If you won a lottery, would you choose to do a "lump sum cash payout" or "26 annual payment"?
Firstly , you need to worry to win the lottery. If you don't win your question is in the air. Supposing you won you will make effort to take your money now, no matter taxes. You should benefit of money in the present moment
Powerball/Megamillion winner is a Non-resident alien - Green Card?
There are a few issues tossing around in this discussion. I will attempt to answer some.
First regarding the original question -
Nope, the winner will not get an offer for green card or permanent residency from the Immigration Services.
Common methods for immigration application are through employment, family member and investment. To find out more about the various way to apply for immigration to the U.S. go to http://www.uscis.gov/graphics/services/residency/index.htm.
10,000 immigrant visas per year are available to qualified individuals seeking permanent resident status on the basis of their engagement in a new commercial enterprise. Most cases applicant would need one million dollars, some are half million.
Money along wouldn't be enough. The fund needs to be invested in such a way to benefit a community.
Lately another way to expertise immigration application is through military services. There are cases where non-resident aliens who became soldiers and serve in Iraq are receiving their permanent residency status within months.
Also like to mention. Non-resident alien does NOT equal to illegal immigrants. There are many people who are here legally using other types of visa, like students, visiting scholars, skilled professionals, etc.
Check out the sites below. The first one shows the prize payout. Be sure to look at the table labeled, "POWERPLAY Prizes and Odds". You'll see at the bottom that the regular $3 prize for matching the PowerBall moves up to $15 if the PowerPlay number is X5. (The PowerPlay is a multiplier. You just multiply the basic prize amount by either X2, X3, X4, or X5.)
The 2nd site listed shows the winning numbers. It also shows you that for this drawing, the PowerPlay number was, in fact, X5. You win $15.
I'd like to just point out one more thing to you that is VERY IMPORTANT: You got VERY lucky with this ticket. The odds are only about 1 out of 35 that you win ANYTHING at all on a PowerBall ticket. If you keep track of how much you spend and how much you win, you will see quickly just how much of a waste of money these tickets really are! Since you're so young, do yourself a HUGE favor and keep track!
It doesn't sound legitimate to me. Don't give them your personal information, especially any bank account numbers, until you've had a chance to show their message to someone in law enforcement or an attorney. Good luck and be careful.
Does anyone know an african voodoo spell to win the lottery?
And there are multiple winners who all wear socks... big deal. You need to think critically about this - if it were possible to use magic to win the lottery, then every lottery, every day, everywhere, would be won. Right?
Here's how it works - the odds of YOU or ME winning lottery are very low. But the odds of SOMEONE winning are very good.
And the winner statistics all match the odds, or probabilities. There is nothing abnormal showing up.
Your odds are the same regardless of which numbers you play. I used to use my same numbers all the time too. I was worried that if I didn't then those numbers would be the ones that were picked! Then I gave up playing all together. Did you know your odds of winning are the same as being struck by lightning 1.5 times (imagine, getting struck 1/2 time... geez)? But it's true. Save your money.
Thanks for reminding me to check my ticket! :)
Are you in Illinois? The Illinois lottery holds a raffle every year called the St. Patrick's Day Millionaire Raffle - tickets are $20 and they sell a limited amount. The message you got on your Mega Millions ticket is just letting you know that the St. Patrick's Day raffle is now closed off - confusing, I know.
Will a nonprofit who holds say a $300 million winning powerball ticket have to pay state and federal taxes?
The question is.... can a nonprofit organization claim a lottery win? The last time I checked you had to be a human being and at least 18 years old to claim a Lottery Win. And even if... I don't think the non profit can claim that gambling is an approved form of using the funds they have been entrusted with.
Donating the winnings is possible... but the winner will only be able to donate their winnings... taxes are always withheld before they get their money. They do not have the right to decide what to do with the pre tax money.
Taxes due are Federal tax and State tax if applicable. (not every state collects State Taxes on Lottery winnings).
If you won a lottery, would you choose to do a "lump sum cash payout" or "26 annual payment"?
It is important to understand how lotteries like Mega Millions and the Powerball conduct their payouts and why the difference between the announced jackpot and the "Cash Option" is so dramatic.
The large jackpot numbers are based on an annuity payout that is tied to current yields of US Treasury securities. The way they take - say - $14 million and turn it into $25 million distributed over 26 years is they purchase an annuity from an insurance company, specifically an immediate annuity, period certain, with a return of principal calculation. A portion of the 14 mill is used to buy 25 year bonds, a portion for 24 year bonds, etc. The higher the yield on Treasuries, the lower the amount needed to satisfy a given jackpot.
There have been volumes written on this question, whether it is better to take the payments or the lump sum. For many people, the payments are a better idea because most big money lottery winners have zero experience managing large sums, so if you screw up by over spending this year, just wait! You'll get another big check next year!
From a pure investment perspective, it is almost ALWAYS better to take the lump sum because it is actually pretty easy to beat long term Treasury yields if one is careful and if you can beat them by even one percent, you will come out ahead over the course of 26 years (29 with the Powerball). Finding a fixed annuity that will beat US Treasury rates is not difficult at all. Putting together a portfolio that has a growth aspect as well as the fixed income segment, even a very conservative mix, will do better than what the lotteries are going to provide.
As far as the taxation is concerned, if you take the lump sum then yes, you will pay the Federal taxes for the year right up front and that level is currently 35%. If you live in a state with a personal income tax (and 43 of them do), you will have to pay that too, all right up front. The math works out so you would end up with somewhere around a third of the announced jackpot as "take home pay" if you will, depending on your state income tax level. One advantage to taking the lump sum is you will be avoiding any potential increases in the higher marginal rates in the future. The highest marginal rate was over 90% at one time in the US. There is nothing stopping Congress from going back to such rates, though it is unlikely they will ever go back quite that high.
It has been said that 3 out of 5 big money lottery winners declare bankruptcy within 5 years and the horror stories of lives ruined or family troubles are easy to find with a simple web search. The largest single ticket winner in Powerball history - Jack Whittaker of West Virginia, has lost his marriage, his grand daughter died of a probable drug overdose and he has been arrested numerous times. Often large sums of money do not make problems go away. It magnifies them.
If I ever won a large sum, the first call would be to an attorney. I would take the lump sum, but I would not go collect it myself. I'd send the lawyer and he would collect it in the name of either an LLC we formed or an investment trust, NOT my name. I wouldn't call any of my friends or family members that I thought might spread the news around. I want the news to be as quiet as possible and I don't want my name or face in the press. People will show up at your door with all sorts of sob stories. You have to learn to say NO, or total strangers as well as family will bleed you dry. I would then basically disappear for twelve months at least. Take a trip around the world. Go rent a houseboat on a big lake, take train journeys - ANYTHING - just get away from your surroundings. Let the hoopla die down.
If you were to ever win a large sum, at the very least you are going to need a lawyer, as well as a CPA, perhaps a tax lawyer too, and most certainly professional counsel for the investments that will be made.
In California, If I won the lottery, do I have to have my picture taken and publicized on the Winners Gallery?
To get all answers regarding your questions you may contact
to the California Lottery Office via a toll free phone number:
1-800-LOTTERY / 1-800-568-8379
(Consumer Protection Department)
Other contact details you can find at the California Lottery site:
Will there be more than one winner for this megamillions $500M?
They're estimating 440 million tickets sold. That gives an 8% chance that no one will win it and a 20% chance that only one person will win. That gives a total of 29% (rounding up) chance that one or zero people will win and a 71% chance that more than one person will win. These percentages come from the source link; they're not my own. You can read the source link for a list of all of the probabilities.
Of all the money spent on tickets, the Government takes its standard cut (about 40% usually) and the other 60% is distributed among the winners.
There is no need to fix the game because the Government has already got its 40% and doesn't give a toss about who gets a share in the prize pool.