How would you split up your $30 million jackpot?Prev TopicNext Topic

• Todd

  

  50

  Chief Bottle Washer

  New Jersey
  United States
  Member #1
  May 31, 2000
  27,930 Posts
  Online
  Jan 9, 2007, 7:50 pm

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  SirMetro posted an interesting (somewhat tongue-in-cheek, but still half-serious) tidbit about how he would split up his $30 million after-taxes jackpot prize:

  I would set aside roughly $5,000,000 for basic home repairs, remodeling as well as a few expansions I am interested in (just not sure how to talk the Wife into letting me do those modifications to her house), while another $3,000,000 would be earmarked for several of our favorite charities. Of course, since I would have paid off all my debts, I would have to set up at least $2,000,000 in an escrow to make sure taxes and insurance on the house was kept up. Then, I would probably sit aside $2,000,000 for my daughter so she could finish her education and keep her bills paid. Finally, the remaining $18,000,000 would be split between my wife and I to invest how we see fit whereas I would put roughly $8,000,000 into at least 18 to 24 decent long term growth and income stocks to insure future income while protecting the principle. And the remaining $1,000,000 would be used to dabble in stock options.

  How would YOU deal with a $30 million (AFTER-taxes) payday?

  Use the same kind of breakdown.  The rules are that you can split it up in minumum of $1 million chunks!

   

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• weshar75

  

  Mcminnville, Oregon
  United States
  Member #3,013
  December 13, 2003
  6,173 Posts
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  Jan 9, 2007, 9:29 pm

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  $15 million in lots and $15 million in houses.  Lots of Whiskey and lots of cat houses!!!!!!!!-weshar75
• chasingadream

  

  United States
  Member #38,686
  May 3, 2006
  315 Posts
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  Jan 9, 2007, 10:26 pm

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  ummmm..... well I would spend about 2 mill on various properties......put 5mill into a 20yr annuity and stash the rest away for a rainy day i guess.......

    waiting patiently for my jackpot
• KY Floyd

  

  NY
  United States
  Member #23,834
  October 16, 2005
  4,771 Posts
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  Jan 10, 2007, 2:02 am

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  What kind of taxes is he planning on paying? Even in NY I would have figured on clearing close to $42 milllion, but the pre-tax lump sum was close to 72.

  I tend to look at the net and imagine something off the top for a principal residence, leaving an even amount for other stuff, so based on netting close to 42 I'd figure anything over 40 was for the new place. Using 30 million and increments of 1 million I'd probably figure on 1 million for the new place, but might go for 2. 10 million would go into  good, safe investments so that there would be almost no risk of returning to the working class. Mostly government bonds, probably. Another 10 would be in stuff that is fairly safe but with a decent chance of a bigger return. The next 5 would be for more speculative stuff, but I probably wouldn't put more than a couple of million into anything with a significant chance of losing a big chunk. The remaining 3 to 4 would be in something  easy to use if I wanted a big chunk of cash for some reason. Maybe in a money market and laddered in 30 day CD's. 
  
• SirMetro

  

  East of Atlanta
  United States
  Member #6,191
  August 11, 2004
  1,390 Posts
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  Jan 10, 2007, 10:57 am

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  In response to Todd

  Quote: Originally posted by Todd on Jan 9, 2007

  SirMetro posted an interesting (somewhat tongue-in-cheek, but still half-serious) tidbit about how he would split up his $30 million after-taxes jackpot prize:

  I would set aside roughly $5,000,000 for basic home repairs, remodeling as well as a few expansions I am interested in (just not sure how to talk the Wife into letting me do those modifications to her house), while another $3,000,000 would be earmarked for several of our favorite charities. Of course, since I would have paid off all my debts, I would have to set up at least $2,000,000 in an escrow to make sure taxes and insurance on the house was kept up. Then, I would probably sit aside $2,000,000 for my daughter so she could finish her education and keep her bills paid. Finally, the remaining $18,000,000 would be split between my wife and I to invest how we see fit whereas I would put roughly $8,000,000 into at least 18 to 24 decent long term growth and income stocks to insure future income while protecting the principle. And the remaining $1,000,000 would be used to dabble in stock options.

  How would YOU deal with a $30 million (AFTER-taxes) payday?

  Use the same kind of breakdown.  The rules are that you can split it up in minumum of $1 million chunks!

  First, keep in mind, those figures are rough and very approximated. Second, those figures take into account all current debt of myself, my immediate family (and an extremely small group of very close friends). That being said, the $30 million is the presumed left over value of after-tax (and after-debt) payout that requires long term investment planning. The short term expendentures, vacations, cool toys and/or gadgets are already removed.

  Oh, and on a side note, this approximated plan has been on my mind for more then 30 plus years. It is NOT like something I had just thought up. Mentally, I know exactly how to deal with big money (now if I can just convince the powers to be to give me that chance).

  Good Luck to All

  Sir Metro