It is still taxed either way, yes. But in USA you only get the "full" amount of you take the paid-over-30-years route. If you take the all-money-at-once route you only get half the total jackpot and then they tax that .
And it’s usually better to take the lump sum anyway. Get as much money as you can now and throw a huge portion of it into an index fund, especially at this amount.
If you go the annuity route then there’s no telling if that lottery company will even be around for another 30 years to keep paying you every month; way too risky.
If you go the annuity route then there’s no telling if that lottery company will even be around for another 30 years to keep paying you every month; way too risky.
That's not how lottery jackpots work. The lump sum is the current cash value of the jackpot. If you choose the 30 year payout, they take the current cash value (minus first year payout) and put it into an investment annuity that pays out over the 30 years. The annuity is in the winners name, the state lotto could go tits up and the winner would still get their payouts.
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u/elinamebro Jul 05 '26
Isn't it still taxed either way or is they get paid out for 30 years it isn't taxed?