Selling your annuity

Did you win a lottery payout recently? Lottery payments usually come in the form of structured settlements — monthly or annual payments which occur over time. For example, one popular lottery payout involves an immediate payment followed by 29 more which happen annually. In some scenarios, this can be a good way of receiving your money. However, if you have an urgent need for cash, you would be much better off if you get cash for your settlement.

Selling an annuity settlement is a smart move if you would rather do away with staggered payments and have the money due to you up front. There are many companies that purchase a lottery annuity and provide you with instant cash. There can be quite a few financial situations which warrant such a step, and it is best to get detailed information and insight about the process before proceeding any further.

Getting cash for settlement is a relatively simple process, and one which can have far-reaching financial benefits for you. Not only does the entire amount of money due to you come in one fell swoop, you also get to save on taxes and charges if you opt to get cash for your structured settlement. In case of lottery payments, here are some palpable advantages and factors for you to consider –

  • Save on Extra Expenses – Annuity payments can attract a number of different expenses by way of taxes and fees. While annual annuity fees can go up to 3%, annuity payments are also eligible for income tax. Selling your structured settlement can help you avoid some of the fees involved, and also deal with any tax payments based on the whole amount instead of a year-by-year basis.
  • Get Your Cash Instantly – The best thing about cashing out on your lottery settlement is that you get your cash immediately, without the need to wait. You can then use the cash to deal with financial emergencies, start your own business, finance education or even take a long-awaited trip to your favorite vacation destination.

No matter what you need the money for, selling your structured settlement and getting up-front cash can be the best way to enjoy your lottery payments if your situation demands it. You can eliminate the long waits and the extra hassle of calculating interest, fees and taxes, and make it a one-time affair to collect your money and spend it as you wish.