Spltting jackpot with family

Reply #10

socalgal — Sat, 08 Jan 2011 23:21:57 GMT

I've already made a list of family relatives that are in my life now, when I'm still just a regular person. When new ones pop up when I'm a winner, and they're not on the list, then I say Sorry, see ya.

I also thought about how I'm going to share my winnings. Some of my relatives are not responsible with money. If I just give them a certain amount then they'll blow it all quickly and still be in debt.

I thought the main thing I would do is pay off most of their bills. That way they don't... [ More ]

Reply #9

markp1950 — Sat, 08 Jan 2011 03:34:40 GMT

I believe that anything over $11,000 and you have to pay tax on it.

MrkP

Reply #8

savagegoose — Thu, 06 Jan 2011 14:36:35 GMT

been an interesting read. although i dont have much to say, thanks for all the comments ive soaked it all up.

her ein oz there are no taxes on winnings but there are laws reguarding gifting large amounts of money. so a share in the prize may well be better than just handing out the money after.

Reply #7

Coin Toss — Thu, 06 Jan 2011 02:36:25 GMT

If you win a huge jackpot family that you wwren't aware of are probably just as much as a problem

Reply #6

socalgal — Thu, 06 Jan 2011 01:49:17 GMT

If you can claim the winnings as a trust, then you can specify the percent for each member in the trust details. The grantor (you) can also be the beneficiary. So you would list all family members (including you) as beneficiary of the trust.

I read several law websites that says a person can be all 3 - grantor, trustee and beneficiary. But they don't recommend that.

Reply #5

AuntiePat — Wed, 05 Jan 2011 23:00:19 GMT

I am reminded about a family that was claiming a now moderate, then large jackpot from a lottery office. First, you don't just show up--you allow them to verify the winnings and then arrange a time for the presentation ceremony--what--you think lottery offices everywhere have large checks made out in the winners' names laying around? Anyway, back to the family--they all sat down for their portraits and whipped out those cheesey multicolored dynel clown wigs with a Jimmy Durante nose and Steve Ma... [ More ]

Reply #4

KY Floyd — Wed, 05 Jan 2011 22:51:13 GMT

Neither the lottery nor the IRS have any say in how you share your property. It's your ticket, so if you want to give 1.374% to Aunt Mary and 2.662% to Uncle Bob it's your choice.

The lottery does get to make rules on how they write checks, and they may not be willing to write the checks necessary for the split you want. Even if they will, the lottery will usually make the names of all winners part of the public record. That's what the appropriate IRS forms are for. You can have one person co... [ More ]

Reply #3

djklaugh — Wed, 05 Jan 2011 01:50:43 GMT

Get with a really good attorney to set up a trust that would collect the winnings for you and then disburse the amounts you designate to each family member. If you tried to do it at the lottery office you would have to have every single person you were giving a share to present as they would have to fill out tax information. Having the attorney set it up in advance simplifies things and keeps it neat and tidy - you might need to wait a few weeks to claim the money but it would be worth it in the... [ More ]

Reply #2

Morbius — Tue, 04 Jan 2011 23:35:29 GMT

Thanks that helped, no wonder I couldn't find it lol. Now still would the lottery really or i guess HAVE they ever raised a stink about the % of split tickets

Reply #1

gy65 — Tue, 04 Jan 2011 22:56:24 GMT

Search for . . irs 5754

Spltting jackpot with family

Morbius — Tue, 04 Jan 2011 22:07:51 GMT

Long time reader first time poster

Okay my search-fu is not strong and I cant seem to find an answer for this: If I won here in Minnesota tonight and decieded to split it with my family could i designate percents to family members, for instance 1% to 20 different family members while taking 80% myself, or does it have to be split evenly?

I think this would go a long way towards taking care of the cousin issue. See my logic is if I split with my aunts/uncles, parents, grandparents etc... [ More ]