Wife wins $1 million trying to show husband lottery tickets are waste of money
42 replies, posted
[quote]A woman in North Carolina wanted to teach her husband a lesson about wasting money, but it backfired in the best way possible.
Glenda Blackwell's husband, Buddy, asked her to buy two Powerball tickets over the weekend.
She said she wanted to make a point that the tickets were a waste of money, so Blackwell, instead, bought a $10 scratch-off ticket for herself.
"I was going to be ugly and buy a scratch-off to show him they didn’t hit," Blackwell told WLOS.
It turns out the ticket was worth $1 million.
Blackwell opted for the lump sum of more than $415,000, after taxes.
She said she plans to buy a home with the money and set up college funds for her two granddaughters.
"I had to eat my words, but they were worth eating," Blackwell said.[/quote]
short article
[url]http://www.wpxi.com/news/wife-tries-to-show-husband-lottery-tickets-are-a-waste-but-wins-1-million-instead/460788258[/url]
60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?
to be fair, most are so yeah
like I see people in my own town who are addicted to these stupid ass NY lotto tickets, but they end up spending more than they ever gain
like they get amazed that they win 10$ but they ONLY SPENT like 500$ on them over years
I mean sure, you could win a mill, and that's cool and all, but if you're addicted to these things are you really that good with your money to boot?
[QUOTE=helifreak;51266576]60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?[/QUOTE]
Test of patience.
Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)
[QUOTE=helifreak;51266576]60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?[/QUOTE]
If you take payments over time im pretty sure it adds up to the 1 million, though it takes YEARS to get it. Taking the huge lump sum is what causes the huge taxes.
[QUOTE=Depe;51266586]Test of patience.
Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)[/QUOTE]
but don't you risk lousing it what if they stop paying it?
Ticket Lotteries are bullcrap. Even if you win the grand prize, you lose because the government takes 40-60% off of the prize money if you take option A, which kills the whole point of earning "$1 million".
TBH, she's still lucky that she won $400,000 out of $10 she bought the tickets with.
[QUOTE=maddogsamurai;51266596]Ticket Lotteries are bullcrap. Even if you win the grand prize, you lose because the government takes 40-60% off of the prize money.
TBH, she's still lucky that she won $400,000 out of $10 she bought the tickets with.[/QUOTE]
Yup, you're totally losing because you're getting $400,000 instead of $0 and that's definitely not a win.
[QUOTE=theevilldeadII;51266595]but don't you risk lousing it what if they stop paying it?[/QUOTE]
they won't stop paying you
[QUOTE=Perrine;51266605]they won't stop paying you[/QUOTE]
There's always a chance the lotto money dries up and if it does you're up shit creek.
Besides it was worked out here on FP during the "billion dollar powerball" thing that taking lump sum is a better investment vs payments because even though you lose more to taxes, over the course of the 30yr payment schedule you make way more off investing the lump sum than you would off investing each yearly payment.
[QUOTE=Snoberry Tea;51266604]Yup, you're totally losing because you're getting $400,000 instead of $0 and that's definitely not a win.[/QUOTE]
I'm saying she's lucky that she got $400,000 out of the ten dollars she bought them with instead of getting nothing in the end. The chances of winning that amount of cash is VERY slim.
[QUOTE=Perrine;51266605]they won't stop paying you[/QUOTE]
you have a lot of faith in the government
I'm not even tin foiling
[QUOTE=theevilldeadII;51266595]but don't you risk lousing it what if they stop paying it?[/QUOTE]
fortunetly state lotteries are run better than social security and they dont generally go bankrupt unless someone embezzles it
[QUOTE=Snoberry Tea;51266604]Yup, you're totally losing because you're getting $400,000 instead of $0 and that's definitely not a win.[/QUOTE]
You also lose because most states require your name to be publicized as the winner. Which makes you a target for scammers, long lost "family" members, every charity that exists, robbers, and even your own family. Winning the lottery really fucks up most people's lives.
Sadly I live in one of the states that requires you to publicly claim the prize, so even if I were given a ticket for a $250M powerball win, I wouldn't claim it because it would fuck my life over really badly. I'd blow it all on bodyguards and security, and be a shriveled, paranoid recluse in the vein of Howard Hughes in 5 years.
[editline]yeh[/editline]Hit the wrong reply button, but my point still stands. Don't win the lottery if you value your sanity/life.
[QUOTE=Depe;51266586]Test of patience.
Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)[/QUOTE]
Yeah, she was 57 (not that old, but still), so I can sort of understand going for the lump sum depending on how long it'd take to get the full payout.
I'm just surprised its 60%, I thought it was 30%, maybe it depends on if its a state lottery.
[QUOTE=markfu;51266889]Yeah, she was 57 (not that old, but still), so I can sort of understand going for the lump sum depending on how long it'd take to get the full payout.
I'm just surprised its 60%, I thought it was 30%, maybe it depends on if its a state lottery.[/QUOTE]
Honestly it's really just the reality of the tax brackets it puts you in.
[QUOTE=Depe;51266586]Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)[/QUOTE]
[QUOTE=Native Hunter;51266592]If you take payments over time im pretty sure it adds up to the 1 million, though it takes YEARS to get it. Taking the huge lump sum is what causes the huge taxes.[/QUOTE]
I'm pretty sure you still pay roughly the same amount of taxes, it's just that the lottery invests your money in something like U.S. treasury instruments and pays you more because of the interest. You might as well do this yourself
[QUOTE=zombini;51266888]You also lose because most states require your name to be publicized as the winner. Which makes you a target for scammers, long lost "family" members, every charity that exists, robbers, and even your own family. Winning the lottery really fucks up most people's lives.
Sadly I live in one of the states that requires you to publicly claim the prize, so even if I were given a ticket for a $250M powerball win, I wouldn't claim it because it would fuck my life over really badly. I'd blow it all on bodyguards and security, and be a shriveled, paranoid recluse in the vein of Howard Hughes in 5 years.
[editline]yeh[/editline]Hit the wrong reply button, but my point still stands. Don't win the lottery if you value your sanity/life.[/QUOTE]
Why not blow it off on $250M hooker, or 250M $1 hookers
[QUOTE=Native Hunter;51266592]If you take payments over time im pretty sure it adds up to the 1 million, though it takes YEARS to get it. Taking the huge lump sum is what causes the huge taxes.[/QUOTE]
I'd probably end up doing that just so I'd never be tempted to blow a bunch on dumb shit I didn't need.
I'm getting a refund from my college and I was planning on buying a VR headset as soon as I got it, but now that I've had around 2 weeks to think about it and it's still not here I've decided what more useful things I could spend it on.
[editline]27th October 2016[/editline]
[QUOTE=Snoberry Tea;51266609]There's always a chance the lotto money dries up and if it does you're up shit creek.
Besides it was worked out here on FP during the "billion dollar powerball" thing that taking lump sum is a better investment vs payments because even though you lose more to taxes, over the course of the 30yr payment schedule you make way more off investing the lump sum than you would off investing each yearly payment.[/QUOTE]
Actually that's a good point too.
you gotta take into account increases in cost of living over the years when you take the payment option. sure, you get more cash back than you would at once, but the buying power of those payouts will decrease with time as the cost of everything increases.
[QUOTE=helifreak;51266576]60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?[/QUOTE]
you can choose either a lump sum or to be paid in installments. to get the full million dollars you need to take it in instalments
[QUOTE=Depe;51266586]Test of patience.
Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)[/QUOTE]
[QUOTE=Native Hunter;51266592]If you take payments over time im pretty sure it adds up to the 1 million, though it takes YEARS to get it. Taking the huge lump sum is what causes the huge taxes.[/QUOTE]
[QUOTE=butre;51267499]you can choose either a lump sum or to be paid in installments. to get the full million dollars you need to take it in instalments[/QUOTE]
[URL="http://time.com/money/4172759/powerball-lottery-annuity-or-lump-sum/"]Time makes a good argument for taking a lump sum.[/URL] What state you live has a big impact too, on whether or not you pay state income taxes on lottery winnings. Of course, they're referencing the 1.5 billion powerball, which no matter what you picked would put you into the highest tax bracket (39.6%). Not even to mention what might happen over the next 30 years with the tax code (even in the next 3 months :v:).
All things considered. 1 million dollars or not, 400+ thousand dollars is a shit-ton of money. Especially considering she spent 10 dollars getting it. Nice to see it going towards something useful as well.
[QUOTE=helifreak;51266576]60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?[/QUOTE]
Because lotteries are illegal in the united states? Which has me completely confused on how they can then operate openly within the united states?
[QUOTE=Sims_doc;51267946]Because lotteries are illegal in the united states? Which has me completely confused on how they can then operate openly within the united states?[/QUOTE]
Because they aren't illegal? Gambling is perfectly legal in the US and states are free to regulate it as they see fit. The most I can find on a federal level concerning lotteries is that you can't sell them to people across state lines (people can come into the state and buy them, but they can't purchase lottery tickets from Kentucky while sitting at home in New York), certain information must be disclosed, and that lotteries can't send tickets to themselves.
[QUOTE=helifreak;51266576]60% taxes on lottery tickets? How can they advertise it at $1 million if the government just fucks off with the lions share?[/QUOTE]
In France the tax is already paid and taken care of by the system and the sum you get is the sum advertised initially.
They also offer you a bunch of classes on how to spend money and usually offer regular council to make sure you don't end up wasting everything away and become poorer than you were before you won.
[QUOTE=Depe;51266586]Test of patience.
Usually when you win a large sum of money through the lottery I believe they either offer it to you instantly in one lump sum, OR offer it to you in payments over time (where you'd get a lot more money back than option A)[/QUOTE]
Anyone who does the lump sum is kind of dumb. Pretty sure it wouldn't be hard to find a loan for the full amount with interest less than taxes would be.
[QUOTE=zombini;51266888]You also lose because most states require your name to be publicized as the winner. Which makes you a target for scammers, long lost "family" members, every charity that exists, robbers, and even your own family. Winning the lottery really fucks up most people's lives.
Sadly I live in one of the states that requires you to publicly claim the prize, so even if I were given a ticket for a $250M powerball win, I wouldn't claim it because it would fuck my life over really badly. I'd blow it all on bodyguards and security, and be a shriveled, paranoid recluse in the vein of Howard Hughes in 5 years.
[editline]yeh[/editline]Hit the wrong reply button, but my point still stands. Don't win the lottery if you value your sanity/life.[/QUOTE]
fortunately there are some workarounds a lottery winner could use, and the top solution is to contact a lawyer immediately to set up a private LLC with some generic group name to claim the prize, or something like that. essentially you create a business alias for yourself as you claim the prize so your identity can stay hidden. of course that means you'll have to handsomely pay up the legal team helping you on it, but it's for the best when your safety and your family's safety is potentially in jeopardy
[QUOTE=Biotoxsin;51268783]Anyone who does the lump sum is kind of dumb. Pretty sure it wouldn't be hard to find a loan for the full amount with interest less than taxes would be.[/QUOTE]
It really depends on how much money you win, I've read that lump sum makes more sense in almost all situations if you invest your money properly.
[QUOTE=Perrine;51266605]they won't stop paying you[/QUOTE]
Tell that to Illinois
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