20 yo won the mega millions jackpot

[MVP]

There's only one person here being obtuse.

Say one person takes the annuity and one person takes the lump sum and invest in the same stock, trust or whatever.

The Annuity will only have the $5 mil initally to invest, say the lump sum person puts $50 mil in that same stock and they get the same ROI? Who's going to have more money at the end of the same time period say 3 years?

Here's a simple stock calculator you can play numbers with.

https://www.free-online-calculator-use.com/stock-calculator.html

 

[boris]

you're da one dodging da fact that you're losing over 100 million by taking da lump sum, and being obtuse over a irelevent point.

hello, you can invest for one year with w/e they give you in your annuity, and STILL get your guaranteed money for 29 more years...

Why do you think people try to maximize their 401k contributions, especially while they're young? What is the goal of a 401k?

 

[antidope]

I max mine and I highly recommend everyone does the same. Just for arguments sake...

PV - $0
PYMT - 18,500
I/Y - 6%
N - 30

Gives you 1.4MM

You take the 280MM that this kid does and do the same thing with 100MM of it and do...

PV - 100,000,000
Pymt - 0
I/Y - 6%
N - 30
And you get... FIVE HUNDRED AND SEVENTY FOUR MILLION DOLLARS.

This is the point we have all been making. And I'm taking 6% when the per annum inflation adjusted returns for the S&P 500 is 8% if I remember correctly.

Still waiting for someone to refute the math and historical precedent. Anyone who has a minor idea of how up manage money will yield more with the lump sum.

 

[ninjahood]

Why do you think people try to maximize their 401k contributions, especially while they're young? What is the goal of a 401k?

sounds like someone who would gladly torch 100 million dollars to be thirsty...

 

[ninjahood]

The Annuity will only have the $5 mil initally to invest, say the lump sum person puts $50 mil in that same stock and they get the same ROI? Who's going to have more money at the end of the same time period say 3 years?

-investments don't always pan out.

-over 70% of lotto winners go broke after taking da lump sum.

be stupid if you want

gimme my money slow & steady...and in full

 

[MVP]

The hypothetical premise was they do work out. Who is going to have more money? It's only 2 possible answers.

 

[boris]

sounds like someone who would gladly torch 100 million dollars to be thirsty...

I'm honestly confused because what you just said makes no sense in the context of what I asked. Do you actually not understand what the point of a 401k is?

 

[ninjahood]

The hypothetical premise was they do work out.

in contrast to actual scenarios where over 70% go broke?....

About 70 percent of people who suddenly receive a windfall of cash will lose it within a few years, according to the National Endowment for Financial Education.

http://time.com/4176128/powerball-jackpot-lottery-winners/

 

[MVP]

Why am I entertaining this? You ain't gonna answer anything. Ignoring a simple investment question.

 

[storm2006]

I’m pretty sure ninja is thinking about investing in Uncle Tyrone’s chicken and waffle restaurant or an Aunt Cheryl’s hair salon. We are taking about investing in the stock market and if you get into some basic low-fee funds you can make 6-8% annually no problem. I also don’t think anyone is advocating investing the entire lump sum either. You can take a modest percentage and make up any difference between the options within 30 years easily all while securing the bag upfront.

 

[big panda]

Damb, I usually look at ninja as da resident *** clown but what happened to each his own.

If bobby gets 300 million by taking risky bet and Ricky get 300 million by playin it safe who's really losin out here?

Nobody, to each his own, flourish how YOU see best, not what da next ***** think is best for YOU

 

[kingsrborn]

It's actually funny and crazy seeing people in here that would be worried about investing money,rather than just enjoying the money. Like Ninja said. Your lifestyle isnt going to change whether if your worth $200 million or $400 million. The battle of working/hustling is practically over if your come into that amount of money. Thats generational wealth. If some of yall are addicted to investing,then just say that. If its a hobby,then thats cool to. But nothing about investing is garaunteed over a long period of time. Its all about putting your money in and taking it out at the right time. If it was so simple like most in here are acting like it is just because they've taken some courses on it. Doesn't mean it's 100% full proof plan. There would be professional athletes worth billions if it was.

Seems like most of the people up in here would be part of that %70 of winners to eventually become broke 10 to 20 years down the line. Ive seen people come into 80 racks to a couple of million. Just to get gassed up by know it alls like the people up in here who have a little knowledge,just to lose it in a matter of weeks/months. I get it though. Some people are never satisfied,no matter how much money they have. You should be able to have a piece of mind with anything around $200 million. This lets me know that alot of people have mental issues.

That's why most of these people lose there money by spending/gambling//investing it away. Everybody's different in that aspect of ice. I know people who make 50k-100k that are comfortable and happy in life. I know people who make 100k-200k who are miserable and unhappy in life. Because they feel like they dont make or have enough money. Alot of people aren't happy or just comfortable with themselves. Those are the people who lose all of it. Over Thinking and being to smart is not a strength when your playing with anything remotely close to $200 million.

You know how many people who became professional athletes,inherited money,won the lottery,hit big at the casino who lost there money thinking like that.
Financial advisors aren't to be trusted either. There known to be finessers and swindlers to. What most people dont understand about having millions. Is that you actually become the lick/hustle to other people. That's why alot of these people end up broke. Trying to do to much. Instead of just being normal and living life. I've seen people come into money, just to lose it.

Its crazy when you think of people losing life changing money. Anything past 100k is life changing money in my opinion if you have a good paying job on top of that.I know people living well after getting that amount alone. I know people who've gotten way more than that,that are broke right now. Living check to check. Those where the investors,trying to flip type of people.

 

[Deleted member 42060]

Yea if there was any way to be anonymous

Still remember the lady from Boston who won the $ 800 mill powerball