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If i win a lottery prize of 15 million, and choose to take it as a lump sum, after taxes,how much do i recieve

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If i win a lottery prize of 15 million, and choose to take it as a lump sum, after taxes,how much do i recieve

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  1. About 1/4 to 1/3 of it, depending on what state you live in, and what state you bought the ticket in.

    The current powerball jackpot is $33M (annuity), or $15.9M cash.

    So a $15M annuity would be about $7.2M cash before taxes.

    Which means about 50% of the money is cash-on-hand, and the other 50% of the annuity is earned interest.

    In 2007, the tax bracket on "the rich" was $94,601 + 35% of income above $349,700

    Let's say you won the jackpot, and were unemployed all year (your only income is the lottery ticket).

    You would make $7.2M cash, and would pay $2,492,000 in taxes, leaving you with $4.7M, from which the state takes its share.

    The top tax bracket is California, with 10.3% of income over $1M, and 9.3% of income over $44,815.

    So your state tax would be $700,000.

    In Florida, there is no state income tax.

    You get $4M - $4.7M from your $15M jackpot


  2. Since a $15 million prize would normally be paid out over at least 20 years, you would have to know what the discount rate is to determine how much you would get in a single payment.

    It also depends on your filing status and the state you live in (for state taxes)

    for a $15 mil lump sum payment for single, the fed taxes would be about: $ 5,229,074 (based on 2007 tax rate schedule)

  3. Federal income tax would be somewhere around 1/3 of it.  Most states don't charge income tax on their own lotteries, but if it's a lottery that isn't your state lottery the state will most likely want their cut too.

    You'd still have a VERY nice pile of money left!!!!

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