Posted on 06/05/2009 1:55:15 PM PDT by ConservativeStatement
PIERRE, S.D. -- A 23-year-old rancher whose family has fallen behind in their taxes and recently had a mobile home repossessed has claimed a $232.1 million Powerball jackpot on Friday, one of the largest undivided jackpots in U.S. lottery history.
(Excerpt) Read more at nypost.com ...
The way it works is that he had a choice: take the $232 million spread over 20 years or take a one time lump sum payout of $118 million. After the taxes, that's $88 million. It's still the smart play, which is why almost every big lottery winner does it that way.
3 years???
Nope.
As we speak, The Usurper is appointing a Lottery Czar to “redistribute” this guys winnings to more deserving Americans who didn’t have the advantage of living in South Dakota where they could have bought lottery tickets.
I read somewhere that 97% of lottery winners of $1,000,000 or more do quite well managing their money. The remaining 3% have newspaper articles written about how they squandered the money.
I also read that 97% of all lottery winner stories are about how the winner squandered their winnings.
.....Bob
PS, 68.3% of all statistics you read on the internet were made up on the spot. LOL
It’s the smart play if he uses it to buy Gold Bullion, ammunition and canned goods.
They advertise he won $200 million and give him $80. It fraud pure and simple.
The government does not get more than him.
The value is discounted for the lump sum to about half - I’m guessing roughly $115 to $120MM in this case, and then the govt(s) get their cuts, and then his take home is $80MM.
The discount is because the lottery deposits a sum with an annuity which is invested, and from that annuity the winner get the yearly payments. When you take the lump sum you get the value that they would otherwise deposit to back the annuity.
Same out of pocket to the lottery. I will leave it to the $$ gurus to say for certain whether the yearly or the lump sum is a better value. In an era where income taxes are likely to rise on margin I would suspect lump sum is the way to go.
Good fortune to him.
Sadly, I’d bet a buck that he’s broke again in five years.
Yes, and all lottery tickets are bought with AFTER-TAX dollars. Uncle Sam and Governor Ripoff have taken their share from your paycheck, and then you buy the lottery ticket.
Then you win, and SHAM-WOW!!
There’s Uncle Sam and Governor Ripoff taking their share AGAIN.
The government is your silent partner in all transactions.
And it still isn’t enough.
Great story! Thanks for the post.
If he wanted to take the 25 year payouts it would amount to, before taxes, the $200MM plus. Because he opted for the lump sum he gets less overall (see my post above) but he gets it all NOW and can invest/spend it as he chooses.
It is not fraud, it is the pre-published and understood rules of the ‘game’.
He should move to a country where he will be allowed to keep his money.
So thanks to his luck (at taking home $88 million) I can breath a sigh of relief at recalling that "just lost" name.
True..about 20 years ago, some clown named Curtis something won $50 mill or so in the NY lottery. He showed up the next day,wearing a tuxedo, spats, in a limo, with his wife AND his girlfriend..press had a blast for a week. He filed bankruptcy a few years ago..
Dad, is that you?
I just sent him an e-mail about that jackpot winner murdered by his sister-in-law and welcomed him to the big league ....
i think he will be stunned by the number of law suits filed against him just to get his $$$$
He’s only 23. I hope he doesn’t let the money destroy his life. I wish him luck.
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