Last night someone, one individual, won $450M in the Megamillions lottery. The ticket was bought in Florida, so if you have yet to check your ticket, and you didn’t buy it in Florida, don’t bother looking. A little research turned up this information: That estimated $450 million prize is only if the winner opts to take the winnings in 30 payments over 29 years. If you want the money now in one lump sum, the jackpot is approximately $315 million, a cut of roughly 30 percent. .Lottery winnings are taxed as ordinary income.
Over $300M is nothing to sneeze at, but that’s a chunk of change to fork over to the tax man. In Canada lottery winnings are tax-free. Given the fact that the provincial governments are the sole operators of lotteries and casinos, they are essentially already a tax. Folks often refer to buying lottery tickets as a voluntary tax, others see it as a tax on stupidity. Regardless, while your chances of winning are razor thin, they are zero if you do not buy a ticket. In life, you winsome and you lose some.
I often fear that if I ever won a substantial amount of money on a Saturday night Lotto6/49 draw, I would not let go of the ticket until Monday morning when I would be waiting at the LottoQuebec office before nine! And God forbid it should be a long weekend, with a Monday holiday. I just hope that winning ticket will still be in one piece when I place it on the counter!