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$333 MILLION: Powerball offers up summertime riches

Topic closed. 182 replies. Last post 5 months ago by music*.

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United States
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February 13, 2011
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Posted: July 16, 2016, 6:10 pm - IP Logged

All lottery winners need a budget no matter how much they win.  This Powerball jackpot isn't going to make anyone rich by any means, just upper middle class I'd say.

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    Simpsonville
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    January 22, 2015
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    Posted: July 16, 2016, 6:41 pm - IP Logged

    Good luck to you mein Deutscher freund...forgive my bad German.  Viele Glueck!!

     

    My co-worker Nurse posted on FB that she did get my Season tickets for MM & PB from the Massachusetts State Lottery.  She didn't mail them, so will give them to me in person next week.

     

    A former co-worker received her check to play the California MM * PB for five weeks for me.

     

    This week was a post from someone who needed one of those plastic play slip things.  Send me a private msg with your address and I'll send one.  I've searched posts all day trying to find out who posted it and no luck there.

     

    Good or should I say great Karma to all LP members with this and all lotteries.  Way to go 333!

      Drenick1's avatar - villiarna
      USA
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      February 25, 2014
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      Posted: July 16, 2016, 7:00 pm - IP Logged

      All lottery winners need a budget no matter how much they win.  This Powerball jackpot isn't going to make anyone rich by any means, just upper middle class I'd say.

      So you're saying that anyone winning this $333 million jackpot isn't going to make anyone rich by any means? What planet are you from? The only logical scenario to your statement is if a thousand people split the winning jackpot.

      The cash value is $237 million and even if the sole winner was in a heavily taxed state like NY their net take home is still over $110 million. Did you realize that it takes a net worth of $20 million to be in the top 0.1%? Even a net worth of $8 million will put you in the top 1%. To be inducted into the top 1% in annual earnings you need to have an AGI of $435k.

        TheMeatman2005's avatar - lightening
        Brooklyn, NY
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        Member #169723
        October 29, 2015
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        Posted: July 16, 2016, 7:22 pm - IP Logged

        I got my one QP ticket for tonight as well.

        I have my tickets too.

        I normally get only quick picks, but this time I used the lottery number "Quick Picks Generator" found at https://www.lotterypost.com/quickpicks

        You can find it by clicking the link or under the "SYSTEMS" tab and it's the third from the bottom. Just tell it what game you want number for and how many games.

        POOF! instant numbers....hopefully, winning ones at that. Banana

        The Meatman

        “The quickest way to double your money is to fold it in half and put it in your back pocket.” Will Rogers

        Winning happens in a flash, Like A Bolt Of Lightning!  Patriot


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          Posted: July 16, 2016, 7:23 pm - IP Logged

          So you're saying that anyone winning this $333 million jackpot isn't going to make anyone rich by any means? What planet are you from? The only logical scenario to your statement is if a thousand people split the winning jackpot.

          The cash value is $237 million and even if the sole winner was in a heavily taxed state like NY their net take home is still over $110 million. Did you realize that it takes a net worth of $20 million to be in the top 0.1%? Even a net worth of $8 million will put you in the top 1%. To be inducted into the top 1% in annual earnings you need to have an AGI of $435k.

          No, they would only be rich if they left the US and went and lived in Panama, Belize, etc that doesn't have an insanely high cost of living.  $110 million isn't going to go very far here in the US.

            msharkey2001's avatar - Trek startrek.gif
            New Hampshire
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            December 12, 2012
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            Posted: July 16, 2016, 7:35 pm - IP Logged

             You are correct TheMeatman2005. Most of us will take the Lump Sum. But for those just graduating from high school or college they might consider the Annuity. They have their whole lives ahead of them and no experience handling large sums of cash.

            Big Smile

            Then again who among us has experience with the large amounts of cash we're talking about here?

              TheMeatman2005's avatar - lightening
              Brooklyn, NY
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              Posted: July 16, 2016, 7:42 pm - IP Logged

              So you're saying that anyone winning this $333 million jackpot isn't going to make anyone rich by any means? What planet are you from? The only logical scenario to your statement is if a thousand people split the winning jackpot.

              The cash value is $237 million and even if the sole winner was in a heavily taxed state like NY their net take home is still over $110 million. Did you realize that it takes a net worth of $20 million to be in the top 0.1%? Even a net worth of $8 million will put you in the top 1%. To be inducted into the top 1% in annual earnings you need to have an AGI of $435k.

              According to this article in FORBES: 

              http://www.forbes.com/sites/janetnovack/2013/03/23/tax-on-320-million-powerball-jackpot-millions-more-than-in-2012/#7018de67471b

              As for state and local income tax, since California doesn’t impose its highest in the nation 13.3% state income tax on lottery winnings, the Big Apple AAPL +0.38% has the distinction of taking the biggest bite out of  its own Powerball winners. New York City residents get hit with an 8.82% top statetax on income over around $2 million per couple and a 3.88% city levy on income over $500,000, for a combined top 12.7% rate.  Their only consolation: State and local taxes are deductible from federal taxable income. Unfortunately, as part of the fiscal cliff deal, a sneaky provision that gives a haircut to the value of deductions claimed by the better off came back. Bottom line: according to calculations by Gerald T. Prante and Austin John of the Lynchburg College School of Business and Economics, if a New York City resident wins the jackpot, he or she will end up paying at a top 48.5% combined federal, state and city rate

              So...that would mean I would be left with 51.5% of the proceeds from a lottery win.

              So...$237 mil cash value x .515 = $122.055 mil

              Even after splitting 50/50 with my brother (if he wins he will split with me) we would each get approx $61 mil after taxes.

              I think I could survive on income from interest and investments for quite some time. Smile

              The Meatman

              “The quickest way to double your money is to fold it in half and put it in your back pocket.” Will Rogers

              Winning happens in a flash, Like A Bolt Of Lightning!  Patriot

                music*'s avatar - nw bookeep.jpg
                Happy California
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                Posted: July 16, 2016, 8:55 pm - IP Logged

                Then again who among us has experience with the large amounts of cash we're talking about here?

                 Asset Protection must be in a winner's future.

                 I've been rich and I've been poor. Believe me, rich is better. 

                 Attributed to Joe E. Lewis and others

                  Drenick1's avatar - villiarna
                  USA
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                  Posted: July 16, 2016, 9:01 pm - IP Logged

                  According to this article in FORBES: 

                  http://www.forbes.com/sites/janetnovack/2013/03/23/tax-on-320-million-powerball-jackpot-millions-more-than-in-2012/#7018de67471b

                  As for state and local income tax, since California doesn’t impose its highest in the nation 13.3% state income tax on lottery winnings, the Big Apple AAPL +0.38% has the distinction of taking the biggest bite out of  its own Powerball winners. New York City residents get hit with an 8.82% top statetax on income over around $2 million per couple and a 3.88% city levy on income over $500,000, for a combined top 12.7% rate.  Their only consolation: State and local taxes are deductible from federal taxable income. Unfortunately, as part of the fiscal cliff deal, a sneaky provision that gives a haircut to the value of deductions claimed by the better off came back. Bottom line: according to calculations by Gerald T. Prante and Austin John of the Lynchburg College School of Business and Economics, if a New York City resident wins the jackpot, he or she will end up paying at a top 48.5% combined federal, state and city rate

                  So...that would mean I would be left with 51.5% of the proceeds from a lottery win.

                  So...$237 mil cash value x .515 = $122.055 mil

                  Even after splitting 50/50 with my brother (if he wins he will split with me) we would each get approx $61 mil after taxes.

                  I think I could survive on income from interest and investments for quite some time. Smile

                  The calculations by the Business school experts are wrong.

                  Top Federal rate 39.6%, NY state tax 8.82%, NYC tax 3.88% =52.7% and not 48.5%.

                  I am not even sure how they came up with that number as nothing added up.

                  Bottom line is that if you had the sole winning ticket this evening, you and your brother would split over $112 million which isn't bad at all.

                    lejardin's avatar - Lottery-014.jpg

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                    Posted: July 16, 2016, 9:17 pm - IP Logged

                    No, they would only be rich if they left the US and went and lived in Panama, Belize, etc that doesn't have an insanely high cost of living.  $110 million isn't going to go very far here in the US.

                    Holy cow, I have heard everything now.   ONE HUNDRED TEN MILLION DOLLARS ISNT GOING TO GO VERY FAR HERE IN THE U.S.  ARE YOU NUTS?  Give me $110 million and I will guarantee, I would have a great life along with my family and others I choose to share it with.

                    Although I do not agree with you on most everything, this last post of yours has earned you the moron of the month.  Go back to La La Land.  What a waste of time.

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                      NY
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                      Posted: July 16, 2016, 9:33 pm - IP Logged

                      Well, when I wi I'll tr not to spend more than 500k a month,

                      You're either failing to grasp reality, wildly optimistic about the investment potential, or expecting to die before too long. Lower taxes could help, but with a conservative interest rate of 3% and planning for inflation of 3%, spending $6 million the  first year and spending the same inflation adjusted amount in following years would leave you broke in 17 years. Just spending an even $6 million every year would stretch things out for a whopping 22 years before going belly up, but your spending power would go down every year.

                        music*'s avatar - nw bookeep.jpg
                        Happy California
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                        Posted: July 16, 2016, 9:47 pm - IP Logged

                        Lurking Have you noticed how waistlines do expand on some winners? More food is available to the winner's family.Turkey

                         I've been rich and I've been poor. Believe me, rich is better. 

                         Attributed to Joe E. Lewis and others

                          TheMeatman2005's avatar - lightening
                          Brooklyn, NY
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                          Posted: July 16, 2016, 10:37 pm - IP Logged

                          The calculations by the Business school experts are wrong.

                          Top Federal rate 39.6%, NY state tax 8.82%, NYC tax 3.88% =52.7% and not 48.5%.

                          I am not even sure how they came up with that number as nothing added up.

                          Bottom line is that if you had the sole winning ticket this evening, you and your brother would split over $112 million which isn't bad at all.

                          The top Federal rate is 39.6%, NY state tax is 8.82% and NYC tax is 3.88% ...all true, but NYS and NYC taxes are deductible on the federal return of a NYC resident reducing what they will owe to the IRS.

                          Taxes calculated on $237,000,000

                          NYS @ 8.82% = $20,903,400

                          NYC @ 3.88% = $9,195,600

                          Total NYS + NYC taxes on $237 mil = $30,099,000

                          Now subtract $30,099,000 from $237,000,000 and the remainder is $206,901,000.

                          The federal tax for a person who lives in NYC would be taxed on the total amount ($237,000,000) less a deduction for state and city taxes paid ($30,099,000).

                          39.6% of $206,901,000 = $81,932,796

                          Add $81,932,796 to the $30,099,000 paid to NY State and City for a total of $112,031,796. After subtracting $112,031,796 from $237,000,000 that New Yorker will end up with approximately $124,968,204 after all taxes.

                          $124,968,204 represents 52.7292% of the original $237,000,000

                          Yes, when you add NYS, NYC and federal tax rates together, you get 52.3%, but after taking the SALT deduction on the federal return, the effective tax rate becomes 47.2708%

                          The above calculation is done without the benefit of any other deductions and is an approximation.

                          The Meatman

                          “The quickest way to double your money is to fold it in half and put it in your back pocket.” Will Rogers

                          Winning happens in a flash, Like A Bolt Of Lightning!  Patriot


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                            Posted: July 16, 2016, 11:23 pm - IP Logged

                            All lottery winners need a budget no matter how much they win.  This Powerball jackpot isn't going to make anyone rich by any means, just upper middle class I'd say.

                            1 Percent = High Class

                            19 Percent = Upper Middle Class

                            Rest 80 Percent = Middle and Low Class(Majority in Low Class and not a huge difference between Middle and Low class like Middle and Upper Middle


                              United States
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                              January 23, 2016
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                              Posted: July 16, 2016, 11:25 pm - IP Logged

                              The top Federal rate is 39.6%, NY state tax is 8.82% and NYC tax is 3.88% ...all true, but NYS and NYC taxes are deductible on the federal return of a NYC resident reducing what they will owe to the IRS.

                              Taxes calculated on $237,000,000

                              NYS @ 8.82% = $20,903,400

                              NYC @ 3.88% = $9,195,600

                              Total NYS + NYC taxes on $237 mil = $30,099,000

                              Now subtract $30,099,000 from $237,000,000 and the remainder is $206,901,000.

                              The federal tax for a person who lives in NYC would be taxed on the total amount ($237,000,000) less a deduction for state and city taxes paid ($30,099,000).

                              39.6% of $206,901,000 = $81,932,796

                              Add $81,932,796 to the $30,099,000 paid to NY State and City for a total of $112,031,796. After subtracting $112,031,796 from $237,000,000 that New Yorker will end up with approximately $124,968,204 after all taxes.

                              $124,968,204 represents 52.7292% of the original $237,000,000

                              Yes, when you add NYS, NYC and federal tax rates together, you get 52.3%, but after taking the SALT deduction on the federal return, the effective tax rate becomes 47.2708%

                              The above calculation is done without the benefit of any other deductions and is an approximation.

                              Isn't the Federal 25%

                                 
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