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Fed interest rate decision
NO CHANGE IN RATE (Remember that interest rates determine cash vs annuity value)
Mar 18, 2003, 12:15 pm - CASH Only - Lottery Discussion Forum

Cash Vs. Annuity
Crouse ran numbers to help determine whether it's better to take a windfall in payments over time - an annuity - or in a lump sum.Crouse used the Powerball jackpot as an example todetermine which pays off in the long run: the ticket thatpays the winner $ 104.3 million now or pays $ 7.7 millionannually for 25 years. (Both are before taxes.)The annuity represents a 5.4 percent return. That soundseasy to beat if you take the lump sum and invest it - until you consider the huge negative effect of pa
Jan 18, 2003, 7:25 am - Thomas Covenant - Lottery Discussion Forum

Hello everyoneReply
Welcome to Lottery Post!I know that Patrick has some very strong (and well-formed) opinions on the cash vs. annuity choice.-Todd
Mar 28, 2002, 10:19 am - Todd - Lottery Discussion Forum

Tax Strategies For Lottery Winners - Lump Sum vs InstallmentsReply
Lump Sum vs. Installments Lum Sum for the wisest investers, Installments are for idiots they have a saying about investments assumption is the mother of all f ups by taking the installments, are you making the assumption, the Govt bonds they buy to pay for your Annuity are better then taking the 35% full tax rate hit now, and investing all the cash into other then govt bonds i give you real numbers backed up by what a real clever invester would do right now me if i
Feb 2, 2011, 1:40 am - joshuacloak - Lottery Discussion Forum

Probability of a rollover in PB and MMReply
Lotteries vary on the amount of sales money they devote to jackpots. In the Powerball and Megamillions cases, 32.7% and 31.7% of sales are devoted to the cash value of the jackpot: This is the money used to buy the annuity value for each drawing. If the lottery rolls over, that money, of course is placed in the next 1st prize pool. Thus if you compare the two cash values with a projected Megamillions jackpot and multiply it by 0.317% you will have the lottery's estimate of ticket sales.
Feb 27, 2004, 10:19 am - prob987 - Jackpot Games Forum

What amount of money would you like to win?Reply
You are right! I am surprised,since you can collect all funds less taxes. So silly to make an inaccurate statement. Naturally they do have the annuity 'option' for some instant tickets or the cash4life.. The multi state jackpots allow for cash vs annuity. Mine will be cash and dash. I've zero desire or need for financial advice.
Aug 30, 2017, 1:26 am - TheGameGrl - Lottery Discussion Forum

Retired auto worker, 2 children claim $314M Powerball lottery jackpotReply
People should automatically assume that the advertised jackpot is the annuity amount, so it's not false advertising. It even states on the PowerBall website that the annuity value and cash value are 2 distinct prize options and because it's your option which prize to take, you really having nothing to complain about and there is no cheating of the player. There's also the third option: DON'T PLAY. If someone is going to complain about a game and it's rules, then that person shouldn't even play a
Sep 15, 2007, 3:46 pm - Guru101 - Lottery News

$40 Million Man's payments endReply
Twenty years ago Illinois did not offer a cash option. as for cash vs annuity I guess it is all relevant as to your age.The tax liability will be 39.6% plus whatever your state tax is in Illinois it is 3% so we are looking at 42.6% before any investments which will also be taxed and because of your annuity the burden is 39.6%. Now take the lump sum and pay the taxes take a simple ten percent for frivolous spending then slip the rest in tax free municipal bonds with a 4% return depending on the
Aug 31, 2004, 11:39 pm - fxdwg - Lottery News

Dropping cash values?Reply
a002,You make some valid points. The even scarier Annuity vs. Cash situation is for PA's Super 6. It hasn't been hit in like 10 months now. Well for about 9 of those months the Cash value was 50% of the annuity value. Then one foggy Friday in late May/early June they switched it. Now ever since the cash value has grown at roughly $500K per drawing and the Annuity grows at $200K.By my calculations in about another 55-60 rollovers the Cash Value will actually EXCEED the Annuity! I sincerely hope i
Aug 6, 2003, 8:04 pm - smd173 - Lottery Discussion Forum

Dropping cash values?Reply
T-Bills at 5.25%? That's a bit high, no?http://wwws.publicdebt.treas.gov/AI/OFBillsI know they're extremely stable.. but they do fluctuate. Their rates are considerably lower now than they were in 1999 for example.I'm saying that their change isn't enough to warrant Powerball and Megamillions advertising a larger annuity jackpot vs their cash amount on hand.It is also my understanding that both MM, MUSL and most lottery commissions in the US, purchase zero coupon bonds (probably STRIPS) and not
Aug 6, 2003, 7:08 pm - a002 - Lottery Discussion Forum