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What would you do if you won $40 million?

Stoked said:
You figure that in the US you would take roughly 1/2 that home after taxes. So let's say 20 million to keep it simple. Even if you just stuck it into an account with %3 interest that is 600,000 a year in interest. I could live off of that just fine.

So in short I'd retire and do all the things I want to do. Like travel.
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Good luck finding 3% interest nowdays... BTW, if I am not mistaken, with lottery winnings you can take "lump sum" which is 60% of the won sum or the whole amount as spread payments over a number of years. You are always better off taking the lump sum of around 25mil, then substract 1/2 in taxes - thats around 12 mil. Certainly will give you social independence, pay for college for your kids and let you travel but not an amount that you could live like a king. I've also heard several stories of (previously poor) ppl winning lottery and spending it all in a matter of few years.

Careful investment would preserve your capital, for sure...
 
dodo said:
Good luck finding 3% interest nowdays... BTW, if I am not mistaken, with lottery winnings you can take "lump sum" which is 60% of the won sum or the whole amount as spread payments over a number of years. You are always better off taking the lump sum of around 25mil, then substract 1/2 in taxes - thats around 12 mil. Certainly will give you social independence, pay for college for your kids and let you travel but not an amount that you could live like a king. I've also heard several stories of (previously poor) ppl winning lottery and spending it all in a matter of few years.

Careful investment would preserve your capital, for sure...
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If you go deposit 20+ million into a bank you get all sorts of little bonuses that normal accounts dont get.

I agree on the investment part of it though. I was just pointing out that simply throwing it in an interest bearing account would earn you money.

I could live exactly how I want and not spend 600k a year.
 
dodo said:
Good luck finding 3% interest nowdays... BTW, if I am not mistaken, with lottery winnings you can take "lump sum" which is 60% of the won sum or the whole amount as spread payments over a number of years. You are always better off taking the lump sum of around 25mil, then substract 1/2 in taxes - thats around 12 mil. Certainly will give you social independence, pay for college for your kids and let you travel but not an amount that you could live like a king. I've also heard several stories of (previously poor) ppl winning lottery and spending it all in a matter of few years.

Careful investment would preserve your capital, for sure...
Click to expand...

I would take the whole amount spread out so I know I never have to worry about money again.
So if I blow everything I have or get robbed or whatever then I know next year I get whole bunch of money so its all good
 
Invest. Set myself and my family (parents, sibs, etc.) up nicely, then travel a lot. But first thing would be to quit the day job. I will keep my night job as John Wang the full-figured cowboy stripper.
 
I'd run for Utah legislature and propose bizarre bills to troll the always outraged crowd. Things like "Roadkills to Christmas Meals to cut the unnecessary food stamp program".
 
After posting that taking the lump sum is better, I actually googled it to confirm what i have read in the past was acurate and came across a fairly recent article that address that conundrum

https://www.businessinsider.com/sho...or-the-lump-sum-if-you-win-the-lottery-2013-9

I hope one day to be faced this dilemma, though the fact I don't buy lottery tickets makes it somewhat unlikely...

What this article doesn't address is that different states also have different laws about what happens when you die. I read that if you take the annuity and something happens to you, some states continue payment to your relatives, but some states stop and forfeit the money...
 
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