Most Americans dream big about winning the lottery some day. Many plan the luxurious vacations that they will take or boast about the vehicles that they could own. With jackpots climbing to new heights every day, its easy to see how so many dreamers dream of lottery payments in their mailbox.
How to Win the Lottery
Winning the lottery is easy enough: you just have to play to win. With that being said, your odds are going to increase with the more you play. Many groups have formed with the intent to win the lottery and disperse the earnings among participants. Depending on how much and how often you play, you have just as much of an opportunity to win as anyone else.
What to Do Now that You’ve Won
Many people have misconceptions on how lottery payouts work. The Mega Millions lotto pays out as a yearly annuity over the course of 30 years with each subsequent payment increasing by around 5%. Because of this, nearly half of lotto winners continue to work while receiving payments. In order to get a lump sum, lotto winners can sell their lottery annuity for annuity settlement that can put cash in their pockets faster. Keep in mind that taxes will already withhold 25% of your earnings. Additionally, variable annuities often require 2 to 3% per year for investment management and other hidden fees. Those who make an annuity withdrawal within the first five to seven years may be hit with surrender charges that can cost of to 7% or more of lottery winner’s investments. Even an “immediate” annuity can take up to 30 days before payments are received. Selling an annuity settlement can quickly and easily get you the most of your money when you need it, making those dreams of vacations and sports cars that much closer to fulfillment.