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Dropping cash values?Reply
I know that. But the point is that the opposite is happenning, while the rates are getting closer to 0. :)So the exact opposite of what you said is happenning.. which is why I wrote my original post in the first place.Taking annuity or cash over one another is a personal choice. I will always choose cash. I don't care what someone else will do. What I do care about is what I wrote in my original post.. it troubles me that they would advertise a higher annuity jackpot for the sole purpose of high
Aug 6, 2003, 11:48 am - a002 - Lottery Discussion Forum

New Library Definition - Cash Option
Cash OptionAlso, Lump-Sum OptionOne of the two typical ways a lottery prize is paid (the other being Annuity).When a lottery prize is paid with the Cash Option, the winner receives one large payment from the lottery, usually within a few weeks of redeeming the winning ticket. Applicable taxes are normally withheld prior to the payment, although the winner may be responsible for additional taxes after receiving the prize, depending upon their situation.Although most government lotteries allow th
Apr 6, 2003, 10:57 am - Todd - Suggestions Forum

Powerball $160 million Wed 12/18Reply
Cash, Why is it that you are so against the annuity? I am trying to see what I am overlooking, because they don't look that bad. It seems that the annuity looks more attractive in a lower interest rate environment. They are almost even at 5% and at 4% the annuity has cash beat handily over 30yrs. Cash does skyrocket over 5%. I am not looking at anything other than the interest rate or just something that is guarenteed ie. bonds. I think we got rid of the 30 yr. bond last year if I remem
Dec 16, 2002, 12:11 pm - Bug - Jackpot Games Forum

Hello everyoneReply
If you take the annuity option you are letting the Lottery people invest the same $40 million and the return they are paying on and annuity is pitiful only about 3%. You still would have to pay about 45% tax rate on the money (depending upon your State tax rates) if you end up with $22 million and invest it in AAA miniciple bonds at 6% which is about average you can have $1.3 million a year tax free and still have the $22 million . It will probably take a good 10-15 years or more to save $22 mil
Mar 29, 2002, 3:05 pm - Guest - Lottery Discussion Forum

$333 MILLION: Powerball offers up summertime richesReply
No. If you look at the list of annuity values and cash values the answer is easy to find. The two oldest cash values (2007) on the list would both have earned about 67 cents for every dollar invested in the annuity. For the current PB jackpot each dollar will earn just over 40 cents. Then check the older entries for annuity value. In 2005 PB had an annuity value of $340 million, but that one didn't make the cash list because it's cash value was too small. That means the cash value was somethi
Jul 15, 2016, 1:26 am - KY Floyd - Lottery News

Powerball is kicking it up-10 millionaires were made tonight!!.Reply
Amazing how even $300 million advertised annuity jackpots aren't exciting. Main reason seems to be jackpot fatigue - it's no longer new, etc. Also many players now perceive the odds of winning to be not just astronomical, but rather seemingly impossible (especially so with Mega Millions after its matrix change). Plus, to add insult to injury, the doubled price. And more savvy players see through the overly inflated annuity jackpot amount; don't trust the estimates at all, since Powerball does
Jan 31, 2015, 10:52 am - Ron5995 - Lottery Discussion Forum

Cash Vs Annuity PaymentsReply
Savagegoose, you made some good arguments and I thank you for doing it. While I decided to process only facts at first, I see it is that human mind processes fear first and desires instant gratification, all this explains why cash sum has become such popular, even the mathematical evidence is given. Yep, negative outcome (tax,inflation,collapse of society etc.) is remotely possible but why to worry about it TOO much before that actually happens ? If you visualize bad outcome, it may
Feb 23, 2012, 3:23 pm - jones69 - Lottery Discussion Forum

Ohio winner of $196M lottery jackpot claims prize anonymouslyReply
The top bracket for federal taxes is currently 35%. Add 6% for Ohio, and that's a total of 41%. Annual deductions and paying lower rates on some of the income will favor the annuity, but let's keep it simple and assume that's the rate for every dime of the income. That leaves 59% after taxes. On the $26 million lump sum you'd have $15.34 million now. With the annuity you'd collect $25.37 million. That sound slike 65% more money, but it would take 25 years to get it all. Having to wait to collect
Jun 29, 2008, 3:22 am - KY Floyd - Lottery News

What would be the cash value of a $400,000,000 Jackpot?Reply
Weshar gave you fairy accurate answers for right now, but the cash value will vary as interest rates change, so the answers that are right this week may be wrong in a couple of months. Any change in the payment schedule will result in big changes in the cash value for a given annuity value. Dividing the cash value by the annuity value of the current jackpot will give you the percentage that the cash represents at that time. With the roll, MM now has a cash value of $158.6 million for an a
Feb 28, 2007, 3:25 am - KY Floyd - Lottery Discussion Forum

Compromising on cash/annuity
How the US has paid lottery winners (compared to other countries, including Canada) over the years has of course generated much controversy, and discussion. In 1998, President Clinton signed a bill that, for lottery players, saw (for the most part) the end of having, in advance, to choose either lump sum or annuity payments if they win the lottery (as it turned out, the new rules had no effect here in NY-ironically, now the Clintons' home.) Unfortunately, the bill did not go far enough; numer
Jan 12, 2007, 1:07 pm - CASH Only - Lottery Discussion Forum