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To: G Larry
It’s only $87.75M after taxes......

By my calculations, which has been borne out by previous stories about winners, the post-tax cash taking is about 34% of the annuity jackpot amount -- or roughly $136 million in this case.

In most, if not all, states, these lottery prizes are exempt from state taxes.

Note that different lotteries have different math behind them, based on how the annuity pays out. Mega Millions, for example, has a higher cash option due to being based on a 20-year annuity (as opposed to Powerball's 26 year), so your after-tax take is about 40% of annuity value.

9 posted on 02/10/2012 1:01:04 PM PST by kevkrom (Note to self: proofread, then post. It's better that way.)
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To: kevkrom

$136M instead of $87.6M????

Man.....now I gotta start my budgeting all over again!

Sheessh!


12 posted on 02/10/2012 1:06:39 PM PST by G Larry (We are NOT obliged to carry the snake in our pocket and then dismiss the bites as natural behavior.)
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