5 replies to this topic

[Rogerdodger]

Oklahoma couple claims Powerball prize
"Don Harvey's long-haul truck had almost two million miles on it when its engine died this week. Now he's planning to ride the road in style, thanks to a $105.8 million Powerball ticket bought by his wife.
A truck driver all his adult life, the 64-year-old Harvey said he did not plan to stop working.
He said he would buy a fancier truck than the one that finally quit running after he rolled into Muldrow from a trip delivering air conditioners to Madison, Wis.But it won't be a new truck, he said, saying there is no reason to waste money, even if you've got it to waste, on a vehicle that depreciates so much in its first two years.
The odds of winning were about 176 million to one, said Jim Scoggins, executive director of the lottery."

For any gamblers out there, think of the huge VIG on this bet.
After taxes, the couple will get 33 million for a $1 bet, but the odds were 176 million to one.
The "goberment" gets the other 143 million!

Da Mob would love those odds.
Blackjack and craps only get about 1.6% VIG.



Lottery = Tax on the stupid.

Edited by Rogerdodger, 29 June 2007 - 10:35 PM.

[Sentient Being]

I don't know how it works with power ball but I occasionally play something called Mega millions. Lets say the ticket is a 90 million dollar prize. That actual cash value is much smaller, they put your prize into an annuity that pays out over a long period of time and that's how you get 90 million. So you opt for the cash up front? Well then your 90 million is now, say, 45 million. Now all that's BEFORE taxes. So you collect your 45 million but must pay say half in taxes. Now you are down to 20 some million. For a "90" million" dollar prize that never was, really, 90 million to start with. I'm guessing power ball may be similar. The 100 million is actually 50 some million which then after taxes is your 30 million?

Edited by Sentient Being, 30 June 2007 - 06:34 AM.

[jawndissedi]

Lottery = Tax on the stupid.

Amen.

[Rogerdodger]

I could deal with the 33 million. But your odds would be better if you put $1 on black at the roulette table (with a very high 5.25% VIG). Then let it ride until it gets up to $33 million. Like that's gonna happen. But it's only a buck.

[Rogerdodger]

My favorite lottery joke is: Recently, a farmer won the lottery. When asked what he planned to do with all the money, he replied: "I'll just keep on farming 'till all the money is gone."

[JAP]

Lets say the ticket is a 90 million dollar prize. That actual cash value is much smaller, they put your prize into an annuity that pays out over a long period of time and that's how you get 90 million. So you opt for the cash up front? Well then your 90 million is now, say, 45 million. Now all that's BEFORE taxes.

So you collect your 45 million but must pay say half in taxes. Now you are down to 20 some million. For a "90" million" dollar prize that never was, really, 90 million to start with. I'm guessing power ball may be similar. The 100 million is actually 50 some million which then after taxes is your 30 million?

To be fair they should advertise the size of the jackpot with all these things already included. If they did this, I imagine a lot fewer lotto tix would be sold... ahhh, maybe not... people are very greedy and stupid. The states need the the hype and sensationalism to sell more tix.