Powerball Lottery
- Thread starter John-W-WI
- Start date
Tree Spud
5 year old buck +
i think i am the only person on the planet that would take the annuity. i would declare my residency in Wyoming and they have zero taxes on lottery winnings!! I think over 20 years in WY you would net over 1BB. I would have a hard time handing over 400MM just to get the cash up front. I know it's petty and I am going to put myself on an island, but I would never take the cash up front.
bwoods11
5 year old buck +
Actually not a bad idea. I'd probably do the South Dakota residency. With one big pheasant and deer ranch. No state taxes.
Turkey Creek
5 year old buck +
You could change your life and the lives of every descendent for the forseeable future if you invested it wisely.
Bowsnbucks
5 year old buck +
Just so you know - the REALLY RICH people don't put their money in the stock market. Did you know that ?? They buy T-bills so their money is backed by the U.S. government. The stock markets can turn on a dime and stay crappy for years. If you invest the winnings in the market, it could ALL DISAPPEAR !!! Feeling a little queasy about your 401-K now ??? No guarantees on that whatsoever.
I'd take the cash, buy some T-bills, a couple fat annuities, and a very large piece of land - say 5000 acres or so !!
I'd take the cash, buy some T-bills, a couple fat annuities, and a very large piece of land - say 5000 acres or so !!
I know two people personally who are pretty loaded.. net worth each approach the BB mark. They have a lot of money in off shore accounts and both have multiple LLC's set up and lots of companies meaning the LLC's lose money and things are written off. They don't discuss "money" too much but what they have shared is off shore stuff and it has to do with international business ventures which always fail, wink wink. I know both heavily invest in real estate commercially.
bwoods11
5 year old buck +
If you go to the 20 richest people in America. At least half have made their wealth from stock.
Warren Buffett-Berkshire
Bill Gates-Microsoft
Larry Ellison-Oracle
Steve Jobs Estate-Apple and Pixar
Walton Family--Walmart
M Zuckerberg-Facebook
They make their money by building s company and then it goes public. It's still stock. They don't just invest in T Bills. Two of the richest Americans Ted Turner and John Malone sold some of their stock and purchased land. Those two are the largest landowners in the US.
Bill
Administrator
You may be 100% correct, I have no idea. But I don't think the really rich like to loose money. A 1 year Tbill is currently paying just over 1/2% that falls below the inflation rate and is essentially loosing money annually.
j-bird
Moderator
It would bring a whole new level of problems. It would be nice to be financially secure and be able to have some toys and the like, but this 1.4billion is way to much. You would actually work more trying to manage it and keeping others from stealing from you than ever before. I can't imagine the stupid lawsuits people would file or the things they would stoop to. I think you would work pretty hard even giving it away at a reasonable rate as well. Money does weird things to people - especially when it's all at once.
for the record my peeps don't make that list LOL!!! I don't see those folks doing Tbills. I think Warren Buffet is in a lower tax bracket than his secretary. :)
There is something nice about as my friends say. "privately held" LOL. They will NEVER EVER go public!!! They both report to NO ONE.
There is something nice about as my friends say. "privately held" LOL. They will NEVER EVER go public!!! They both report to NO ONE.
Bowsnbucks
5 year old buck +
UP - That's nice if you can build your company(s) without public funding/financing.
Bwoods 11 - I agree. They MADE their money from starting companies / cutting edge science. But most of them PRESERVE their wealth by stashing at least some of their fortune in T-bills. I read that in a financial publication a few years ago - Forbes, Fortune ..... one of those types, I don't remember which one. I think they use that money as a safety net in case of market crash, legal problems for their company, etc. Some of the folks mentioned in that article were the likes of the DuPonts, Kennedys, Vanderbilts, Morgans, Rockefellers, etc. Wealth building is one thing - wealth preservation is another.
I read a lot of Buffet's writings / comments. He has recently revealed that upon his death, a large % of his money will go into the Vanguard Total Stock Market Index fund for his wife and heirs, trusts, etc. That makes sense - extremely low fees and exposure to all sectors of the market. Cover all bases - and with tiny expenses ratio.
Bwoods 11 - I agree. They MADE their money from starting companies / cutting edge science. But most of them PRESERVE their wealth by stashing at least some of their fortune in T-bills. I read that in a financial publication a few years ago - Forbes, Fortune ..... one of those types, I don't remember which one. I think they use that money as a safety net in case of market crash, legal problems for their company, etc. Some of the folks mentioned in that article were the likes of the DuPonts, Kennedys, Vanderbilts, Morgans, Rockefellers, etc. Wealth building is one thing - wealth preservation is another.
I read a lot of Buffet's writings / comments. He has recently revealed that upon his death, a large % of his money will go into the Vanguard Total Stock Market Index fund for his wife and heirs, trusts, etc. That makes sense - extremely low fees and exposure to all sectors of the market. Cover all bases - and with tiny expenses ratio.
