Reality vs Fantasy regarding winning the Lottery

[Hakuna Matata]

I rarely play the lottery, maybe once a year when the numbers get super big and I happen to remember to buy a ticket. As a fantasy it sounds great to have ALL the money one could ever want, etc but I wonder if the reality would/is very different.

But I was discussing this the other night with my wife and daughter after my daughter mentioned how cool it would be to win the lottery. So I mentioned that although it sounds great, I doubt the reality would be as cool as it sounds. I think if you could claim the prize without anyone knowing that would help. But we live in a small rural community outside Seattle where everyone knows everything about everyone.

I 'love' my current friends and activities, but if I won the lottery I am not sure those relationships would stand the test. Most of our friends make excellent money but lottery money is quantum leaps above that. I think just having that money would put a huge strain on those friendships. No one would say anything but my gut feeling is that I would love those friendships which sucks as we have great friends. But I think people in general have friendships with people roughly in the same income bracket. My friends make good money but they aren't going to jetting off to Europe on a whim which I could do if I won the lottery. Sure I could pay for them but even that would harbor resentment over time I think, no one wants to feel like they are getting a handout, etc.

I go to a very good local blue collar pub every Friday with my wife for drinks and to listen to music, sort of like our Cheers. If I won the lottery I would think that there would be some expectations for me to buy drinks, etc, or loan requests, or who knows. I just think that one of the things I love to do now would never be the same--doesn't mean I wouldn't or couldn't find a replacement activity (Since I have tons of money!) but it would be very different.

Plus I doubt I could ever trust any of the 'new' friends that came out of the woodwork. It would all become about money at some point and I like money and I need money, but I to date have never based my decisions in life on money. I would hate for that to become my new priority.

So I was just curious as to what people here would think if they honestly did win the lottery vs just fantasizing about it. Would you be okay losing your current friendship/lifestyle or do you honestly think none of that would change? For me it is a great fantasy but honestly I am not sure I would want the reality of it. I like my life pretty much as it is right now to be totally honest.

[Balthisar]

Wouldn't change. I'd collect anonymously. My life is good, so why change it? The only thing people would notice is some home improvements, more frequent vacations, and maybe more working from home than normal.

[Projammer]

Originally Posted by Balthisar

Wouldn't change. I'd collect anonymously. My life is good, so why change it? The only thing people would notice is some home improvements, more frequent vacations, and maybe more working from home than normal.

Wouldn't work. Most lotteries have a provision for collecting that your identity be public. Consider the reaction if the lottery commision said, "There was a winner, but we can't tell you who it is." You might be able to get around it by setting up a trust through a law firm, but the truth will eventually come out and that money will have just been thrown away.

You're right about the strain on the relationship with your current friends. So you'll move into a higher class neighborhood where they won't accept you because you didn't come by your riches honestly. Better to just send the winning ticket to me and avoid all the problems.

[robardin]

Ideally you'd claim it anonymously but really - do YOU know who won the last couple of lotteries? Unless you made it public knowledge, would people even know?

And, can you set up a legal alias before claiming the prize? In my case I might opt to use my Chinese given name rather than the "Anglicized" name on my birth certificate (I'm a secod-generation Chinese-American). Since I live in a part of NYC with a lot of Asian people this would definitely fly under radar. Only a few close friends would recognize my Chinese name, and even if they saw it associated with a lottery winner they would probably think it was a funny coincidence (until I started taking more and fancier vacations or restaurant trips than usual ).

Me, I think I'd mostly live my life the way I do now in terms of things I enjoy spending money on; I'd just do it more frequently. And I suppose when I flew, it'd be first class instead of steerage.

I quite enjoy my life now and would view a lottery win not as a life changing event, but a stress changing event. I'd pay off my mortgage, maybe upgrade my house (and maybe not...), maybe get a vacation home somewhere. I'd quietly help out my most desperate friends, perhaps anonymously (I have one or two good friends who at age 40 are still paying off student loans). I'd set up trust funds for my kids and even for myself, so that I'm basically living off interest equal to about 150%-200% of my current income, but with no debt, and not have to worry about how to put 3 kids through college. I might not even quit my job, but all the pressure of not advancing "up the ladder" or fear of losing it would be gone - and I might ask for reduction in hours or a consultancy gig instead of a FT role so I could have more free time enjoying my freedom.

[Airman Doors, USAF]

Originally Posted by robardin

Ideally you'd claim it anonymously but really - do YOU know who won the last couple of lotteries? Unless you made it public knowledge, would people even know?

Everybody you know and everybody who knows you would know. The problem isn't random people coming up and begging for money, it's "friends" that do so, because that strains your relationships with them. If you pay they act like they deserve it because what the hell, you just won it anyway, it's not like you earned it. If you don't you're a selfish, greedy bastard who only thinks of himself. See the problem?

[Maeglin]

Originally Posted by robardin

Ideally you'd claim it anonymously but really - do YOU know who won the last couple of lotteries? Unless you made it public knowledge, would people even know?

From the Powerball FAQ:

CAN I REMAIN ANONYMOUS WHEN I HIT THE JACKPOT?

All but four states (DE, KS, ND, OH) have laws that require the lottery to release the name and city of residence to anyone who asks. Other states may offer to assist you in some way, including such things as the creation of trusts. But generally, you may wish to hire an attorney to review the laws in your state to see what options you might have. Photos and press conferences are up to you for most, but not all states. Check with your state lottery to see if photos or more are required. Most of the time, it is advisable to get it over with the press so that you don't have one or more reporters following you around to get that "exclusive" interview.

[F. U. Shakespeare]

If I won the lottery in one of the few states where you can collect anonymously, I would do so, and continue working. I think it would be fun to do good things anonymously with the money, like Sinatra used to.

If I had to be identified, and if it were one of those huge jackpots in the tens of millions, I would figure out how much I needed to continue living as I do, invested in something safe and diversified, plus some prepaid medical services. I would keep that amount for myself.

I would take the same amount and distribute it among family and close friends, making it understood that this was all I was giving them.

Then I'd publicly give away the remainder to something like the Red Cross or the World Health Organization. When people subsequently came to me for more money, I would remind them that I gave most of it away.

All moot, since I rarely play the lottery.

It is amazing how many lottery winners end up ruined a few years later.

[Bosstone]

It's not a huge help, but I did see one suggestion in a previous lottery thread that I really like: friends may ask for exactly one boon and no more. Anything more is purely on your goodwill.

Either that or set yourself up like a godfather. Grant requests on your birthday.

[Toucanna]

I sometimes play when the state's jackpot is over $26 million. I figure by the time they take the taxes out, what I have left will let me live comfortably without the worries that plague the uber-wealthy. That said, I would consult a financial adviser before I collected my winnings. FWIW, I don't kid myself when I buy a ticket. I know I'm not buying a chance to be wealthy, I'm just buying the right to fantasize about having a chance to be wealthy.

[elbows]

Sure, everybody thinks they'd just keep their old life but it's not that easy.

Having lots of money would change your motivation, I think. Yeah, you like your job, but if you didn't need the paycheque you wouldn't be as motivated, as you believe, to haul your ass out of bed and clear snow from the drive to go to work, even if you bought yourself a snowblower.

And once you're not motivated by the same things that motivate your friends life is going to change. Who are you going to hang with, all day, after you get fed up taking shit from your boss one day?

I certainly don't see winning the lottery as all sunshine and roses, but there are worse things, in my opinion.

[Taters]

I buy lottery tickets every once in awhile, realizing it's just a fantasy.

To answer the OP's question, I think it would depend on the jackpot amount. Two or three million is not enough to quit work and think I'm going to live the good life, because I'd take the installment payments. I've heard all the arguments for taking lump sum, but honestly, I'm more comfortable with the idea that I'd have 60 or 90 grand coming to me every year, in addition to my work income.

If I could, I'd keep it quiet. I'd use the money to help pay my kids' college bills, pay my bills off, maybe take an extra vacation or two. It wouldn't be life-changing, but would offset a great deal of stress regarding bills.

My closest friends are quite financially comfortable, in fact one is really, really, really comfortable, and none would come to me for help. I'd offer it, it was truly needed.

Now, if we're talking 10s or 100s of millions, things would be different. I'd set up a corporation with myself, husband, kids, sisters, mothers (bio, MiL, step-mom) and Dad, along with four very special friends. That way, there's no hassles, no expectations, and everyone is responsible for taxes and managing their own money.

I'd probably move too.

[kunilou]

I knew a couple who won. You'd think $10 million spread out over 20 years would set you for life, but a combination of high-living and poor investments has put them pretty much back where they started.

They pretty much lost all their old friends. How much of it was jealousy on the part of the friends, and how much of it was jerkish behavior by the couple, I can't say, but the bridges have been burned.

[Taters]

Wow, that's pretty sad. Didn't they put some aside in IRAs, investments, even savings accounts or anything? That's what I'd do.

Well, I'd be talking to a financial adviser before anything, but that's just me.

[Rigamarole]

Originally Posted by kunilou

I knew a couple who won. You'd think $10 million spread out over 20 years would set you for life, but a combination of high-living and poor investments has put them pretty much back where they started.

Originally Posted by Taters

Wow, that's pretty sad. Didn't they put some aside in IRAs, investments, even savings accounts or anything? That's what I'd do.

Think about it: the kind of people who regularly invest in lottery tickets are not the kind of people who understand how to make wise investments. It's really quite common for winners to squander everything.

[Balthisar]

Originally Posted by Projammer

Wouldn't work. Most lotteries have a provision for collecting that your identity be public. Consider the reaction if the lottery commision said, "There was a winner, but we can't tell you who it is.

Oh, they could certainly publish that the QWERTY Trust won the lottery. There's no reason in any state that I'd have to collect the winnings in person.

Plus, lots of people have won the lottery. I don't know the names of any of them. If my neighbors or family won the lottery, I'd have no friggin' idea. Unless I observed a radical change in their behavior and asked, I'd have no clue that they won the lottery. I'd have to say that this is true of most people. Poll coming!

[pulykamell]

To be completely honest, I don't know how I would handle winning the lottery. I don't play, so it's not going to happen to me, but I've always thought that think kind of massive cash influx (if we're talking a serious jackpot, like in the $20M+ range) would unhinge me psychologically for awhile. I know that sounds weird, but I'm not sure I could handle that kind of upheaval gracefully. Yeah, I'm sure I'd get used to it after a little while, but it would be surreal and weird for a good long bit, and I don't really like feeling that way.

[Shamozzle]

I think it's funny when people say stuff like, "When it gets up to around 40 million, then, yea, I'll play. I'll buy a few tickets."

So, what, like 20 million is chump change? You either think the lottery is a good idea or you don't. How can one's decision to play hinge on whether the jackpot is many millions or many, many millions?

"Oh, honey, do you want to stop and buy some lottery tickets?"

"Nah. The jackpot's only 20 million dollars. So not worth it"

[shijinn]

especially since the surge in interest would probably result in a shared pot smaller than half of that 40 million..

i think the OP is interesting without the choice of anonymity. money or your friends?

[obbn]

I play a couple of dollars every week, specifically two dollars. As said above, I realize the chance of winning is almost zero, but those two bucks provide enough of entertainment through fantasy to be worth it.
On the off chance I would win I can without a doubt say my life would change dramatically. But I think that the real joy of winning would be the ability to help friends and family. It would be difficult however, because you would be walking a fine line between helping and being expected to help. Also, I wonder what the tax impications are when it comes to helping? Say if I won and I wanted to pay off my sisters home. Let's for argument sake say she owes $150k on it. If I pay it off will the government want her to pay taxes on that winfall? If they count it as income she could owe $40k in taxes due that year, not much of a help to her I would say. In that case would it be better to just buy her home in my name and let her live in it as long as she wants with no mortgage/rent?
A great fantasy, but sadly I don't think it will ever happen. Would be nice to experience life without the worries of having enough money. And nice to live life knowing you could help people. And of course a little "bling" wouldn't hurt either!

[leahcim]

Originally Posted by Shamozzle

How can one's decision to play hinge on whether the jackpot is many millions or many, many millions?

Depends on how many tickets are typically sold.

If a ticket costs a buck, and 30 million are sold, and the jackpot is $20 million (after taxes/expenses/&c) then the expected return on a ticket is less than $1, and it would be silly to pay $1 for it.

If the after-expense jackpot rises $40 million, and the same number of tickets are sold, the expected return on a ticket is more than $1, so buying one becomes more rational.

[shijinn]

Originally Posted by leahcim

... and the same number of tickets are sold, ...

that's a big if.

[Projammer]

Originally Posted by Shamozzle

I think it's funny when people say stuff like, "When it gets up to around 40 million, then, yea, I'll play. I'll buy a few tickets."

So, what, like 20 million is chump change? You either think the lottery is a good idea or you don't. How can one's decision to play hinge on whether the jackpot is many millions or many, many millions?

"Oh, honey, do you want to stop and buy some lottery tickets?"

"Nah. The jackpot's only 20 million dollars. So not worth it"

In my case it's the understanding that money spent on the lottery is essentially thrown away. I'm just minimizing the amount I throw away. With the minimum I've set up the last time I played was about three years ago.

[elbows]

Some people see the lottery as a way of taxing dreams. Many players see it as worth $2 to dream that dream, knowing full well they'll likely never win. But then, how will you know it's your lucky day if you don't play games of chance?

[drastic_quench]

You don't collect right away. You have a certain time frame to work with. Tell no one, but hire yourself some lawyers and money managers. Then collect as quietly as possible.

I would change my life radically, but as few people as possible would ever be told that I won. I'd tell more people I had AIDS than I'd tell I won the lotto. My immediate family could be sworn to secrecy, and my "cover story" would be that I work from home - which would be somewhat true.

[EvilTOJ]

If you told them all you had AIDS they'd definitely leave you alone

I know money would change me. I would come up with a spectacular way of quitting my job, and living like a rapper for a year. I'd have my mom help with an investment planner and get most of the cash into investments so I wouldn't be tempted to spend it. Once the money's out in the wild making interest for me I'll forget all about it once I get my liquor and hooker budget set up.

[andrew.]

Cool thread idea, OP.

If I won, say, $20,000,000 tomorrow, my life would do a complete 180 and I would evaporate from the life of everyone who knows me right now. I would, for all intents and purposes, have died to everyone that I've ever met so far in my life, apart from family. There is nothing in my life meaningful enough to me right now that I wouldn't abandon in it completely if I had the financial ability to. This is not apathetic at all, it's simply that at 20 years old you (or at least I) have had little time and ability to accumulate things or build a life all that much. If I won the lottery I'd hit the road tomorrow, I'd be gone like smoke on the wind and I wouldn't share a damn thing with anyone I know, because I don't know anyone I'd want to share with, except possibly my family, and even then I doubt I'd come running into the room shouting I'd won the lottery. More likely, I'd just help them out here and there and become mysteriously deaf to questions about where I'd got the money, and perhaps only come clean if someone suspected I'd got it illegally.

I won't bother posting up what I'd do with 20 mil because I don't play the lottery at all and I don't know if I ever will, and posts like that are really only interesting to the people writing them, but I can say with certainty that money would not change me - it is a lack of money that is changing me. Perspective and semantics, perhaps, but that is how I see it - I wouldn't be living differently months from now if I won the lottery, I'm living differently now because I don't have that money. I know myself well enough to know exactly what I'd do with an unexpected windfall, and I'm not going to paint myself in a better light than I know is true. It's why I've always disliked those morals to the story, any story, where one character achieves riches or success and it's supposed to be a sad, sorry state of affairs that he abandons his friends, the friends he made before he was so well off - who's to say most people aren't like that? Who's to say most people aren't rich snobs waiting to happen? I would never be a rich snob because I have no interest in impressing other people and I know money would not change that, but I personally wouldn't be abandoning my friends because I have very few and they're really just disguised acquaintances anyway, but that idea has always half-irritated me, talking like everyone becomes a complete dickhead when they get rich - maybe they're dickheads already and all money did was allow them to express it.

[Hello Again]

I don't play the lottery unless the pot is over $100 million -- around $50 million after taxes.
I have a complicated plan which involves putting around 10 million in various trusts for family and closest friends, leaving the country for several years, and returning to settle in a different state than the one I won the lottery in.

I'm not the sort of person who needs a gold-plated BMW so I think I'd have no trouble living off the interest, with the occasional splurge.

[msmith537]

I normally don't put a price on friendship...and yet...here we are.


It is impossible to NOT be (or at least appear to be) a dickhead after coming into a huge windfall. For the simple reason that all those problems that your friends and family deal with every day - rent, work, bills, whatever - they all go away for you. No more "can't afford christmas gifts for little Jimmy and Susi". No more "Old Man Shitboss is busting my chops again". No more worrying about car repairs or fixing the roof or any of the other crap that most people have to deal with. Eventually all those friends and family who still have to deal with that crap simply won't be able to relate to you and you won't be able to relate to them.

[Annie-Xmas]

If I won I would want my name and photo on the front age of every newspaper in America, if not the world.

Then I could tell every single person who contacted me to fuck off.

[Bosstone]

Originally Posted by msmith537

Eventually all those friends and family who still have to deal with that crap simply won't be able to relate to you and you won't be able to relate to them.

I would buy out my immediate family's mortgages and give my current house to my mother. It'd come to less than a million all told and would make their lives vastly simpler, even if they couldn't go jetsetting like me. Though to be honest, both of my parents have pretty cushy jobs where they take vacation like every other month anyway. They might just be happy I'd actually have time to spend with them.

[elbows]

If I won I would want my name and photo on the front age of every newspaper in America, if not the world.

Then I could tell every single person who contacted me to fuck off.

More info please! I don't think I'm understanding. Why would you want your picture in every paper? And why couldn't you just tell, everyone coming out of the woodwork, to Fuck Off anyway? How is it connected to your photo in the paper?

[Tristan]

Eh. My friends were my friend long before I had those kinds of concerns. And I like to think that most of my friends are the sort who wouldn't expect me to hand out large sums of cash just to make them happy.

The wife and I play on occasion, but not very often. I like to say that $5 every few months is like paying for the day dream, and how knows? Random chance is just that... random.

We have long said that upon confirming we are winners, we make 2 stops on our way to the lottery office... a lawyer, and a financial planner.

My biggest concern would be the wife and I disagreeing about our living arrangement... I want to move into a bigger house, with a yard. she wants to fix up our yardless crappy house.

Some friend would get surprises, some family would get some help, but most of the money would be invested and lived off of very comfortably.

[Annie-Xmas]

Originally Posted by elbows

More info please! I don't think I'm understanding. Why would you want your picture in every paper? And why couldn't you just tell, everyone coming out of the woodwork, to Fuck Off anyway? How is it connected to your photo in the paper?

Because people who are in the newspaper for winning lots of money get contacted by many people they do not even know. More people to tell "Fuck Off."

[elbows]

Oh, now I get it. You want your photo in the paper to maximize the number of people you get to tell to fuck off. Interesting approach, and not one I've heard before!

[perfectparanoia]

My husband and I each have a sister and parents and we have two sets of friends that are family.

We would start off with a 'what do we want' calculation. Honestly, I don't want to be rich. I would like to not have to clip coupons and to have a maid and to be able to have one of us not have to work. But I love my job so would probably stay on.

Once we had done the calcluation on that (to include our new bigger house, college and our retirement), we would divide what is left between the people above (pretty much equally). Hopefully, it would be enoug that they would then be in a similar position to us (more freedom but not rich).

Anyone who isn't in the above list, I am not too worried about their reaction nor do I care. I know of a few extended family members who will pop out of the woodwork and I would tell them too bad, so sad.

[SCSimmons]

Originally Posted by Balthisar

Plus, lots of people have won the lottery. I don't know the names of any of them. If my neighbors or family won the lottery, I'd have no friggin' idea. Unless I observed a radical change in their behavior and asked, I'd have no clue that they won the lottery. I'd have to say that this is true of most people. Poll coming!

You're missing the impact of 'six degrees of separation'. Even if you didn't notice your neighbor won the lottery, somebody would. Then it's, "Hey, I think my old buddy Joe grew up in Lottoville--I wonder if he knows that guy?" "Never heard of him, but I'm still in contact with these other folks who still live there, maybe one of them ..." Eventually an e-mail, tweet, or Facebook status update will turn up in your information flow--"Hey, I heard ol' John Smith hit the jackpot! Has he bought a solid-gold Cadillac yet?"

Originally Posted by Projammer

In my case it's the understanding that money spent on the lottery is essentially thrown away. I'm just minimizing the amount I throw away. With the minimum I've set up the last time I played was about three years ago.

Yep. I probably buy three or four lottery tickets a year--if I'm only going to buy a few, might as well buy them when the expected value of a $1 ticket is $0.85 instead of $0.15. Set a high jackpot criteria for buying tickets, and you kill two birds with one stone.

[BrknButterfly]

I have always thought that if I ever won the lottery, I would buy my dream house (it would be around 500K. Nothing in the millions) and buy a reliable car. The rest of it would be put in a trust where I would be alloted the interest that was made on the money. Though if it was a crazy amount (more then, say, 10K) I would lower it.

I'm not a materialist person and I don't want to become one.

One thing I would do is pick 5 people that have been the most influential in my life and make an anonymous gift to them.

[MsRobyn]

I had a lunchroom conversation with a financial planner I used to work with. He specializes in high-worth clients (aka rich people), so he's used to dealing with this kind of money. It started out as idle conversation between a smallish group, but he had some good points.

He strongly advised that the lucky winner hire a) a publicist to work out a viable plan to get you to a level of privacy you can live with, and to tell people to fuck off on your behalf; b) a financial planner so you don't spend yourself broke; and c) a lawyer or firm with a lot of experience in tax law, trusts and estate planning so your money winds up wherever you want it to wind up. Ideally, they should work together so you can meet your goals.

This is, of course, idle musing since I don't play the lottery.

[GoodOmens]

I sometimes talk to my students about lotteries, when we are working on things like statistics, probability, or compound interest. My first advice to them is "don't play the lottery." My second is, just like MsRobyn said, if you win a substantial amount, hire a lawyer. A good one, an expensive one.

[TruCelt]

Well, to start I know who my friends are. Some already make substantially less money than I do, and it's not an issue between us. They know that I love having them along for things they can't afford, and they have the grace necessary to ignore the price tag and just be a good friend. I don't think anything would change with them.

I also have some friends who have substantially more than I do. Those are the ones who might be problematic, as they don't have that sort of humilitiy, and I think secretly enjoy being the income leaders of their pack. (I notice they don't have any friends higher than themselves on the income scale.) I'm not sure whether I'd be able to keep them, as the differences in our priorities would be thrown into the spotlight.

I have one friend who is a little bit sick when it comes to money. I think a win on my part could actually throw her into a psychological tailspin. I'm fairly certain that she couldn't survive as my friend in those circumstances.

My biggest concern would be my ex and his family, who are completely insane about money. He would stop at nothing to get a piece of it, and no piece would ever be big enough to stop him desperately scrabbling for more. His parents are the same way - utterly nauseatingly obsessed with money. These are people who have known what it is to go through a NJ winter without heat in the house. CRAZY about money.

So given the need to hide from the latter, I'd probably change Countries. And really, this is the thing I go around and around about. Where would I want my home base to be?

I would give a large one-time gift to each of my immediate family members, to take care of any looming debt. (approx. $100,000) I would encourage them to use it to buy/payoff a home and if any is left to buy reliable transporation. After that I would set up a trust to provide them with about $2,000 per month each. I would not be able to enjoy my money if I didn't know they had some level of financial security. What they do with all that is up to them though, and no more is coming. They can set themselves up to be secure or they can use it to increase their problems. My Mother would almost certainly get herself into trouble immediately. Tough noogies. You'll have $2,000 per month which I know can buy you rent and food and necessities if you use it right. Especially if you'd gotten the $85,000 house in your home town with the first gift.

The main thing I'd want to buy is time. I woudl definitely not go back to work. I would hire someone to keep house, and soemone who could be there for Celtling so that I could go out in the evenings while she's asleep. I wouldn't want to miss a minute with her, but it would be nice to go out to a lecture or go dancing now an then without worrying. Iwouldn't hange her school right away, until Ifound the perfect place for us and waas ready to move us into a new home.

I'd probably build a house in whatever city I chose, as the standard lay-out just makes no sense for me. Plus I'd like to have small apartments for the housekeeper and live-in babysitter so they'd have some space to call their own. I'd buy a very large lot, and put my house smack in the middle of it. I'd have a geenhouse and a swimming pool, and alternative energy sources. (Solar, wind, etc.)

But for the first few months I would probably just book us on a long cruise. I just need some major time away from the stress - the past two years have been excruciating.

[Mangetout]

My life would change, because I have a lot of ideas on how I could put large amounts of money to good use. If my friends wanted to come on board with that, it would probably be OK.

I already have good friendships with people significantly more wealthy than me, and it isn't ever a problem, so it's technically possible for such arrangements to work - the only tricky bit is the transition.

[Moonlitherial]

I want a flunky. At least for the first couple months.

For some odd reason I feel it would be appropriate to have my phone answered "Moon's line, Flunky here. How would assisting you please my mistress"

[Enderw24]

Originally Posted by Shamozzle

I think it's funny when people say stuff like, "When it gets up to around 40 million, then, yea, I'll play. I'll buy a few tickets."

So, what, like 20 million is chump change? You either think the lottery is a good idea or you don't. How can one's decision to play hinge on whether the jackpot is many millions or many, many millions?

"Oh, honey, do you want to stop and buy some lottery tickets?"

"Nah. The jackpot's only 20 million dollars. So not worth it"

It's not that winning 20 million isn't awesome. It's that the odds of winning are astronomical and the Powerball is ALWAYS at 20 million. I'm just not willing to throw money away twice a week in perpetuity chasing after a longshot.

When the lottery gets to somewhere around 120 million and above, it approaches what's called +EV. That's when I'll consider throwing a dollar or two away on the lottery.
The concept of EV, (IMHO), breaks down when we're into numbers this large and it's irrelevant for these discussions. But the benefit of having a hard cutoff of 120 million is that, yes, I've determined that anything less isn't worth it for me to play and it keeps me from throwing bad money after worse week after week after week.

[even sven]

I would take care of student loans and retirement, set aside around 10k so I could bail my family out of one or two emergencies, and donate the rest.

I'm happy with my life and can't imagine not working. My family is happy. Why shake up a good thing? There are better uses for that money than buying my cousins boats.

[diggerwam]

I always figured I'd split the Net amount 70-30. Wife and I take 70%, give away 30% to friends and family with the understanding that it's a one time payment. Give my current house to my Aunt & Uncle. I'd rotate between 3 houses and vacations. After the first few years and the initial couple million, hopefully we'd be all spent out and then we'd figure out how much we need per year, and that's our salary. Let a money manager take care of the details, we'd get a check every month.

[Skald the Rhymer]

I'm a jackass. I want everyone in town to know so they'll come to me looking for handouts; that way I will be able to make absolutely clear whom I love and whom I despise.

First Congregational Church? I'm going to pretend to be Christian long enough to tithe 10% of my winnings to that institution, because I'm utterly certain they'll not only do good with the money in ways I'd approve of, but that they'll think of a way to do good I wouldn't have thought of but still thing is a great idea.

Church of God in Christ? I'll be having someone escort you from the building with orders to be as rude as possible without giving them grounds to sue.

[Oredigger77]

I don't think it would be a big deal as far as my friends. I already make 2-3 times what most of them do.

The way I'd set myself up is that I can maintain my current salary, pretax, by my post tax income from interest. Which should work out to about 3 mil invested conservatively. The interest from the additional money goes into two funds split equally one would be my hedge against poor investments and inflation and the other would be my stupid rich person fund. So while most of my life wouldn't change, aside from moving home and quitting my job, occasionally I'd do something outrageous or stupid. From the second fund would come all of my charitable giving as well as helping out my friends or buying a gold plated yacht.

[Moonlitherial]

Actually Skald, now that you're in this thread it occurs to me that you would be the perfect personality for my envisioned two month position as lacky.

Should the worlds ever align so that I'm in a position to offer the job (Lottery win 20million or more), how would you feel about a 2 month sabatical from your job?

I'm willing to pay either a flat rate or some weird scale based on the number of times your abuse of callers makes me laugh.

[anya marie]

If I won, I'd want the lawyer and financial planner too. It sucks being broke. I wouldn't want to go back to that.

I would help my immediate family and some friends. One concern I have is that I would be hearing from a bunch of assholes I went to school with claiming they were my BFFs and constantly begging for $$$. I have this because I am back in my old neighborhood and can be found easily.

[Moirai]

Okay, I'll play!

The discovery that we had the winning ticket would be followed quickly by some basic planning steps-

1. Get the team together- our tax attorney, our CPA, our trust attorney. Lay out a basic plan of day-to-day cash, long-term investments, education trusts, other trusts.

2. Once everything is in place, claim the cash and do not allow our faces or likenesses to be used in any advertisement, promotion or press releases. If our names MUST be released by law, then fine- otherwise hell no.

3. We treat the lottery win like fight club- we don't talk about it. Period.

We already work from home and have a lot of financial freedom, so from the outside it would be pretty hard to spot. If it was a "big one" we would buy an small apartment in Manhattan first, after paying off our current SoCal house. We would probably also buy a house down at the beach near my parent's beach house, just as a vacation place.

We would continue to send our kids to private schools, so no change there. We would get another car, but nothing overly flashy- BMW I am sure, plus I used to drive a Range Rover and I'd probably get another one- neither vehicle gets a second glance in our neighborhood. We are pretty clothes-horsey, but the "average" eye wouldn't be able to tell how much we paid for our clothes.

We go to Europe at least once a year now, so it wouldn't seem too out of the ordinary to travel a bit more.

The real fun part- keeping it from our families. It simply wouldn't be something we want to share with the group. The only exception would be a trust to meet the needs of my nephew who needs a lot of help. Not sure how we'd get that in place without my SIL wondring how it was possible.

The smartest thing to do would be to live our usual lives, but without the most typical day-to-day financial stresses. I figure if we lived on 1-2% of the principle, we should be fine forever. We are smart, well-educated and have access to experts in the financial field. Of course, that means we don't play the lottery, as it is a tax on people who are bad at math...