$220M Mega Millions lottery jackpot advice offered

Comment #28

Avid Playa — Wed, 27 Feb 2008 18:21:47 GMT

Were I to win that $220m, I definitely would ask for cash, not an annuity. That's 50% gone right there. Then, after the state and federal taxes devour another 41% plus (being a non-U.S. citizen) I'd probably be left with a little over 60 mil. What would I do with it? Make sure my immediate family is taken care of - stick a few mil away in the bank and give away the rest to the poor and needy through enterprises or charities that I know really help them. To be honest, I really don't like money to... [ More ]

Comment #27

cgcg — Wed, 27 Feb 2008 16:22:07 GMT

In terms of actual dollar value, they save a lot of money and you get a lot less when you take the annuity. With that amount of money, there are a lot of different investments you can have access to as an accredited investor that can protect your principle and deliver a nice income stream (like untraded REITs). Taking the annuity just so you don't spend it all at once is absurd.

Comment #26

sirbrad — Tue, 26 Feb 2008 04:25:08 GMT

Advisors and planners or just more leeches? Screw all of them. All I need is a 60 month CD, and maybe a tax attorney.

Comment #25

KY Floyd — Mon, 25 Feb 2008 19:04:01 GMT

If you don't see the point in investing it what would you do with it? The only choice besides investing it are to spend it all or keep it under your mattress and take some out now and again.

Comment #24

NightTrain1234 — Mon, 25 Feb 2008 06:33:47 GMT

Who cares what 'they' (the state lottery commission) want you to do. I don't really see the point in investing the lottery money you win (talking about many millions of dollars type winnings). You've already made more than a reasonable person could expect to spend in a lifetime. Its pretty much just a matter of making sure you don't spend it all in the first 5 years.

That's why an annuity has its advantages.

Comment #23

mken32 — Sun, 24 Feb 2008 17:05:14 GMT

This is the best Free advice I ever heard via this website I Love it....

Comment #22

justxploring — Sun, 24 Feb 2008 08:39:58 GMT

I would never put down someone else's job, so I am being careful with my words. Primerica has tried to recruit me for years. It's not a company I would ever represent. Their representatives have been brought before the SEC many times. Typical news story:

http://www.bizjournals.com/sanfrancisco/stories/2004/11/01/daily54.html

Comment #21

KY Floyd — Sun, 24 Feb 2008 08:27:03 GMT

In response to your comeback on my FYI, I get the impression that youthink that people who work for or at other companies DO NOT quit? That's what some people do. But I know that all good companies havesystems in place to address that occurrence as well.

Wherewould you get that impression? Somebody who isn't quitting has theincentive of wanting you as a repeat customer, and somebody who isquitting doesn't have that incentive. Wanting your continuedbusiness is an incentive for those who are p... [ More ]

Comment #20

OldSchoolPa — Sat, 23 Feb 2008 20:27:38 GMT

All of you who have responded to my post have just missed the point entirely. The facts are that the average equity investor nets a 4.3% return largely because they act based on their emotions. This barely outpaces the rate of inflation. Meanwhile, the S P 500 has returned nearly 12%. Financial service reps who are focused on educating their clients and establishing good relationships help counter that occurrence.

In response to your comeback on my FYI, I get the impression that you think tha... [ More ]

Comment #19

KY Floyd — Fri, 22 Feb 2008 17:34:36 GMT

FYI those who work for Primerica DO care how their clients portfolios perform.

What about Charlie, the guy who's quitting in 4weeks? He might be a great guy with loads ofintegrity, but he certainly doesn't have a financial incentivebased on the long term results of my portfolio. If he canoffer me three choices and one of them puts more money in his pocketthan the others, that's a powerful incentive to point me in thatdirection, especially if he thinks all three choices are good.

The... [ More ]

Comment #18

OldSchoolPa — Fri, 22 Feb 2008 17:03:58 GMT

Yes I do love where I work. Yes I know that Suze Orman as well as a few newspaper financial writers advocate no load mutual funds over load mutual funds. I used to be on the side of the no load argument...I used to invest with T Rowe Price and diligently read all of the educational materials sent to me as well as what is on their website. I invested according to my risk/time horizon profile. And during 2000, I watched my nice IRA investment get pared in half and never recover. The way I look at

Comment #17

Trained2beRich — Fri, 22 Feb 2008 16:46:24 GMT

When I think of fee based planner I think of a FLAT fee not a sliding scale or fee + commission.

If Planner X charges 100k to manage 100million and Planner Y charges 1% of 100million and Planner Z charges 100k + 1%.. I would go with Planner X. I think us outsiders think of commssion based planners as those who get commssion when you buy and sell securities. I would only want to pay a fee to buy something not pay a fee when something is sold.

Comment #16

OldSchoolPa — Fri, 22 Feb 2008 16:26:39 GMT

FYI Mr. Informed Showme3,

There are different ways that fee based planners get paid: 1) some charge a flat UPFRONT fee (so that destoys even your problem with commissioned financial reps); 2) some charge a percentage of the assets you will invest with them (i.e. commission); 3) some charge a combination of the two previous; 4) some charge a sliding scale UPFRONT fee. All of these compensation types are UPFRONT...people who devote themselves to the financial services profession happen to have... [ More ]

Comment #15

MissNYC — Fri, 22 Feb 2008 16:24:43 GMT

A few people have spoke about corporations....anyone know how to do that

Comment #14

Trained2beRich — Fri, 22 Feb 2008 16:21:03 GMT

Of the 3 advisors I would actually want to work with either Sheryl or Stephanie. The answers are more in line with the way that I think. Yes you can find a great advisor but not everyone wants 20% returns. I wonder how it would be if i bought into AAA muni bonds for the first 5 years with a ladder maturity schedule and then after they all mature rethink how i want to invest. I would be happy with an income stream of 10k a month with the rest reinevested. I know the first thing I would buy for my... [ More ]

Comment #13

Trained2beRich — Fri, 22 Feb 2008 16:12:18 GMT

HMMM.... You must love where you work. I have 2 issues wih your suggestion... a LOADED mutual fund as opposed to a no load mutual fund. Who says Primerica is better or as good as Vanguard and Fidelity? And yes I watch Suze Orman.

Comment #12

cgcg — Fri, 22 Feb 2008 15:33:05 GMT

NEVER take the annuity...regardless, that is just the dumbest thing to do and exactly what they want you to do.

Comment #11

gocart1 — Thu, 21 Feb 2008 20:43:51 GMT

YES ...thanks Todd......this is the stuff i'm looking for,,,,just hope i get to use it someday............

Comment #10

showme3 — Thu, 21 Feb 2008 01:13:02 GMT

Total BS........ Commision based Financial Planners are worse Thieves than Lawyers. They get their commissions upfont so why would they care if the investments they put you in lost you money. They already got paid........... On to the next sucker......... If you lose money they just blame it on market conditions, not their investment recomindations that they already got paid on.....this sounds like a spam for Primerica. Just my oppinion. Be very carefull investing a large sum of money. MY best a... [ More ]

Comment #9

OldSchoolPa — Wed, 20 Feb 2008 18:25:53 GMT

It is clear that all of the advisors are biased toward fee based planners (I happen to not be a fee based planner, but my clients all know I do an excellent job for them).

So this is what I would do when I win the Mega Millions jackpot:

1) No need to cold call celebrities...I will meet with my Primerica RVP and invest a large portion of the funds in various load mutual funds.

2) Consult with my PLPP law firm about setting up trusts and go through estate planning. Have already determined... [ More ]

Comment #8

JackpotWanna — Wed, 20 Feb 2008 13:42:59 GMT

Annuity is Great too. Age is a factor.

With the current mega jackpot this high it maybe better to take the Annuity.

Current mega jackpot 270 mil = 10+ mil /a year/26 year.

Less pressure, Money keeps coming in.

control spending, keep a budget

Say to moochers money tied up

Less big investment mistakes( no rush to invest) (avoiding scams) ( Current stock market is bearish )( Real estate balloon has popped )

Pay less taxes

I read most finanical advisors say take annuity.

Comment #7

spy153 — Wed, 20 Feb 2008 12:54:35 GMT

Okay, what about people who don't want to invest the money at all? Or, if you're really bad at money, just take the annuity.

Comment #6

buusjsu — Wed, 20 Feb 2008 09:27:09 GMT

Thanks

Comment #5

chasingadream — Wed, 20 Feb 2008 07:36:22 GMT

thx....... good advice

Comment #4

ThatScaryChick — Wed, 20 Feb 2008 05:55:54 GMT

Good advice.

Comment #3

JackpotWanna — Wed, 20 Feb 2008 05:20:32 GMT

Nice! Thank you.

Comment #2

dumars798 — Wed, 20 Feb 2008 05:14:15 GMT

Good Info

Comment #1

BazookaJoe — Wed, 20 Feb 2008 04:51:07 GMT

Really good advise. I can think of a potential hazard on each one of these listed if you don't plan ahead. I guess protecting your investment (winnings) is the key, but most of all Yourself . Thanks Todd.

Joe

$220M Mega Millions lottery jackpot advice offered

Lottery Post — Wed, 20 Feb 2008 04:27:01 GMT

Hit the Mega Millions jackpot? Here's some advice on what to do next

A drool-inducing $220 million is up for grabs in Tuesday night's Mega Millions lottery drawing. Before all that green goes to your head, we asked three Atlanta-based experts what should be the first five things on a lottery winner's to do list.

Barry Berlin, managing director of the Atlanta office of Atlantic Trust, a private wealth management firm and subsidiary of Invesco:

Cold call successful people and ask them to... [ More ]