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Lottery winner lost money after investing fundsReply
That saying is simply moralist propoganda. It is an invented statistic. Like the common but nonsense statment that we only use 10% of of brains, or only poor an uneducated people play the lottery, etc. Over 70% of Americans have played the lottery. It makes no sense that over 70% of Americans have gone bankrupt (nearly everyone is a winner of some amount at some time). The annuity option is the best choice for MOST people. Imagine that someone gives you $100 million in cash. You have two offe
Jan 24, 2010, 4:32 pm - chuck32 - Lottery News

Lottery winner lost money after investing fundsReply
DIFFERENT STROKES FOR DIFFERENT FOLKS! A lottery winner deciding between choosing a Lump Sum vs Annuity like investing in stocks, bonds or planning retirement plans, is not one size fits all. Some people may be better with an annuity. Maybe they have not been successful with money matters in their past or are reluctant about having to plan large sum of money at one time, etc. Lump sum may be preferable for those interested investing over the long term or living off the interest and re-inve
Jan 23, 2010, 2:23 am - corius$1918! - Lottery News

CA SLP: Abysmal Rollover Rate?Reply
The rates of annuities dropped massively in the last 5 months. There was just a federal interest rate cut, and annuity rates while not directly tied to that also dropped with it. Powerball, for example, went from paying about 60.5% to nearly 63% when taking the cash up front. Only 6 months ago, it was paying 50%. In other words, an annuity for Powerball was paying: 200% of the cash value 6 months ago. 165% of the cash value 1 week. 159% of the cash value now. This is the worst
Dec 23, 2008, 9:46 am - grengrad - Lottery Discussion Forum

a "tax" question for those in the knowReply
Well, I have to disagree with those who wrote when you get paid. You asked for those in the know and I know. LOL In this case, since the ticket was purchased in December, you would not have to claim the income for 2008. You have a 60 day window, so it's not always when you claim the ticket. If you won in Sept and claimed it in March, you would not benefit from waiting, since it would be considered 2008 income. Sept does not fall into the 60 day window. The IRS does this to allow you ample ti
Aug 13, 2008, 4:31 am - justxploring - Lottery Discussion Forum

One more annuity vs cash discussionReply
A large factor comes down to the age of the person. Taking an annuity at 80 makes no sense. Take the cash, spend it fast, and heck with the grandkids inheritance. rdc127 I once wrote something similar to your first sentence, that age is a factor. However, I would never just spend my money wildly without helping my family. I don't have children. But if I were 80 and had a son, I hope I would trust him enough to claim the prize and promise me he would choose the annuity, or at least set
Jan 15, 2007, 4:29 am - justxploring - Lottery Discussion Forum

Okla. lawmaker aims to stop lottery winners from staying anonymousReply
tmcdill...there is a third state that allows winners to remain anomymous, Maryland. This occured with a Mega Millions jackpot winner from July of this year. As far as trusts are concerned, I think there are a few states where you can use this method to keep a winners identity secret: New Hampshire, Louisiana, Ohio, Oklahoma (for now) and Pennsylvania. I gathered some of this information from the list of Powerball winners on the Powerball web site. Ohio is a Mega Millions state that had f
Oct 10, 2006, 5:43 pm - CA LotteryGuy - Lottery News

To SirMetroReply
I think that Players know what their options are upfront and if they don't like it, they, like you, should opt to NOT play the game. If sales remain poor, the game will, for obvious reasons, be terminated. On the other hand, there are those who simply don't understand how to manage money and annuity based lottery would actually be more beneficial to those individuals then a lump sum. I personally would love to see a cash option on the games as I believe I can create far greater wealth in a
Sep 19, 2006, 3:25 pm - SirMetro - Lottery Discussion Forum

Unclaimed lottery ticketsReply
Can you post a statement from the IRS that dictates this? I believe any prizes, including the lottery, are taxed when received. So if a person wins this week and decides to wait until Jan, he will pay 2007 taxes. I'm not 100% positive about this, by the way. Maybe the lottery is an exception, but a ticket is just a bearer instrument, not the actual money. This is what I copied from www.irs.gov regarding lottery taxation: When Paid A payment of winnings is considered made when it is pa
Aug 14, 2006, 4:17 pm - justxploring - Lottery Discussion Forum

$265 million Mega Millions lottery jackpot claimed anonymouslyReply
From a previous article on here - this is why I think you have to claim your prize anonymously, even amounts far less than $265 million. You have to ask what good being famous or notorious does you. > Life is good, but it's not a constant party, said Susan Bradley, a certified financial planner who founded >the Sudden Money Institute in Florida, which provides resources and training for new wealth recipients >and their advisers. > It's hard, she said. You can change your
May 3, 2006, 4:35 pm - tg636 - Lottery News

Powerball lottery jackpot raised to $117 millionReply
IIRC, before PB went to the annuity schedule that Uff Da describes the cash was still a slightly smaller percentage than what MM had. I'm guessing that plenty of people never realized that, just paying attention to the advertised annuity jackpot even if they figured on taking the cash if they won. Since there was no winner for PB the cash value is once again higher than MM, so if PB is the game in your home state it should be an easy decision if you're going to choose one or the other. If MM
Mar 26, 2006, 2:51 am - KY Floyd - Lottery News