Welcome Guest
Log In | Register )
You last visited January 20, 2017, 8:51 am
All times shown are
Eastern Time (GMT-5:00)

cash vs. annuity

Topic closed. 267 replies. Last post 11 years ago by CASH Only.

Page 5 of 18
PrintE-mailLink

if you won a jackpot,pick lump sum cash or annuity

i'd pick lumo sum cash [ 82 ]  [73.21%]
i'd pick annuity [ 22 ]  [19.64%]
undecided [ 8 ]  [7.14%]
Total Valid Votes [ 112 ]  
Discarded Votes [ 7 ]  

United States
Member #379
June 5, 2002
11296 Posts
Offline
Posted: March 10, 2005, 2:02 pm - IP Logged

Did the IN couple seek ANY advice on whether to choose cash?

    LOTTOMIKE's avatar - Lottery-063.jpg
    Tennessee
    United States
    Member #7853
    October 15, 2004
    11338 Posts
    Offline
    Posted: March 10, 2005, 8:55 pm - IP Logged

    i've noticed this hasn't happened in quite a while,i wonder what made the powerball winners choose annuity over cash????

      dvdiva's avatar - 8ball

      United States
      Member #2338
      September 17, 2003
      2063 Posts
      Offline
      Posted: March 10, 2005, 10:45 pm - IP Logged

      annuity vs cash - now there's a topic thats new on this board

        LOTTOMIKE's avatar - Lottery-063.jpg
        Tennessee
        United States
        Member #7853
        October 15, 2004
        11338 Posts
        Offline
        Posted: March 11, 2005, 2:38 am - IP Logged

        new enough to where its gotten 62 replies!

          Avatar
          Morrison, IL
          United States
          Member #4657
          May 13, 2004
          1884 Posts
          Offline
          Posted: March 11, 2005, 9:26 am - IP Logged
          Quote: Originally posted by secretagent on March 9, 2005


          19mil and they chose annuity....where will YOU be in 29 years?



            The winners are only 28 and 31 years old.  I'm pretty sure they'll still be alive in 29 years.

            United States
            Member #379
            June 5, 2002
            11296 Posts
            Offline
            Posted: March 11, 2005, 9:30 am - IP Logged

            Maybe not.

              LOTTOMIKE's avatar - Lottery-063.jpg
              Tennessee
              United States
              Member #7853
              October 15, 2004
              11338 Posts
              Offline
              Posted: March 11, 2005, 4:08 pm - IP Logged
              Quote: Originally posted by ryanm on March 11, 2005



              Quote: Originally posted by secretagent on March 9, 2005


              19mil and they chose annuity....where will YOU be in 29 years?



                The winners are only 28 and 31 years old.  I'm pretty sure they'll still be alive in 29 years.


              anything could happen....they could die tomorrow in a freaky accident or get hit by a car while crossing the street......choose cash
                Avatar
                Morrison, IL
                United States
                Member #4657
                May 13, 2004
                1884 Posts
                Offline
                Posted: March 11, 2005, 4:24 pm - IP Logged

                Quote from Powerball FAQ's:




                What happens to prize money if the winner dies?

                Lottery prizes and the right to receive future payments of lottery prizes are like any other property. If a winner dies before receiving all of the payments, the remainder of the prize will be paid to the persons named in the Will or, if there is no Will, then under the laws of Intestate Succession to the winner's surviving relatives.

                There can be an estate tax problem with large prizes. As such, the IRS requires the immediate payment of the federal estate tax since it is in many cases likely that an estate may not have enough cash to pay the estate tax due. The tax is based on the present cash value of the entire prize. In this case, the Powerball game permits the estate to request the transfer of the securities held to fund the annuitized prize.

                The estate can then sell all or some of the securities and use the proceeds to pay off the estate tax. The amount left over can then be distributed to the heirs. Note that there are some lottery games which do limit payments "for life". These are clearly identified in game rules and advertisements and are usually a key feature of the game ("win $XXXX a week for life").





                  LOTTOMIKE's avatar - Lottery-063.jpg
                  Tennessee
                  United States
                  Member #7853
                  October 15, 2004
                  11338 Posts
                  Offline
                  Posted: March 12, 2005, 2:52 pm - IP Logged

                  also what if you chose annuity then needed a large sum of money,you'd be stuck,its best to choose lump sum.


                    United States
                    Member #379
                    June 5, 2002
                    11296 Posts
                    Offline
                    Posted: March 12, 2005, 3:19 pm - IP Logged

                    How can you disagree with that?

                      LOTTOMIKE's avatar - Lottery-063.jpg
                      Tennessee
                      United States
                      Member #7853
                      October 15, 2004
                      11338 Posts
                      Offline
                      Posted: March 13, 2005, 5:56 pm - IP Logged

                        LOTTOMIKE's avatar - Lottery-063.jpg
                        Tennessee
                        United States
                        Member #7853
                        October 15, 2004
                        11338 Posts
                        Offline
                        Posted: March 17, 2005, 4:29 pm - IP Logged

                        it looks like cash is still the better choice over annuity.....

                          Avatar

                          United States
                          Member #1826
                          July 11, 2003
                          2645 Posts
                          Offline
                          Posted: March 18, 2005, 6:32 pm - IP Logged

                          There are too many uncertainties with annuities. You don't know how much a dollar would be worth 20 years from now. What if the lottery goes bankrupt and can't finish off the annuity. At least with cash you know exactly what you're gonna get. But cash isn't the best choice for everybody. It requires a lot of responsibility to have that much money at once. Jack Whittaker for example, couldn't handle $150 million in cash. He would be better off with an annuity, he just isn't responsible enough to take cash. But fortunately most people are responsible with their money, and for them, you, and me, the best option in the long run and short-term is cash. But that's just my opinion...

                          (insert signature here)

                            LOTTOMIKE's avatar - Lottery-063.jpg
                            Tennessee
                            United States
                            Member #7853
                            October 15, 2004
                            11338 Posts
                            Offline
                            Posted: March 19, 2005, 5:48 am - IP Logged

                            i think things could've been a lot different had whittaker chosen an annuity over lump sum,a lot of lives might've been saved,hindsight is 20/20..........

                              LOTTOMIKE's avatar - Lottery-063.jpg
                              Tennessee
                              United States
                              Member #7853
                              October 15, 2004
                              11338 Posts
                              Offline
                              Posted: March 19, 2005, 6:47 pm - IP Logged

                              now that i think about it annuity might be a better idea especially for those who have problems managing their money,at least you have next years payment to look forward to..

                                 
                                Page 5 of 18