If I were Filthy Rich
By Ok_Guava9774+100 How will you accept your lottery prize money: Annuity or Lump sum?
I've 19f started playing the lottery about 3-4 months ago. I strongly believe that I will win either the Powerball or the Mega millions. (I know it's stupid but let me dream. 🙄)
I'm currently in college but I don't have a job. I donate plasma 1-2 times a week, and when I get the little amount of money I get from a 'donation', I buy a few scratch offs and a powerball and a mega millions ticket. I've won at least $60 since I've started. But I won't quit.
I'm not entirely sure if I should accept the prize money in lump sum or annuity. My dad knows I play the lottery and he says I should just take the amount they give me in one go, after taxes and everything. He mentioned how I could die and I won't get all the money and leave it for my family, but I'm sure my state allows lottery winners to open a trust, I think. 🤔 (State of Florida)
I think I should take the annuity option just so I don't blow it all away like most people who get all their lottery money in one payment do. I tend to spend money recklessly and I think receiving the money over the course of 29-30 years will force me to not waste it all, so there's that.
Plus I like the idea of being paid $5 Million+ every year for 30 years. Idk why.
Recent responses
+79 @NonGNonM Take the lump sum. Your dad is right. You really could die any day. Live it up. It's less complicated as well if you die. But don't be dumb with your money. Yes, 5 mil a year is nice, but with the lump sum invested well, you could be making over 5 mil in just interest alone.
+56 @realmozzarella22 After reading paragraph two, I recommend annuity for your big lottery win.
+42 @eron6000ad Please stop. You are on your way to a gambling addiction that could ruin your life.
+20 @series_hybrid I'm a strong proponent of lump sum. So $4-Million suddenly becomes $2M, and paying state and federal taxes makes that $1M, but...if you take the annuity, who knows if the organization that administers the lottery payouts goes bankrupt? Also, if invested wisely, you can end up doubling the money in 15 years, so you may just end up with the same result, but at least you actually have the money right now.
+14 @Twistedfool1000 When I was your age, I thought I would take it as an annuity. Now that I'm 147 years old, I think I'll take it lump sum.