You just won the lottery!! $42,000,00.00!!
You taking the lump sum or yearly payments of $1,400,00.00 for 30 years?
5% compounding interest payments annually…
5% compounding interest payments annually…
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Crazywaterspring · 61-69, M
Take the payments IF the balance goes to your estate. Tip: see an attorney about a will/estate planning.
Diotrephes · 70-79, M
@Crazywaterspring Depending on your age and how many beneficiaries you want to have you could do one of several things.
1. Suppose you have two kids. You could put them on your payroll as administrative assistants at $15,000 a month for 10 years (the required 40 quarters) to supplement their own job incomes. That will avoid the gift tax. And you could hire a payroll company to write the checks and take care of the details. It will also increase their ultimate Social Security payouts. That would still leave you $32,500 a month as your own.
So, at the end of 10 years each kid would have received a total of $1,800,000 as income or $3,600,000 total for both out of your $25,000,000. At the budgeted withdrawal of $750,000 a year you would still have $17,500,000 on hand.
1. Suppose you have two kids. You could put them on your payroll as administrative assistants at $15,000 a month for 10 years (the required 40 quarters) to supplement their own job incomes. That will avoid the gift tax. And you could hire a payroll company to write the checks and take care of the details. It will also increase their ultimate Social Security payouts. That would still leave you $32,500 a month as your own.
So, at the end of 10 years each kid would have received a total of $1,800,000 as income or $3,600,000 total for both out of your $25,000,000. At the budgeted withdrawal of $750,000 a year you would still have $17,500,000 on hand.