How Do So Many Powerball Winners Go Broke?
Once again nobody won the Powerball Lottery, and as of 10/04/23, the jackpot is up to $1.2 Billion.
So what should you do with that kind of money?
Most people have BIG dreams and desires and go on massive spending sprees.
The average lottery winner is usually broke, or even in debt, around 2 years after winning.
The best idea is to take all of that money and invest it.
Never spend the principal.
Watch the video below featuring the DUMBEST lottery winners of all time.
With a winning that large a person will earn millions, every year, in interest payments and dividends.
SPEND THAT! Never touch the principal.
Then you'll be rich the rest of your life, and beyond.
So, are you salivating over winning $1.20 billion?
Well, get over it.
Sorry to break it to you but if you win you don't actually get all of that money, thanks to your greedy government.
If you live in a state that doesn't have a state income tax you'll get to pocket more money than others may have.
You can ask for your winnings in monthly checks.
But there is no guarantee that the government will still have that money in the coming years. America is deeply in debt.
Also, inflation and ever-increasing taxes will chip more and more from your winnings every year.
That's why most people go for that one lump sum payment. They take their money while the government still has it and at today's tax and inflation rates.
With the lump sum payment, the federal government takes 24% of the winnings off the top. But they are not done. You will owe the rest of the tax — the difference between 24% and 37% — at tax time next year.
The lump sum payout ends up becoming a lump sum payout worth $551.7 million, not $1.20 Billion.
So, if you win, be smart with your money.
Invest rather than spend!
Then enjoy those large investment gains for the rest of your life.
Elegant Three-Million Dollar Casper House Is a Dream Come True
Gallery Credit: Jake Bigelow