$185 MILLION: Huge Powerball lottery jackpot set for Wednesday

Nov 11, 2012, 7:52 am (66 comments)

Powerball

By Todd Northrop

There was no jackpot winner in the Saturday night drawing of the multi-state Powerball lottery game, causing the grand prize to increase to an estimated $185 million for Wednesday's drawing.

Saturday was the 11th consecutive Powerball drawing without a jackpot winner.  The jackpot run started October 6 as a $40 million jackpot.

The estimated cash value for the new jackpot is $123.7 million. After-tax cash and annuity prize amounts are reported state-by-state on the Jackpot Analysis page at USA Mega, a web site devoted to the Powerball and Mega Millions multi-state lottery games.

Players should note that jackpot amounts are conservative estimates provided by the lotteries, and are often somewhat higher by the time the drawing occurs.

Although there were no jackpot winners Saturday, 4 lucky players matched the first 5 numbers for a $1,000,000 prize: 1 from New Jersey, 1 from New York, 1 from Tennessee, and 1 from Texas.

Of all the second-prize winners, only the ticket from Texas was purchased with the Power Play option for an extra $1. Because they purchased the Power Play, that particular ticket is now worth $2 million.

39 tickets matched four white numbers plus the Powerball and won $10,000. Of those tickets, 7 were purchased with the Power Play option, increasing the prize to $40,000.

The Powerball winning numbers for Saturday, November 10, were 32, 42, 50, 54, and 55, with Powerball number 32. (Because the Powerball number is selected from a different pool of numbers, it is entirely possible — and did actually happen this time — that the Powerball number is the same as one of the first five numbers.)

Following the Saturday drawing, the Powerball annuity jackpot estimate was raised $17 million from its previous amount of $168 million. The cash value was raised by $14.9 million, from its previous amount of $108.8 million.

The next Powerball drawing will take place Wednesday evening at 10:59 pm Eastern Time.

When a Powerball ticket is purchased with the Power Play option for an extra $1 per ticket, any non-jackpot prize is increased according to a fixed prize schedule, which can be found on the Powerball Drawing Detail page at USA Mega, as well as on the Powerball Prize Payouts page at Lottery Post.

Powerball is now played in 42 states, plus the District of Columbia and the U.S. Virgin Islands. Drawings are Wednesdays and Saturdays at 10:59 pm Eastern Time. Tickets cost $2 each.

The Powerball winning numbers are published at USA Mega (www.usamega.com) minutes after the drawing takes place.

Lottery Post Staff

Comments

mcginnin56

Step back everyone, this one is mine!  Cool

hearsetrax's avatarhearsetrax

Skeptical  me thinks its gonna be a nice Xmas for someone b4 much longer ......

mcginnin56

Quote: Originally posted by hearsetrax on Nov 11, 2012

Skeptical  me thinks its gonna be a nice Xmas for someone b4 much longer ......

Big Grin Santa me thinks so to.......

OldSchoolPa's avatarOldSchoolPa

I am overdue. For far too long I have gotten the 2 gifts in 1 treatment since my b-day falls on 25 December. I can handle $185M ($126M lump sum) as "payback"! Not feeling entitled nor am I getting caught up in jackpot hype as I am just as likely to buy an extra play at $40M as I am at $200M...it just depends on the state of greenbacks in my money clip.

Ronnie316

How is $185 million "Huge" ???? Sounds like chump change to meee......

Coin Toss's avatarCoin Toss

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Step back everyone, this one is mine!  Cool

And the self-jinxing has started.

Too bad it was you mcginnin.

Think about it, how long has this site been up, how many have claimed a jackpot beforehand, and how many of those have won one?

Next we'll have the barage of those telling us how they're going to spend $185 million that they haven't won yet.

Bang Head

Ronnie316

Quote: Originally posted by Coin Toss on Nov 11, 2012

And the self-jinxing has started.

Too bad it was you mcginnin.

Think about it, how long has this site been up, how many have claimed a jackpot beforehand, and how many of those have won one?

Next we'll have the barage of those telling us how they're going to spend $185 million that they haven't won yet.

Bang Head

But what if its a jinx to say someone is jinx...... What?

mcginnin56

Quote: Originally posted by Coin Toss on Nov 11, 2012

And the self-jinxing has started.

Too bad it was you mcginnin.

Think about it, how long has this site been up, how many have claimed a jackpot beforehand, and how many of those have won one?

Next we'll have the barage of those telling us how they're going to spend $185 million that they haven't won yet.

Bang Head

I'm testing my new self-jinxing theory, which essentially is like attracting good Karma in reverse.

My hypothesis is that by tapping in to the anti-energy, anti-world universe, I may be able to harness this reservoir of boundless life force,

to pull of a successful win for this Wednesdays Powerball drawing.

 

As with any great inventor or innovator, I'm sure there will be certain pitfalls and setbacks, but that's a risk I'm willing to assume.

Piaceri

PARRRRRTAAAAAYYYYY!!!!!!!!! DancePartyDanceBananaPartyHyperDancePartyHurray!PartyDance

 

White Bounce

mcginnin56

Quote: Originally posted by Ronnie316 on Nov 11, 2012

But what if its a jinx to say someone is jinx...... What?

By merely mentioning that "j" word, you have already "j'ed" yourself.

I'm just so sorry it had to happen to you so early in the day.  Sad

mcginnin56

Quote: Originally posted by Piaceri on Nov 11, 2012

PARRRRRTAAAAAYYYYY!!!!!!!!! DancePartyDanceBananaPartyHyperDancePartyHurray!PartyDance

 

White Bounce

Wow!

Someone's feeling good this morning!  Noel   Hyper

Piaceri

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Wow!

Someone's feeling good this morning!  Noel   Hyper

compliments of my coffee

Hyper

hearsetrax's avatarhearsetrax

Crazy

mcginnin56

Quote: Originally posted by Piaceri on Nov 11, 2012

compliments of my coffee

Hyper

I stopped drinking coffee, now I'm questioning my decision.  Hyper

RedStang's avatarRedStang

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Step back everyone, this one is mine!  Cool

Sorry but you're too late. FEMA has placed lotto machines at every NYC street corner. All combos have been sold already. Theres still time for MM.

maringoman's avatarmaringoman

If one of my two tickets hits the jp, I am claiming it the very next day after the draw which is wayyy before the higher taxes on the wealthy kick in. 

Bush era tax-cuts are expiring in Dec 31, 2012, no?

Original Bey's avatarOriginal Bey

Quote: Originally posted by RedStang on Nov 11, 2012

Sorry but you're too late. FEMA has placed lotto machines at every NYC street corner. All combos have been sold already. Theres still time for MM.

Party New York is wayyyy over due!

LottoBoner

Quote: Originally posted by Ronnie316 on Nov 11, 2012

How is $185 million "Huge" ???? Sounds like chump change to meee......

US FlagUS Flag™ŠÕψΗÅΤ¿

LottoBoner

Quote: Originally posted by Piaceri on Nov 11, 2012

compliments of my coffee

Hyper

ÌΓîŠΗcoffee¡Green laugh

LottoBoner

Quote: Originally posted by LottoBoner on Nov 11, 2012

ÌΓîŠΗcoffee¡Green laugh

ÎΜìΝ

Faites vØs jeux!

LottoBoner

Quote: Originally posted by Original Bey on Nov 11, 2012

Party New York is wayyyy over due!

I Agree!Smash

whiteballz's avatarwhiteballz

Quote: Originally posted by maringoman on Nov 11, 2012

If one of my two tickets hits the jp, I am claiming it the very next day after the draw which is wayyy before the higher taxes on the wealthy kick in. 

Bush era tax-cuts are expiring in Dec 31, 2012, no?

In 2013, the top marginal tax rate will be 39.6% for someone making over $382,650. The tax rate you pay is set at the date you won. As long as you win in 2012, you will get the 2012 tax rate.

RJOh's avatarRJOh

Quote: Originally posted by maringoman on Nov 11, 2012

If one of my two tickets hits the jp, I am claiming it the very next day after the draw which is wayyy before the higher taxes on the wealthy kick in. 

Bush era tax-cuts are expiring in Dec 31, 2012, no?

Weren't the really good tax rates for rich people who earned their money from investments?  Lottery winners are taxed at the higher rate as people who actually worked for their money.  I would talk to a tax lawyer to get some advice on the best ways of gaming the system.

LottoBoner

Quote: Originally posted by RJOh on Nov 11, 2012

Weren't the really good tax rates for rich people who earned their money from investments?  Lottery winners are taxed at the higher rate as people who actually worked for their money.  I would talk to a tax lawyer to get some advice on the best ways of gaming the system.

 I would talk to a tax lawyer to get some advice on the best ways of gaming the system.No No

RJOh's avatarRJOh

Quote: Originally posted by LottoBoner on Nov 11, 2012

 I would talk to a tax lawyer to get some advice on the best ways of gaming the system.No No

Hit With Stick 
Is'nt that what playing the lottery is about, getting a big pay check with as little work as possible?

savagegoose's avatarsavagegoose

i dont even live in usa, and ill begetting a ticket. wish me luck everyone.

LottoBoner

Quote: Originally posted by savagegoose on Nov 11, 2012

i dont even live in usa, and ill begetting a ticket. wish me luck everyone.

 dont even live in usa, and ill begetting a ticket. wish me luck everyone.No NoRed EyesEvil

weshar75's avatarweshar75

I am thinking about winning this jackpot myself.  Thanks for letting me win it!  Hooray!-weshar75

US Flag

dpoly1's avatardpoly1

Smiley Santa Jingle $$$$$$$$$$$$$$$$$$$$$$$$$$$$

mcginnin56

Quote: Originally posted by RJOh on Nov 11, 2012

Hit With Stick 
Is'nt that what playing the lottery is about, getting a big pay check with as little work as possible?

I like your style RJ, carry a big stick and bash the brains out of the naysayers.

This is very effective technique, when reasoning simply doesn't work like it should.

abyssus

As I already know I wont be winning it and sorry if I offend anyone I don't mean to but I hope whoever wins is someone that is broke working multiple jobs to help their family and has only bought 1-5 plays not someone who is already well off or even upper class and has enough money to play 10's or 100's of tickets :/

mcginnin56

Quote: Originally posted by abyssus on Nov 11, 2012

As I already know I wont be winning it and sorry if I offend anyone I don't mean to but I hope whoever wins is someone that is broke working multiple jobs to help their family and has only bought 1-5 plays not someone who is already well off or even upper class and has enough money to play 10's or 100's of tickets :/

That statement offends me!   Let It All Out

I would prefer that a hard working, rich asset manager, who played 5000 lines win this Mega Jackpot.  Banana

megan81's avatarmegan81

Wednesday is my 31st birthday!!! I'm going to buy 31 tickets from 31 vendors. Can you see the headlines?

mcginnin56

Quote: Originally posted by megan81 on Nov 11, 2012

Wednesday is my 31st birthday!!! I'm going to buy 31 tickets from 31 vendors. Can you see the headlines?

Now when you win, you can get all 31 flavors of ice cream from Baskin-Robbins!  Lover

megan81's avatarmegan81

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Now when you win, you can get all 31 flavors of ice cream from Baskin-Robbins!  Lover

Sounds like a plan! And I like how you said "whenyou win!"

mcginnin56

Quote: Originally posted by megan81 on Nov 11, 2012

Sounds like a plan! And I like how you said "whenyou win!"

Yes that was by design. Never say or think "if".

Your words and thoughts heavily govern the outcome, of most any event in your life.

Congrat's on your 31st Birthday BTW!  Party

megan81's avatarmegan81

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Yes that was by design. Never say or think "if".

Your words and thoughts heavily govern the outcome, of most any event in your life.

Congrat's on your 31st Birthday BTW!  Party

I wholeheartedly agree!

And thank you!!!

RJOh's avatarRJOh

Quote: Originally posted by megan81 on Nov 11, 2012

Wednesday is my 31st birthday!!! I'm going to buy 31 tickets from 31 vendors. Can you see the headlines?

There are some players here who claim they buy all their tickets that way for every drawing.  We only have their word for it because so far no news paper has thought it was worth writing about.

mcginnin56

Quote: Originally posted by RJOh on Nov 11, 2012

There are some players here who claim they buy all their tickets that way for every drawing.  We only have their word for it because so far no news paper has thought it was worth writing about.

I think she was implying that if she had won the jackpot, the additional story of how she bought her tickets, would be newsworthy.

dallascowboyfan's avatardallascowboyfan

$185 million sounds good to me....White Bounce

savagegoose's avatarsavagegoose

my victory speech.

 

" tks for the 97 mill; from now on my EBT is only going on smokes and hookers. "

 

 

<---- ducks for cover

weshar75's avatarweshar75

I am wondering if this jackpot will get hit on wednesday or is it going to roll a couple of more times to thanksgiving and a $200 plus million jackpot.  Of course I will take any jackpot that I can win but it would be nice to see another large jackpot before the year ends.  Good luck to all!-weshar75

US Flag

rdgrnr's avatarrdgrnr

Quote: Originally posted by weshar75 on Nov 11, 2012

I am wondering if this jackpot will get hit on wednesday or is it going to roll a couple of more times to thanksgiving and a $200 plus million jackpot.  Of course I will take any jackpot that I can win but it would be nice to see another large jackpot before the year ends.  Good luck to all!-weshar75

US Flag

I will be doing everything within my power to keep it from rolling again, weshar75, Good Lord willin' and the creek don't rise.

gocart1's avatargocart1

I hope i win so i can put some home heating oil in my tank.I"m down to one arm and one leg after last winter's heat season...lol

Piaceri

Quote: Originally posted by LottoBoner on Nov 11, 2012

ÌΓîŠΗcoffee¡Green laugh

Nope.

Italian Blend

megan81's avatarmegan81

Quote: Originally posted by RJOh on Nov 11, 2012

There are some players here who claim they buy all their tickets that way for every drawing.  We only have their word for it because so far no news paper has thought it was worth writing about.

As mcginnin56 said, I was implying that my story will be newsworthy when I win. And, as a professional writer, I will write the press release myself!

Piaceri

Quote: Originally posted by RJOh on Nov 11, 2012

Weren't the really good tax rates for rich people who earned their money from investments?  Lottery winners are taxed at the higher rate as people who actually worked for their money.  I would talk to a tax lawyer to get some advice on the best ways of gaming the system.

Lower tax rates 2 ways. Dividend income, which also affects anyone with a MM or 401k no matter how rich.  And Long Term Capital Gains which also affects anyone with a MM or 401k no matter how rich. It affects the rich more because they earn more off investments (both dividends and capital gains) because... they have more invested. Duh. Plus high paid executives can take pay in stock, hold it for a year, then cash out for capital gains tax rate. This is why Mitt Romney makes $13m and pays a lower effective tax rate than many. His income is made up of capital investment/capital gains and dividends.  But we want capital gains taxes low because we want investors investing in the economy. Dividends should be taxed lower because, well, because I said so and I'm the mom. Wait.. sorry. Wrong people. Forgot I was on LP for a moment there.

Personally, I think interest income should be nontaxable for first $10k income for those earning less than $300k. It would encourage people to save more, putting more money into the banks who then will then loan more out.

Lottery winnings are ordinary income, so in 2013 tax rates will affect if you claim in 2013. It does not matter when you WIN, it matters when you CLAIM. Win in 2012, claim in 2013, you are subject to 2013 tax rates. Individual tax payers are on a cash basis. 

 

Did I make any sense? Hippy It's late. Aggies beat Bama! The Texans won! Amazingly the Cowboys won. Woooo! Hyper And my coffee has long wore off. I'm patiently (barely) waiting The Walking Dead to replay after these grown men finish talking about comic books on AMC.

mcginnin56

Quote: Originally posted by Piaceri on Nov 11, 2012

Lower tax rates 2 ways. Dividend income, which also affects anyone with a MM or 401k no matter how rich.  And Long Term Capital Gains which also affects anyone with a MM or 401k no matter how rich. It affects the rich more because they earn more off investments (both dividends and capital gains) because... they have more invested. Duh. Plus high paid executives can take pay in stock, hold it for a year, then cash out for capital gains tax rate. This is why Mitt Romney makes $13m and pays a lower effective tax rate than many. His income is made up of capital investment/capital gains and dividends.  But we want capital gains taxes low because we want investors investing in the economy. Dividends should be taxed lower because, well, because I said so and I'm the mom. Wait.. sorry. Wrong people. Forgot I was on LP for a moment there.

Personally, I think interest income should be nontaxable for first $10k income for those earning less than $300k. It would encourage people to save more, putting more money into the banks who then will then loan more out.

Lottery winnings are ordinary income, so in 2013 tax rates will affect if you claim in 2013. It does not matter when you WIN, it matters when you CLAIM. Win in 2012, claim in 2013, you are subject to 2013 tax rates. Individual tax payers are on a cash basis. 

 

Did I make any sense? Hippy It's late. Aggies beat Bama! The Texans won! Amazingly the Cowboys won. Woooo! Hyper And my coffee has long wore off. I'm patiently (barely) waiting The Walking Dead to replay after these grown men finish talking about comic books on AMC.

Excellent summation Piaceri! Hurray!

And because your the mom, dividends should be taxed lower!

Lover  the Walking Dead also. It's where gore meets comedy meets more gore!  Hyper

jamella724

I can't wait to see who would be the lucky winner for Wednesday's draw.  It seems that everybody hopes to win the jackpot prize, I myself will be in constant watch of the lottery draws.  Good luck to all of us.

LottoGuyBC's avatarLottoGuyBC

I think the jackpot will continue to grow til Turkey

then it's time to 

 &  White Bounce

Brcebrce

$85 million would be a very nice christmas present for myself, family and a few friends.

weshar75's avatarweshar75

Now that the jackpot is this big I am going to take the annuity because I am optimistic that I can live for the 30 years needed to claim the jackpot.  Good luck to me on wednesday night!  Hooray me!  Yippie!-weshar75

US Flag

foemill's avatarfoemill

Quote: Originally posted by rdgrnr on Nov 11, 2012

I will be doing everything within my power to keep it from rolling again, weshar75, Good Lord willin' and the creek don't rise.

I Agree!

KY Floyd's avatarKY Floyd

Quote: Originally posted by Piaceri on Nov 11, 2012

Lower tax rates 2 ways. Dividend income, which also affects anyone with a MM or 401k no matter how rich.  And Long Term Capital Gains which also affects anyone with a MM or 401k no matter how rich. It affects the rich more because they earn more off investments (both dividends and capital gains) because... they have more invested. Duh. Plus high paid executives can take pay in stock, hold it for a year, then cash out for capital gains tax rate. This is why Mitt Romney makes $13m and pays a lower effective tax rate than many. His income is made up of capital investment/capital gains and dividends.  But we want capital gains taxes low because we want investors investing in the economy. Dividends should be taxed lower because, well, because I said so and I'm the mom. Wait.. sorry. Wrong people. Forgot I was on LP for a moment there.

Personally, I think interest income should be nontaxable for first $10k income for those earning less than $300k. It would encourage people to save more, putting more money into the banks who then will then loan more out.

Lottery winnings are ordinary income, so in 2013 tax rates will affect if you claim in 2013. It does not matter when you WIN, it matters when you CLAIM. Win in 2012, claim in 2013, you are subject to 2013 tax rates. Individual tax payers are on a cash basis. 

 

Did I make any sense? Hippy It's late. Aggies beat Bama! The Texans won! Amazingly the Cowboys won. Woooo! Hyper And my coffee has long wore off. I'm patiently (barely) waiting The Walking Dead to replay after these grown men finish talking about comic books on AMC.

Some of it made sense, but there's one thing where I think people are just buying into the hype.

"we want capital gains taxes low because we want investors investing in the economy."

Simply "investing in the economy" doesn't really do anything. What matters is producing, selling and buying products or services.  Buying stock that's owned by another investor doesn't do anything more for the economy than moving money from your savings account to your checking account.  If the investor you bought from (or the broker who earned a commission) spends the money it will do something useful, but there's no guarantee that the money will be spent. They may just buy another investment, and the money just moves around without being used to do anything.

By comparison, if you spend $25k on a new car instead of stock you'll definitely be doing something for the economy. The dealer gets money to pay their bills, and the manufacturer makes  a profit and (presumably) builds another car to maintain inventory. Occasionally the government offers incentives to buy a car, but nobody seems to make the argument that there should always be a tax break for it because it helps the economy.

Like you, people sometimes suggest a modest tax break on dividend or interest income, but I don't often see legislators (or lobbyists) saying such income should routinely be taxed at a lower rate because that would encourage people to "invest in the economy". The reality is that almost anything you do with the money it's being invested in the economy. If you put it in the bank instead of buying stocks or bonds the bank will invest it so that they can earn enough to pay you interest and make their profit. Spending it will increase the production and sale of goods or services.

I only see a few alternatives to investing in the economy. If you just put the money in your mattress is doesn't do anything to help anyone, including you. Ironically, the other way to not invest in the econom that come to mind is buying gold or some other commodity that  is already owned by another investor and putting that in the equivalent of your matteress. Other than a modest benefit from any comission paid to a broker there's no benefit to the economy, but if you can sell for a profit later on you'll get that capital gains rate that you deserve for investing in the economy.

Simba774

Say hello to America's newest millionaire. That dream shopping spree is long overdue. White Bounce

Nikkicute's avatarNikkicute

No winners tonight so Play On!!!!!! and keep dreaming of the win!!!

zinniagirl's avatarzinniagirl

Quote: Originally posted by gocart1 on Nov 11, 2012

I hope i win so i can put some home heating oil in my tank.I"m down to one arm and one leg after last winter's heat season...lol

I hear you!   My house is at 59' as I type this.   Can't afford to heat it any warmer!   But, hey that's what sweaters are for.

 

Good luck to everyone who plays PB.   I'll see you when you play MM again!

mcginnin56

Quote: Originally posted by zinniagirl on Nov 15, 2012

I hear you!   My house is at 59' as I type this.   Can't afford to heat it any warmer!   But, hey that's what sweaters are for.

 

Good luck to everyone who plays PB.   I'll see you when you play MM again!

Sorry to hear that zinniagirl, if I could spare it I would have someone fill up your tank today.

Good luck this Saturday!  Lep

Ronnie316

Quote: Originally posted by weshar75 on Nov 12, 2012

Now that the jackpot is this big I am going to take the annuity because I am optimistic that I can live for the 30 years needed to claim the jackpot.  Good luck to me on wednesday night!  Hooray me!  Yippie!-weshar75

US Flag

Why not take the cash and buy your own annuity??

Annuities are not the greatest of investment vehicles but at least it would be yours and not the states.

Ronnie316

Does anyone doubt that the reason the states offers annuities is because they profit from them???

chuck32

I doubt it, but then I kind of know the truth.  Players can choose between cash or annuity.  The cash is all of the money that the lottery has (a percentage of sales).  The annuity is what the lottery can pay out if most of the cash is invested over time (the first payment is in cash).  The lottery can invest the money BEFORE taxes - unlike the winner who pays tax and then invests the rest.  Plus, the winner actually gets a contract from all of the states that guarantees payment of yearly payments.  The lottery keeps no part of the cash or earnings on the cash.  Either way, the winner gets it all.

Now, is it wise to take the annuity?  Not so much in the current environment.  The lottery locks in the annuiity based on current interest rates - which are very low right now.  Also, the federal income tax rate is at historic lows.  For reasonable folks with some self-control and a little financial know-how, it may be best to take the cash, pay the taxes at the current low rates (they are only likely to go up), and lock up the money in a box until interest rates rise (and they can't get much lower). 

If a person is concerned about spending the money foolishly or investing the money and losing it all, then the annuity can offer a 100% guarantee that the annuity stream will continue  for decades to come.  The annuity lets you go crazy and live foolishly and still know that you will be rich again next year.

psykomo's avatarpsykomo

Quote: Originally posted by LottoGuyBC on Nov 12, 2012

I think the jackpot will continue to grow til Turkey

then it's time to 

 &  White Bounce

LG:

think Big Bird will win PB on November 21$$

TurkeyTurkeyTurkey     White Bounce       DrumJack-in-the-BoxDrum       White Bounce        TurkeyTurkeyTurkey       

jrosina's avatarjrosina

Quote: Originally posted by mcginnin56 on Nov 11, 2012

Big Grin Santa me thinks so to.......

WE think you are all right!!!  ha,a,a!!!   stay positive!!

mcginnin56

Quote: Originally posted by jrosina on Nov 23, 2012

WE think you are all right!!!  ha,a,a!!!   stay positive!!

Always jrosina!!!  Hyper

 

Good luck Wednesday.   Lep

jrosina's avatarjrosina

Quote: Originally posted by mcginnin56 on Nov 23, 2012

Always jrosina!!!  Hyper

 

Good luck Wednesday.   Lep

We Know>>>LOL... Happy to be home!!Lovies

KY Floyd's avatarKY Floyd

Quote: Originally posted by Ronnie316 on Nov 17, 2012

Does anyone doubt that the reason the states offers annuities is because they profit from them???

It depends on what you mean by profiting from the annuity. The state makes no extra money if a winner chooses the annuity. On the contrary, they actually incur a modest cost for wrtting and delivering the annual payments.

OTOH, they certainly make more money as a  result of advertising the inflated and imaginary value of the annuity prize. While many of us know what the cash value is, or even choose whether or not to play based on the after-tax net, many (probably most) players decide based only on the advertised amount. They don't play at $100 or $200 million because of the steep odds, but decide at $250 or $300 million that it's worth spending the money based on the idea that they might actually win the advertised amount.

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