{"id":505782,"date":"2022-11-02T23:18:02","date_gmt":"2022-11-02T20:18:02","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/going-to-win-1-2b-powerball-prize-consider-not-taking-cash\/"},"modified":"2022-11-02T23:18:02","modified_gmt":"2022-11-02T20:18:02","slug":"going-to-win-1-2b-powerball-prize-consider-not-taking-cash","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/going-to-win-1-2b-powerball-prize-consider-not-taking-cash\/","title":{"rendered":"#Going to win $1.2B Powerball prize? Consider not taking cash"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a350ee44114a\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a350ee44114a\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/going-to-win-1-2b-powerball-prize-consider-not-taking-cash\/#Going_to_win_12B_Powerball_prize_Consider_not_taking_cash\" >Going to win $1.2B Powerball prize? Consider not taking cash<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"Going_to_win_12B_Powerball_prize_Consider_not_taking_cash\"><\/span>Going to win $1.2B Powerball prize? Consider not taking cash<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div>DES MOINES, Iowa (AP) \u2014 Think you\u2019re a sure bet for Wednesday night\u2019s estimated <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/apnews.com\/article\/iowa-aa10b4a420901f35ee98adb41c76c67d\" data-ylk=\"slk:$1.2 billion Powerball jackpot\" class=\"link \">$1.2 billion Powerball jackpot<\/a>?<\/p>\n<p>If so, you need to decide whether to take cash, which would actually pay out $596.7 million, or choose the $1.2 billion annuity option that is twice as large but is paid out over 29 years.<\/p>\n<p>Winners of <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/apnews.com\/article\/b16dd3f2b3bf46ab8113db81e7cfeee8\" data-ylk=\"slk:giant jackpots\" class=\"link \">giant jackpots<\/a> nearly always take the cash, and financial advisers say that might be a mistake.<\/p>\n<p>Nicholas Bunio, a certified financial planner from Downingtown, Pennsylvania, said even with his expertise, he would take an annuity because it would so dramatically reduce his risk of making poor investment decisions.<\/p>\n<p>\u201cIt allows you to make a mistake here and there,\u201d Bunio said. \u201cPeople don\u2019t understand there is a potential for loss. They only focus on the potential for gain.\u201d<\/p>\n<p>The gulf between the cash and annuity options has become larger because inflation has prompted a rise in interest rates, which in turn results in potentially larger investment gains. With annuities, the jackpot cash is essentially invested and then paid out to winners over three decades.<\/p>\n<p>Under the annuity plan, winners will receive an im<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a>te payment and then 29 annual payments that rise by 5% each year until finally reaching the $1.2 billion total.<\/p>\n<p>Lottery winners who take cash either don\u2019t want to wait for their winnings or they figure they can invest the money and end up with more money than an annuity would offer. It&#8217;s what the biggest winners nearly always do, including the buyers of a Mega Millions ticket in Illinois in July that paid off in $1.337 billion prize.<\/p>\n<p>As Jeremy Keil, a financial adviser from New Berlin, Wisconsin, put it, \u201cThere is no bad choice.\u201d<\/p>\n<p>Keil said Powerball\u2019s annuity assumes a 4.3% investment gain of the jackpot\u2019s cash prize.<\/p>\n<p>\u201cIf you think you can beat the 4.3%, you should take the cash,\u201d Keil said. \u201cIf you don\u2019t, take the annuity.\u201d<\/p>\n<p>While purchasing five Powerball tickets at a Speedway gas station in Minneapolis, 58-year-old Teri Thomas said she\u2019d rather take the cash prize because she doesn\u2019t think she\u2019ll live long enough to collect an annuity over 29 years.<\/p>\n<p>\u201cAnd I\u2019d rather get all my good deeds done right away and feel good about the giving,\u201d Thomas said, adding she would donate to groups that do medical research for children as well as help veterans, homeless people and animals.<\/p>\n<p>Charles Williams of Chicago, who buys a Powerball ticket each week and always plays the same numbers, was adamant that he&#8217;d take the cash option.<\/p>\n<p>\u201cI want all the money. I want the cash out and then I&#8217;m going to spend it how I want it because ain&#8217;t nothing guaranteed in life,&#8221; Williams said.<\/p>\n<p>Of course, it\u2019s good to keep in mind that your chance of winning the jackpot is incredibly small, at 1 in 292.2 million. That\u2019s why no one has won Powerball\u2019s top prize since Aug. 3 \u2014 resulting in 38 consecutive draws without a jackpot winner.<\/p>\n<p>All that losing has let the Powerball jackpot grow to be the fourth-largest in U.S. history. If no one wins Wednesday night, the jackpot <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/apnews.com\/article\/trending-news-lifestyle-iowa-060f0020ded679c1b3afa21f156de04e\" data-ylk=\"slk:could become the largest\" class=\"link \">could become the largest<\/a> ever, topping a $1.586 billion Powerball prize won by three ticket holders in 2016.<\/p>\n<p>Officials urge anyone lucky enough to win a Powerball jackpot to consult a financial adviser \u2014 while keeping that valuable ticket safe \u2014 before showing up at a lottery office for an oversized check.<\/p>\n<p>Matt Chancey, an investment adviser in Tampa, Florida, said that certainly makes sense. But Chancey also urged winners to understand that if advisers earn a percentage from the investment of all that money, they have a financial stake in how the money is paid out and should be clear about any potential conflict.<\/p>\n<p>\u201cIf you go to a financial person and say you want to invest $1 billion, the financial person will say take the $600 million and we\u2019ll pay taxes on it, you\u2019ll have $300 million left over and I\u2019ll invest it for you,\u201d Chancey said. \u201cThat investment adviser will get fees off managing that money.\u201d<\/p>\n<p>Chancey said talented investors probably could make more money than paid through an annuity but there is risk and advisers need to be open about their potential gain depending on the jackpot winners&#8217; choices.<\/p>\n<p>Powerball is played in 45 states, as well as Washington, D.C., Puerto Rico and the U.S. Virgin Islands.<\/p>\n<p>___<\/p>\n<p>Associated Press writers Trisha Ahmed in Minneapolis and Margery A. Beck in Omaha, Nebraska, and video journalist Teresa Crawford in Chicago contributed to this story.<\/p>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/www.aol.com\/finance\/going-win-1-2b-powerball-201802711.html\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Going to win $1.2B Powerball prize? Consider not taking cash DES MOINES, Iowa (AP) \u2014 Think you\u2019re a sure bet for Wednesday night\u2019s estimated $1.2 billion Powerball jackpot? If so, you need to decide whether to take cash, which would actually pay out $596.7 million, or choose the $1.2 billion annuity option that is twice&#8230;<\/p>\n","protected":false},"author":1,"featured_media":505783,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s.yimg.com\/ny\/api\/res\/1.2\/dtWNzULGuB27ANQvvX5RYQ--\/YXBwaWQ9aGlnaGxhbmRlcjt3PTEyMDA7aD04MDA-\/https:\/\/media.zenfs.com\/en\/ap.org\/7ba40675a006ffb92f907a0c7b1c47ae","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-505782","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/505782","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=505782"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/505782\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/505783"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=505782"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=505782"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=505782"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}