Powerball Jackpot

[FlightlessDuck]

I think you might mean Warren Buffet and Bill Gates, Rick Warren is the Preacher who I bet would love to have that much money for his flock!!

Rick Warren "reverse tithes". He & his wife give 90% of their income to charity. He actually has made so much from his book sales that he currently does not take a salary from his church. But still, he doesn't have hundreds of millions.

I did forget Warren Buffet's name, though.

 

[msmouse]

I was waiting for a Powerball post.

DH bought 20 bucks worth.

I am going to pick a few numbers.

My sister is adding "Powerplay numbers" to her ticket since she is buying more than one ticket as well.

If I was the sole winner of that jackpot, I would never work again.

Really think about this. This much money could be a curse. You would not have a reason to get out of bed. I know we all say we would change lives with the money. While that may be true, can you imagine the agony of trying to decides who gets what.

 

[Snowflakey]

Boy do I hear ya - I'm literally saying to myself that I think it is TOO much money. I don't know if I really want that. How crazy is that? Twenty of us at work went in together and that I'm excited about knowing it would be split with the 20 of us so we wouldn't be getting as much.

 

[RedAngie]

If I win, I will buy the Disboard and all will be compelled to like my posts and say things like "Ricky Bobby you are always right". Those who do not comply with the previous statement will do so at their own peril. HaaaaHaaaaaaa (Evil laugh)

Hmmmm, by any chance did you run a now defunct internet forum about television shows? There was no pity. The woman who appeared to be head honcho for a few years didn't tolerate dissenting opinions very well, and I think anyone who failed to pay proper homage to Her Royal Highness at least once a week was banned. I was never a member because I'd never become such a brownnoser, but it was fun to read.

 

[MochaDrinker]

Hmmmm, by any chance did you run a now defunct internet forum about television shows? There was no pity. The woman who appeared to be head honcho for a few years didn't tolerate dissenting opinions very well, and I think anyone who failed to pay proper homage to Her Royal Highness at least once a week was banned. I was never a member because I'd never become such a brownnoser, but it was fun to read.

I read that forum too. In fact I read it when it was mighty big.

Powerball? I'd give money to my local hospitals to establish bigger psychiatric wards.

 

[RedAngie]

Because, as I said, many people believe that it is a U.S. lottery for U.S. citizens only. I myself was under that impression until I read about the winner from the middle east who won the Oregon lottery not long ago.

Somehow I totally missed this thread less than a month ago. It's one of the suggestions on the bottom. I heard about it elsewhere.

http://www.disboards.com/threads/iraqi-citizen-wins-6-4-million-oregon-lottery.3468236/

 

[Gumbo4x4]

19 year daughter bought her first lottery ticket yesterday. Someone at work is doing a pool this week.

$1.3 billion. That's unfathomable to me.

The crazy part is at $1.3 billion, you're still a nobody to people like Buffet, Gates, Walton, etc.

 

[Madame]

That's less. The top U.S. tax bracket is 39.6%, and kicks in around the $400K mark.

I was going by the source quoted in the articles attached. I have no idea if they are right or wrong, but it's a credible news channel... I might be mixing up different taxes though .

 

[bcla]

I was going by the source quoted in the articles attached. I have no idea if they are right or wrong, but it's a credible news channel... I might be mixing up different taxes though .

They're wrong about that. The standard federal withholding for large lottery winnings is 25%. However, lottery winnings are still taxed as ordinary income. Unless someone donates a ton or otherwise can deduct enough of that income, there will almost always be additional taxes due. However, I'm thinking there won't likely be a penalty for inadequate withholding such as with employment income.

 

[Liberty Belle]

Really think about this. This much money could be a curse. You would not have a reason to get out of bed. I know we all say we would change lives with the money. While that may be true, can you imagine the agony of trying to decides who gets what.

Not have a reason to get out of bed? Besides my kids, there's: Scottland, Argentina, Greece, Bulgaria, Australia...lots of reasons!

I do think it would be tough to decide who gets what if you win, say, 5 million or so, but over a billion? I think I'd be fine with that!

 

[FlightlessDuck]

The standard federal withholding for large lottery winnings is 25%. However, lottery winnings are still taxed as ordinary income.

Wait... what? So is it 25% or based on the tax bracket (ordinary income)? is 25% the floor?

 

[Liberty Belle]

Wait... what? So is it 25% or based on the tax bracket (ordinary income)? is 25% the floor?

I believe it's taxed twice - prior/upon your receipt of it (always 25%) and then taxed as income.

 

[bcla]

Wait... what? So is it 25% or based on the tax bracket (ordinary income)? is 25% the floor?

Federal withholding for lottery winnings is a flat 25% for any prize over $5000. However, taxable income is another matter. It could be possible to give away so much in tax deductible donations (although there is a ceiling) that a refund could be forthcoming.

The point is that the withholding isn't the end of the tax liability. The winner will still be subject to taxes, but the withholding has already given a huge chunk to the Treasury.

 

[bcla]

I believe it's taxed twice - prior/upon your receipt of it (always 25%) and then taxed as income.

Again 25% is the standard federal withholding. It's 28% if a SSN isn't provided. Taxes are due on the total income. I've noted that if enough donations are made, it might be possible to get a refund.

Nobody here has ever had income withheld? You know, an upfront payment in anticipation of taxes being due. Where there's a possibility of a refund or a balance due.

 

[bcla]

Just to clarify, imagine getting a lump sum of $400,000,000. 25% ($100,000,000) is taken right away by the Feds. If that's the only income for the year, it's going to be taxed at a top marginal rate of 39.6%.

If you ignore exemptions or deductions (which may be tiny in comparison) and marginal rates (I don't have the time to figure that out), the tax liability is less than $158,400,000. So they've already taken $100,000,000, so the balance due will be less than $58,400,000.

In some states, lottery winnings (if the tickets were purchased in state) aren't subject to state taxes. California tax forms include modifications from federal amounts for lottery winnings. Bro it would be possible to owe over a hundred million in federal taxes and zero in state taxes.

 

[dodukes]

i had to cough up $6 for the pool at work, i think its a total waste of money but you never know and I don't want to be the only left working LOL

 

[Dentam]

Bought a ticket with power play today. This makes $9 I've spent since last week on powerball tickets - way above my annual average!

 

[PollyannaMom]

I bought the power play option for the first time as well. On some level, I think I might actually be happier winning $2 million (the "small" prize, doubled) than the big jackpot. It would certainly be far less pressure!

 

[Dentam]

I bought the power play option for the first time as well. On some level, I think I might actually be happier winning $2 million (the "small" prize, doubled) than the big jackpot. It would certainly be far less pressure!

Same here - heck, I'd be overjoyed with the 50k prize times whatever the multiplier is for the drawing! Two people here won 150k that way in Saturday's drawing.

 

[Tikitoi]

I have four tickets for the drawing, 2 of them have the same actual Powerball number...So hoping I at least get the PB. And did the power play as well...

And I would definitely still have a reason to get up every morning...