20 year old Canadian wins lotto, chooses weekly payment over lump-sum

[1srelluc]

MSN

Brenda Aubin-Vega was on her break from work when she scratched a Gagnant à Vie ticket and instantly became a lifetime winner. The 20-year-old from Montreal uncovered three piggy bank symbols on her ticket, and scored the game’s top prize: $1,000 a week for the rest of her life.

“I couldn’t believe my eyes! I checked my ticket over and over again,” she said while claiming her prize with Loto-Québec. Stunned, she called her father, then took the rest of the day off to let it all sink in.

Winners of Gagnant à Vie can choose between a lump sum of $1 million up front or a $1,000 weekly annuity. Aubin-Vega went with the lifetime payout and says she plans to use the steady income to eventually buy a home.

At 20....Smart girl....As long as the gov can stay solvent to pay her.

She's 20. Say she lives to 85. A thousand bucks a week for 65 years is 3.3 million if I can math correctly.

Say the .gov takes half, still more than the lump sum and she won't have grift buzzards flying around her.

 

[1srelluc]

Huh, I just looked and the Hosers do not tax lottery winnings, but do tax profits made from investing it. So no big hit if she takes the lump sum, but investing it does incur taxes.

So get 1 mil, invest it at 5% and get 50k a year which is taxed, or get 52k a year with no taxes on it.

 

[Roshambo]

MSN

Brenda Aubin-Vega was on her break from work when she scratched a Gagnant à Vie ticket and instantly became a lifetime winner. The 20-year-old from Montreal uncovered three piggy bank symbols on her ticket, and scored the game’s top prize: $1,000 a week for the rest of her life.

“I couldn’t believe my eyes! I checked my ticket over and over again,” she said while claiming her prize with Loto-Québec. Stunned, she called her father, then took the rest of the day off to let it all sink in.

Winners of Gagnant à Vie can choose between a lump sum of $1 million up front or a $1,000 weekly annuity. Aubin-Vega went with the lifetime payout and says she plans to use the steady income to eventually buy a home.

At 20....Smart girl....As long as the gov can stay solvent to pay her.

She's 20. Say she lives to 85. A thousand bucks a week for 65 years is 3.3 million if I can math correctly.

Say the .gov takes half, still more than the lump sum and she won't have grift buzzards flying around her.

Say she is 20 and dies next week? Conspiracy the Government intervened?

 

[odanny]

$1000 a week will still mean a lifetime employment with a generous safety net, you have the flexibility to be a "digital nomad" who spends their time in a foreign coffee shop staring at your laptop all day.

 

[1srelluc]

Say she is 20 and dies next week? Conspiracy the Government intervened?

Even if she does she will live out the week knowing her future is secure....What is that peace of mind worth these days?

 

[Roshambo]

Even if she does she will live out the week knowing her future is secure....What is that peace of mind worth these days?

$1,000.00

 

[Cassandro]

Huh, I just looked and the Hosers do not tax lottery winnings, but do tax profits made from investing it. So no big hit if she takes the lump sum, but investing it does incur taxes.

So get 1 mil, invest it at 5% and get 50k a year which is taxed, or get 52k a year with no taxes on it.

The question is whether to let the government hold (and devalue) your winnings or invest it in an inflation protected asset. What will $1,000 a week be worth in 60 years? If you take the $1 million now, you can still withdraw from principal whatever you need to live on tax free.

 

[1srelluc]

The question is whether to let the government hold (and devalue) your winnings or invest it in an inflation protected asset. What will $1,000 a week be worth in 60 years? If you take the $1 million now, you can still withdraw from principal whatever you need to live on tax free.

I figure it's mostly a wash but I don't pretend to know how the Hosers tax investments.

 

[citygator]

At a 5% discount rate $1,000 for the rest of her life (til 79) is worth about $1M today not really $3M. Still nice coin for a 20 year old to live a slightly better life than her job allows. Kind of acts like a UBI supplement for her.

 

[1srelluc]

At a 5% discount rate $1,000 for the rest of her life (til 79) is worth about $1M today not really $3M. Still nice coin for a 20 year old to live a slightly better life than her job allows. Kind of acts like a UBI supplement for her.

It's also just enough FU money to tell a bad employer to ****-off.....Just don't get too carried away.