The Powerball jackpot is at a new record high of $365 million, or a lump sum of about $177 million. According to the official Powerball payout analysis, the after-tax payout would be somewhere north of $100 million.
This is beyond most people’s dreams of avarice. I have modest wants, and couldn’t make a dent in that in any halfway sane spending spree.
So after taxes and the inevitable splurging, what would you do with $100 million?
For me, the condo market is fairly hot in the DC area. I’d pick a specific area, perhaps a specific development or two, and try to buy out the whole building.
If i was REALLY dilligent, I could spend that 100 mil in the first five years.
First, I’d invest half.
Then I’d make sure all of the people in my circle were set for life; money, cars, homes, health insurance etc.
Then, I’d travel. Buy my own Citation X and hire several pilots to ferry my butt all over the world at my leisure.
After my travels, I’d make a list of the places I enjoyed the most, and find some modest property to buy in each place. Then, I’d make an investment, the dividends of which would cover the maintenance of the real estate.
After that, I’d start four regional no-kill animal shelters across the country that would keep dogs and cats and small pets as long as it took to find homes, and we’d be big enough to take the overflow from the other shelters.
Then maybe some local charity work…
Pay off every loan I have (it’s almost $30,000 worth of student loans), buy a DeLorean, and a house in San Diego. Pay off all the dedt that my immediate family has, including my parents’ morgage, and put enough starter money in a few mutual funds so that all of my cousin’s children (who range in ages from 1-8) don’t have to worry about paying for college. (And if my sister or brother ever get arond to having kids, same deal.)
Put half of the rest in some kind of “higher risk but higher return” dealie, and the other half into a much safer 2% mutual fund or something, and live like a king. No job, no debt, just do nothing the rest of my life. Well, ok, I’d do stuff like travel everywhere, go skydiving and sailing, and crap, but no job. Ever again.
I figure that the initial splurging will run at most, five million. So, $95 million in half in $47.5 million. Assuming that the high risk account is really high risk and I lose all of that, I still have 2% of $47.5 million a year to live off of, which amounts to $950,000 a year. After accounting for taxes, paying an accounting firm to deal with everything financial, I’d still be getting several hundred thousand dollars a year for doing nothing. And, considering that I would almose certainly see some return on the higher risk investment, there’s a chance I could have over a million dollars a year.
I would tear my house down and rebuild it almost exactly as it is. I would make the rooms a little larger, raise the basement ceiling, re-wire it more sensibly, put the deck on, and plateau the yard better.
Other than that, I will use my new found wealth to wield great political influence within the city. First orders of business would be to pave the streets and squash the plan to put a handicapped accessible treehouse on a slope over a gorge. The new Casey political juggernaut begins Saturday at 11:05PM. Everybody up against the wall!
There’s a golf course 10 minutes from my current house that I’d buy. It comes with about 200 acres of property which may be enough for my dream FU house (think Mortimer and Randolph Duke’s crib in Trading Places.
Whatever treatment available that will get more hair to grow on my head and less on my damned back.
Pilot lessons and a surplus F-4 Phantom II.
A nice chunk of change to set up my family and friends in relative comfort, get a building named after me at my alma mater, and give some serious bread to a couple worthwhile charities.
Heck, with a hundred million, you could buy the time machine to put in the Delorean.
For me, there’d be the usual helping out of friends and family, etc, plus a small-scale consumer orgy (small-scale compared to a hundred million dollars, that is)but then…
Investments in small space-oriented and nanotech companies. Funding of environmental defenders. Startup capital for some people I know who are putting together a compnay. A shipment of giant mutant hamsters to run the SDMB with greater speed and efficiency. Donations to assorted Esperanto organizations. Funding a project to merge land-registry and corporate-control data with Google Earth or Worldwind so you can zoom in on somewhere and see who owns it, who controls it, and what condition it’s in. Supporting car-free communities, urban farming, local power, and social programs to make our cities and people more robust and self-reliant. Supporting independent filmmaking. Supporting open source projects, Creative Commons-like licensing, and copyright reform. Supporting rail advocacy.
1- quit job.
2- Later that same day, hire a lawyer.
3- Tell lawyer that I want custody of my kids. Here is your initial budget for research.
4- Call ex-wife and tell her I won. Inform her (again) that I want kids permanently.
5- Take wife shopping.
6- Upon buying her rather expensive ring she likes, inform her of lottery winning. Hehehe…
7- Move out of state, register for school, travel and live life well. Own a house with a room that is for nothing but books.
Probably I’d invest most of it, after having a good time splurging, and making some major charitable donations. For example, if I gave 50M to a museum as an endowment they could realize an annual income of 4M, assuming 8%, and I’d like to see that money used to waive admission fees for the underprivileged.
The usual splurge and family stuff. Then I’d endow some chairs at certain universities…with huge endowments and even bigger catches. I’d offer CalBerkeley a $20m chair…in White Studies, perhaps. Or offer Texas a chair in Oklahoma Studies. Then I think I’d try to buy every TV station that airs the 700 Club, and kick them off the air.
And I’d definately super-size my fries from now on.