent from my iPhone using Tapatalk For a 10% cut, I will be your straw man so you can divorce first and then get the loot.... ? 1 Link to comment Share on other sites More sharing options...
Fuzz Posted October 24, 2018 Share Posted October 24, 2018 This Aussie has bought his Mega Millions ticket, and will be taking the money back to Aus!!! And I've also got my US Powerball ticket!!! Link to comment Share on other sites More sharing options...
ShortFatHokie Posted October 24, 2018 Share Posted October 24, 2018 23 hours ago, joshhooper7 said: My interest would be taxed in the highest tax bracket, but the tax bracket is solely based upon income. Should I keep my 1.152 billion in a savings account, it will never be taxed again. Only earned money from that calendar year gets taxed. I'd cash out in Florida and be free of state taxes. Easy day! Your earnings (lottery winnings) will be taxed, period. But after, you are correct, only earned interest/other income is taxed. However, unless you are a resident of Florida, you are still liable for state taxes in your state of residency. Also, you can only "cash out" in the state in which you purchased the lottery ticket. Link to comment Share on other sites More sharing options...
ShortFatHokie Posted October 24, 2018 Share Posted October 24, 2018 A single ticket purchase in South Carolina won the jackpot. Link to comment Share on other sites More sharing options...
MooseAMuffin Posted October 24, 2018 Share Posted October 24, 2018 @MountainMilG bought his in SC! If we don't hear from him or he starts posting pics of some Carribean island, we will know who cashed in. 1 1 Link to comment Share on other sites More sharing options...
MountainMilG Posted October 24, 2018 Author Share Posted October 24, 2018 1 hour ago, MooseAMuffin said: @MountainMilG bought his in SC! If we don't hear from him or he starts posting pics of some Carribean island, we will know who cashed in. Shhhhh ? 1 2 Link to comment Share on other sites More sharing options...
wineguy Posted October 24, 2018 Share Posted October 24, 2018 On 10/22/2018 at 11:40 PM, zeedubbya said: One of my biggest questions would be—if you were the sole winner of a 1.6 Billion Lottery prize would you tell anyone right away? I think my wife and father would know and that’s it. Two people can keep a secret if one of them is dead! I think my attorney would be the right starting point. But i don't have to burden myself with that worry. Link to comment Share on other sites More sharing options...
joshhooper7 Posted October 24, 2018 Share Posted October 24, 2018 6 hours ago, ShortFatHokie said: Your earnings (lottery winnings) will be taxed, period. But after, you are correct, only earned interest/other income is taxed. However, unless you are a resident of Florida, you are still liable for state taxes in your state of residency. Also, you can only "cash out" in the state in which you purchased the lottery ticket. It's a beautiful thing being a resident of Florida! 1 Link to comment Share on other sites More sharing options...
Popular Post cigcars Posted October 24, 2018 Popular Post Share Posted October 24, 2018 1 4 Link to comment Share on other sites More sharing options...
prodigy Posted October 24, 2018 Share Posted October 24, 2018 South Carolina is one of six states that allow the winnings to be claimed anonymously. If they are smart, we will never know who it was. Sent from my SAMSUNG-SM-G891A using Tapatalk 2 Link to comment Share on other sites More sharing options...
Thig Posted October 24, 2018 Share Posted October 24, 2018 There is no way to hide that kind of money, his attorney, tax preparer, investment advisor, someone will talk. Link to comment Share on other sites More sharing options...
Derboesekoenig Posted October 24, 2018 Share Posted October 24, 2018 On the other page, it says it was bought individually, meaning it was bought as a single ticket. I think someone just got really lucky. Link to comment Share on other sites More sharing options...
dowjr1 Posted October 25, 2018 Share Posted October 25, 2018 About thirty minutes from where I live. Link to comment Share on other sites More sharing options...
MountainMilG Posted October 25, 2018 Author Share Posted October 25, 2018 5 hours ago, prodigy said: South Carolina is one of six states that allow the winnings to be claimed anonymously. If they are smart, we will never know who it was. Sent from my SAMSUNG-SM-G891A using Tapatalk true, but evidently the guy checked numbers at work, people saw he won, and they've been talking about it on facebook. For the record, when I win powerball tonight nobody will ever know. who knows, maybe I've won one already Link to comment Share on other sites More sharing options...
.png.e2a46b57b5880109ddf171d1b6f9daea.png)
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now