# If you won the lottery, would you rather get the jackpot as a lump sum or in 26 annual payments?

Angie 2009/08/03 21:55:54
 If I win the lottery, I would want my money as a lump sum. If I win the lottery, I would want my money in 26 annual payments.
You!
When you win the California lottery, you have the option to receive your jackpot money as a lump sum or spread over 26 years. If you choose lump sum, you only get about 50% of the jackpot, but you get it all at once. If you choose the annual payment option, you will receive 100% of the jackpot, but the payments will occur once a year for 26 years. Your first payment will be 2.5% of the jackpot and each year you will get slightly more (about 0.1% of the jackpot more, with the 26th year yielding a payment that is about 5% of the jackpot amount). If you add up all the payments, it will total the full jackpot amount.

### Top Opinion

• NarcolepticGoat 2009/08/03 22:17:45
If I win the lottery, I would want my money in 26 annual payments.
More money than I would know what do do with or more money than I would know what to do with. Thats really a hard one. I'd rather have a steady stream while I learn how to grow it into more money than I know what to do with.

## More polls by Angie

### Sort By Most Raves Least Raves Oldest Newest text size Opinions

• DS in Oak Ridge NC 2012/02/11 23:13:29
If I win the lottery, I would want my money as a lump sum.
Invest it in Tax-Free State Bonds and live mostly off the interest/dividends, conserve principal except I'd pay cash for that Red Ferrari that I really need...
• ɹǝuuɐʇ ˙q 2009/08/14 19:44:34
If I win the lottery, I would want my money in 26 annual payments.
im still young, so id take the 26 yearly payments... unless it was just a couple mill. im thinking like the big lotto, like 26 million..
• Gazzali 2009/08/09 13:28:41
If I win the lottery, I would want my money as a lump sum.
It depends on how much I win.

http://www.proenrichment.com
• wolf sloan 2009/08/06 22:34:15 (edited)
If I win the lottery, I would want my money as a lump sum.
Because who knows how long the state is going to remain solvent?
• SHARON 2009/08/06 21:08:30
If I win the lottery, I would want my money as a lump sum.
Give me all my money at once.
• san 2009/08/06 19:15:49
If I win the lottery, I would want my money in 26 annual payments.
Less taxes and less of a chance to spend it all once.
• Rebel 2009/08/05 04:04:18
If I win the lottery, I would want my money as a lump sum.
Because I'm the best invesrtor I know. Martinis for everyone!
• Renesmee 2009/08/04 19:23:15 (edited)
If I win the lottery, I would want my money in 26 annual payments.
i'd rather get it little by little and get the full jackpot than get it all at once with half of the jackpot and it would last longer and b steady
• jacktown kid 2009/08/04 19:19:36
If I win the lottery, I would want my money as a lump sum.
One big lump Sum and go wild
• Aysohmay 2009/08/04 19:00:30
If I win the lottery, I would want my money in 26 annual payments.
Its always good to have a steady source of income
• roflstephy 2009/08/04 18:43:32
If I win the lottery, I would want my money in 26 annual payments.
They only thing that would really suck was if I died.
If I knew I was gonna die soon, I'd just get it as a lump sum, go do something crazy.
But other than that I'd want better control over all that spending stuff.
• professor71 2009/08/04 18:13:10
If I win the lottery, I would want my money in 26 annual payments.
Definitely in payments to curb any ridiculous spending so I'm not filing for bankruptcy in 3 years! lol
• MrsKaulitz88 2009/08/04 18:04:29
If I win the lottery, I would want my money in 26 annual payments.
That way I could manage it better, and it would last longer.
• Lanikai 2009/08/04 16:13:46
If I win the lottery, I would want my money in 26 annual payments.
That way you have a guaranteed income and some limits on access.
• painted desert 2009/08/04 15:47:04
If I win the lottery, I would want my money as a lump sum.
Well at my age, I would want to take the lump sum. Even though it's less. But if you can't make it on the well....But I don't think I'm going to have to worry about having to make that decision any time soon. :(
• mimi 2009/08/04 15:12:44
If I win the lottery, I would want my money as a lump sum.
pay the dam IRS and go celebrate
• Just MEH....Piwan 2009/08/04 14:13:30
If I win the lottery, I would want my money in 26 annual payments.
I tend to really spend, so it would be better for me to have the payments spread out!
• ~V~ 2009/08/04 12:56:31
If I win the lottery, I would want my money as a lump sum.
I want all my money now! they might try n trick u n the long run or if sumthn happens out the blue and u die, how u gon get ur payment then. even if it is 50% than the total, its more than what i got now lol
• littlebuffalo55TBA 2009/08/04 09:38:42
If I win the lottery, I would want my money as a lump sum.
Get the Lump! Ummm......what if you are 10yr.s in & one day your waiting for that check you then open an envolope with this in it?

In case you had not noticed? There is alot of that going on these days!
• JennyJe... littleb... 2009/08/04 10:28:48 (edited)
LUMP SUM....and not only might you wake up one day and find the I.O.U. but find this written on your toe:

THEN WHAT? GAME OVER! SO I would take the money ALL NOW!

• littleb... JennyJe... 2009/08/04 10:41:11
Exactly!
• ~V~ littleb... 2009/08/04 12:54:35
LMAO! SO TRU!
• Nowonmai 2009/08/04 08:12:37
If I win the lottery, I would want my money as a lump sum.
Lump sum here, seeing has I have a live in accountant who can advise on investments and how to make the money work for me.
• diaverde08-AmericanKilljoy 2009/08/04 06:59:21
If I win the lottery, I would want my money in 26 annual payments.
• Jeff 2009/08/04 06:56:14
If I win the lottery, I would want my money as a lump sum.
Lump sum if you can discipline yourself and invest it properly to minimize taxable gains and taxable income earned from the invested lump some money... Even if it amounts to 30% of the total of the annual payments option, if you can get a 6% annual rate of return (which is a reasonable rate of return), that 30% will double in about 12 years and again in another 12 years.

You're money will also compound with the annual payment option but there will be a significantly less amount working for you so it won't grow as fast. And you'll still get taxed on the annual income and a good chunk of it will probably be at the highest marginal rate..
• sasquatchette 2009/08/04 06:49:31
If I win the lottery, I would want my money in 26 annual payments.
Annuals, definitely. Sure you get more at once, but they discount it so much that the time value of the money isn't worth it.
• MrDazzling~ 2009/08/04 06:39:17
If I win the lottery, I would want my money as a lump sum.
With the direction of the country, lump sum.... and buy yens!
• mustangluver 2009/08/04 04:44:24
If I win the lottery, I would want my money as a lump sum.
Because i want it to draw interest in my bank...Plus the fact, i wouldn't want to wait a yr if i needed to buy something. No doubt about it.
• Katrina 2009/08/04 04:43:57
If I win the lottery, I would want my money as a lump sum.
I would take a lump sum mainly to make sure I did get it and invest some and share with my family to make sure our four grandkids were sure to go to college. I would also seek out several families that were really having a hard time and give them a sense of security.
• The Original 1 2009/08/04 04:37:23
If I win the lottery, I would want my money as a lump sum.
Because even as a lump sum, it's more money than I had before. I would just invest wisely and make sure it lasts. Put myself through school, etc.
• M 2009/08/04 04:17:32
If I win the lottery, I would want my money as a lump sum.
I'm greedy--I want it all.
• Jersey Dave 2009/08/04 03:59:31
If I win the lottery, I would want my money as a lump sum.
Hey you never know...
• chigger7141 2009/08/04 03:54:03
If I win the lottery, I would want my money as a lump sum.
There is no promise of tomorrow, so I would take the whole jackpot, so if I died my children would get the money.
• Iamhossmw 2009/08/04 03:52:36
If I win the lottery, I would want my money as a lump sum.
SHOW ME THE MONEY!!!!
• Rose 2009/08/04 02:39:07
If I win the lottery, I would want my money in 26 annual payments.
More responsible usage of the material provided
• boneman1 2009/08/04 02:14:22
If I win the lottery, I would want my money as a lump sum.
I want it all now. I may not last for 26 payments. Plus the way our government is spending, it may not be worth anything in a few years.
• Ann 2009/08/04 01:29:14
If I win the lottery, I would want my money in 26 annual payments.
If I won the lottery, I would want the money in annual installments so that I can be sure to have money in the future.
• mustang... Ann 2009/08/04 04:46:27
If you have a future....anything can happen, then the gov gets it.
• Irisheyes 2009/08/04 00:12:45 (edited)
If I win the lottery, I would want my money in 26 annual payments.
I'd go with the payments. The tax laws could change over time and you generally will pay more taxes when taking the lump sum. Getting it the other way would allow me to spend too much money on junk and thing I really don't need. I will give to charities more if I take the payments plan. I knew someone who won the Publisher Clearinghouse big prize (\$10 million after federal, state and local taxes she ended up with about 4 million). She had a crappy job as a cashier at a local supermarket, she had no car, she walked to work everyday. The moment she learned she won, she called up her boss and quit. She ran out right away and brought a fancy sports car and bought a house with more room then she needed, (I think it was 4,500 sq ft) put a large, huge pool in the backyard, professional landscaped with a waterfall and all, we lived in the northeast so she could only use the pool for 3 or 4 months a year. She got stuff for her siblings, her sister got a Mercedes, her father got a new truck, ATV for her younger brother (who flipped it and got badly injured. He lost his left arm which was reattached by surgery) and he sued his sister to pay for the medical bills and pay his living expenses because he was unable to work. The Judge agreed.

She went through the money like a drunken sai...''""'''""""
I'd go with the payments. The tax laws could change over time and you generally will pay more taxes when taking the lump sum. Getting it the other way would allow me to spend too much money on junk and thing I really don't need. I will give to charities more if I take the payments plan. I knew someone who won the Publisher Clearinghouse big prize (\$10 million after federal, state and local taxes she ended up with about 4 million). She had a crappy job as a cashier at a local supermarket, she had no car, she walked to work everyday. The moment she learned she won, she called up her boss and quit. She ran out right away and brought a fancy sports car and bought a house with more room then she needed, (I think it was 4,500 sq ft) put a large, huge pool in the backyard, professional landscaped with a waterfall and all, we lived in the northeast so she could only use the pool for 3 or 4 months a year. She got stuff for her siblings, her sister got a Mercedes, her father got a new truck, ATV for her younger brother (who flipped it and got badly injured. He lost his left arm which was reattached by surgery) and he sued his sister to pay for the medical bills and pay his living expenses because he was unable to work. The Judge agreed.

She went through the money like a drunken sailor very quickly. Last I heard she pissed almost all of it away, she had to sell her nice beautiful home because she couldn't afford to pay the property taxes on a 2 million home. She asked her sister to sell the car and she wouldn't do it, because she had declared it as a "gift", Had she taken the other option, she would certainly have a lot more money in the bank then she does now. For me that was a learning moment. A gift of money became a curse for her and her family who were always fighting over money ALL THE TIME. I don't think she has any contact with her family anymore except for her mom and stepfather. She's pretty close to where she was before the money landed in her lap. She had the sports car, she sold it and got a Toyota Prius. She did take college classes and got her degree so she has a better job. That's the only "real" change in her life. She works in an office for a Fortune 400 Company in the Purchasing Department where she makes about \$45,000 a year. There is still a small amount of money left from her "winnings" that was invested in the market and we all know how bad that got. Large sums of money always bring out the worse in people.
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• dreamwriter12 ✲the libraria... 2009/08/04 00:12:29
If I win the lottery, I would want my money in 26 annual payments.
I'd rather have the extra cash each month. If I had it all at once, I'd have to figure out how much of it would go to what (mostly paying off college loans, but still). It'd just be easier to get a little bit at a time.