What would you do with $500 million in lottery winnings?

[LivingAlmostLarge]

Not a damn thing. Take the lump sum and invest in munis then live off the interest. I'd also buy a new home, private school for kids, and college, car, and home fund. Then set up the parents with new home and in-laws too. Then my grandma as well with full nursing care.

Then just chill.

[amastewa93]

she'll have a nice little extra amount each month to supplement her income.

That's a good point! You all may have changed my mind haha.

[~bs]

I second Steve. If you are getting paid annuity-style, the payout is only as secure as the payer.

Many folks have found this out the hard way over the years, when their annuity company files for bankruptcy. Oops!

250 milion birds in the hand is worth 500 million birds in the bush

[QuarterMillionMan]

Age is the biggest factor when determining to take the lump sum or installments. If I was 75 I’d take the lump sum because I might not live long enough for maturity. If I was 25 I’d go for the installments in order to get the full amount.

[corn18]

Age is the biggest factor when determining to take the lump sum or installments. If I was 75 I’d take the lump sum because I might not live long enough for maturity. If I was 25 I’d go for the installments in order to get the full amount.

From an actuary standpoint, you get the same amount whether you take the annuity or the lump sum. They use a value for inflation to calculate net present value and then give you that discounted amount. If they are right, the real value of the annuity (after inflation) will be the same as the present value of the lump sum.

[Nutria]

What would I do? Laugh at my ex-wife!!!