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Said & done before but ...Reply
Always cash whether the jackpot is low or high. Given the current climate of economic instability my concern would be for the solvency of the the company issuing the annuity. If an insurance company is issuing or insuring .... take a long cold look at natural disasters and their impact on that industry before deciding.Another issue is if a long term annuity holder dies their heirs have to pay estate tax on the remaining amount which has often resulted in selling that annuity for pennies on the
Oct 23, 2005, 10:47 am - konane - Lottery Discussion Forum

Said & done before but ...Reply
While no one is guaranteed longevity if I was young say 25 I might choose annuity if the pot I won was 250/300 million or more. Older people above 50 in poor health should probably take the lump sum. Figuring they might not live long enough to collect the annuity. Also if you are a poor money handler now, then having a lump sum might cause you to spend deliberately and could cause you to spend all your winnings. Annuity has to be looked at from all points regarding it. Some might benefit from it
Oct 23, 2005, 10:33 am - four4me - Lottery Discussion Forum

Can U dig $128m next TU ? MM ROLLED OVERReply
The fortune 500 list isn't made up of people looking for the equvalent of a high end welfare check. Nothing is really risk free in life. Taxes also will go up. If you think they will go down than an annuity might be OK but with the baby boomers retiring that would be even less likely than a MM hit. Also if you die the annuity would be hit with a death tax if it's still around for it's cash value. Unless of course you had taken cash and placed it in international accounts. Also don't play games i
Oct 22, 2005, 11:58 pm - dvdiva - Lottery Discussion Forum

Powerball lottery madness spreads to big mediaReply
I respectfully disagree, unless you show that the cash in this drawing would produce more money using the same annuity as in the 2002 drawing. Obviously using the same annuity would produce more money for $170 million than $164 million. The most you can say is that $340 million is the largest prize to date under the new 30 year balloon annuity. I would agree with that statement. With 5 more years to invest the cash, of course the 30 year will seem larger, and better for advertising purposes.
Oct 19, 2005, 9:33 am - tg636 - Lottery News

Powerball lottery madness spreads to big mediaReply
Powerball for Dec 25, 2002 when Jack Whittaker won:Instead of taking the $314.9 million jackpot as an annuity, Whittaker opted for a single payment of $170 million. After taxes, he got $113.9 million. Powerball Jackpot for Wed, Oct 19, 2005:$340,000,000 annuity$164,400,000 cash It seems to me that Jack's was the bigger jackpot by $6 million. This is not a record jackpot
Oct 18, 2005, 4:44 pm - tg636 - Lottery News

150 million jumpReply
I'm sorry but the jackpot will take some time to get there. Powerball has a cap; once the jackpot has reached the largest value it has seen, the top prize can only rise by $25 million, with the rest of the proceeds distributed to the second prize winners.I'm not sure, but I believe this is using annuity value and not cash value to determine where this limitation kicks in. Since the annuity has been inflated by a new payout scheme, the real value of the prize, it's cash value, will rise even mo
Oct 12, 2005, 2:34 pm - Prob988 - Jackpot Games Forum

Lottery winner hangs self 7 years after collecting winReply
To those that continually advocate annuties, think about what probably would have happened in this case. After the first year or two the guy more than likely would have sold it to one of these cash-out companies for 40 cents on the dollar just to get a large sum at once. Taking the payout as annuity will still not guarantee that they will continue to receive it for the entire period. Many annuities end up being sold because the person just cannot handle waiting each year for the payments. Do a G
Oct 6, 2005, 6:34 am - HiYoSilver - Lottery News

Probability of a MegaMillions rollover.Reply
The MM pot has rolled, and the annuity value is $42,000,000. If the sales are similar to what they the were last run, which also had a first rolloever annuity jackpot of 32M and produced sales $17,000,000, the the probability of the numbers of winners occurring is given in the table below: 090.78%18.78%20.42%30.01% The overall probability of the jackpot reaching the level of the last run, around $250 M annuity, is around 14%. The overall probability of it exceeding that jackpot is around 9%.
Oct 1, 2005, 6:42 pm - Prob988 - Jackpot Games Forum

Powerball lottery jackpot climbs to $167 millionReply
MT.7895. ..Caution:.Keep in mind where the argument over Annuity is concerned.....all states vary as far as State local Taxes are concerned, and Circumstances vary over the Federal Taxes, which we all must pay....especially after winning the Jackpot.....Therefore ' CASH ONLY ....teaches a valid lesson regarding the Lump Sum Payment. Some winners have in fact chosen the Annuity because of where they live, and it worked out for them better....as it taught them how to manage the payouts
Sep 29, 2005, 8:47 pm - libra926 - Lottery News

Probability of a MegaMillions rollover.Reply
The MM pot has rolled, and the annuity value is $32,000,000. If the sales are similar to what they the were last run, which also had a first rolloever annuity jackpot of 32M and produced sales $15,000,000, the the probability of the numbers of winners occurring is given in the table below:090.89%18.68%20.41%30.01%In my last post on the probability of a larger jackpot, I made an entry error on the spreadsheet where I do my calculations. I have corrected this error on this recent run:The overall
Sep 28, 2005, 9:26 am - Prob988 - Jackpot Games Forum