The posted annuity value is $90,000,000, this is a payout of $2,190,000 per year... of that amount, they only withhold 27%, leaving you responsible for paying the additional 8% ($240,000) for a realistic total of $1,950,000. Not bad... total payout will be $58,500,000
The posted Cash value is $50,200,000, this is a one-time payout of $36,646,000... you will need to also pay the remaining 8% not withheld by MUSL ($4,016,000) leaving you with a one-time payment of $32,630,000 after all taxes are paid...
The difference is of course 29 years and $25,870,000 ($1,034,800 per year)
Assuming a 9% rate of return, you can start your own annuity with $500,000 and 29 annual contributions of $200,000 and end up with $33,147,600
.....all for a total cost of $6,300,000 out of the original #$32,630,000, leaving $26,330,000 to last you 29 years until the annuity kicks in... and you get another 33 mill to play with... and the $6,300,000 contribution is split over 29 years...
bottom line....
MUSL's annuity option... $58,500,000 after 29 years
Your own personalized plan by taking CASH... $59,477,600 after 29 years
Now, there are MANY variables here, return rates, etc... BUT the main difference is the fact that you have the major lump sum of 32 million all at once immediately, you could watch any children enjoy the money NOW instead of after you are gone, and the extra 33 mill from the annuity makes one heck of a farewell gift anyway... ;-)
By taking the cash, you have the freedom to do something crazy like buy a $5,000,000 luxury estate, and still have the flexibility to create your own annuity to "make up the difference" and then some vs. taking the MUSL's annuity... If you're gonna be rich, why not be REALLY rich?
Another plan for a portion of the money is to cut yourself a "salary", for example, putting $6,145,414.00 into an account and transferring a payment of 211,000 per year into your own personal account, will let you sustain this way for 30 years WITH a cost of living increase of 3% per year AND not taking into account any interest gained on the main account...
When I first came to this site, I was sort of torn on the cash vs. annuity scenario, but now I know I would take the cash... without hesitation...