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Something stinks with Powerball

Topic closed. 33 replies. Last post 7 years ago by spy153.

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United States
Member #9579
December 12, 2004
2121 Posts
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Posted: July 2, 2009, 3:46 pm - IP Logged

truly an example of a wrong mistake!

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    Charlotte
    United States
    Member #42106
    June 27, 2006
    59 Posts
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    Posted: July 14, 2009, 10:51 pm - IP Logged

    Look folks, the real reason that they advertise the annuity values is because it attracts more players than the Present Value.  By the way, for those who don't know it, the amount advertised is the annuity value; how much you will have received at the end of a 29 year pay out period.  The cash value is the present value of the 29 year pay out as of today, or what $50MM in 29 years is worth today; this is why for PB it is running about 50% of the annuity value. 

     

    I have run the analysis for both the PV and the annuity payments for 29 years, less the tax payments on a yearly basis.  They work out to be about the same amount (with a little bitof variance). 

     

    Should you be lucky enough to win, decide at that point whether the cash or annuity option is the best choice for you.  Personally, under $50MM, I would seriously consider the yearly annuity payment; over $50MM I would do the cash payment. 

     

    Ultimately, winning will require some soul searching as to what you may want to do with your life.  I would submit that winnig the PB, or even MM for that matter, would require the assumption that the winner has a philanthropic responsibility to society to do the world good by their winnings, be it through medical, educational, or other civic endowments.  Of course, that is primarily my opinion, and you know what they say about opinions?

    Good Luck to all!!

     

    CountingMan

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      Northern Ohio
      United States
      Member #63551
      August 1, 2008
      203 Posts
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      Posted: July 15, 2009, 10:57 am - IP Logged

      Wow,

      Tookabath needs to go easy on the insults. That just opens you and your arguments to heightened scrutiny, at least on a message board. Not to mention you're not going to promote civilized debate with insults.

        spy153's avatar - maren

        United States
        Member #28409
        December 15, 2005
        1198 Posts
        Offline
        Posted: July 15, 2009, 12:29 pm - IP Logged

        After Madoff and AIG and the housing debacle and collapse of Wall St
        investment banks, you just can't take anything for granted anymore.
        I refuse to believe that just because Powerball is a huge and
        long-established organization and brand, that everything is
        just fine and dandy.  There has to be a greater level of scrutiny
        and transparency.  Shine some daylight on them, and let's
        see the critters scampering out of the shadows.

        Oh, I like you.   I really do.

        I too, understand their excuses but don't buy it.   But realize this, we are a minority in this respect.  Not many people care unless they win the jackpot.  And then, they are shaking their heads and wondering what happened.  

        Just think of all the millions the Powerball winners are missing in the end compared to Mega Millions winners.   But then too, that is the same thing as saying "Just think of all the millions the small state pick 5 lottery winners are missing out on compared to the Powerball winners."   They are simply different games.   I have had to come to terms with it that way.  I don't like it, but what can we really do?

        voir-vous dans mes reves!Cool