Did you know that 48% of lottery winners still go to work after winning the lottery? It’s a shocking statistic but the fact is winning the lottery isn’t all that it’s cracked up to be. Winning the lottery often comes with a catch: you don’t get paid all at once. Rather than a lump sum lottery payout, most lottery winnings are given as a series of payments known as a structured settlement annuity. Annuities can take years to roll out, even for lottery winners. The Mega Millions lottery, for example, gives its winners their winnings over a course of 30 years: one immediate payment and 29 subsequent payments every year, each one 5% larger than the last. As a result, half of all lottery winners in the United States have to work until they get enough payments to comfortably retire.
That is, if they don’t sell their structured settlements. Selling lottery payments to financial companies is a popular choice with winners. Selling structured settlements enables winners to get their payments all at once or at the very least much faster than the normal payout plan. Financial companies purchase lottery winnings for use in investment. In return for the money and payment for their services, these financial companies will give you the money upfront, either as a lump sum lottery payout or on a timetable that’s best for you.
For many of us, winning the lottery is our ultimate dream. No more bills. No more debt. No more student loans or cares about work. However, the reality is not as rosy. If you ever win the lottery, consider selling your lottery payments for your winnings when you want it. A good 92% of people who sell their structured annuities are happy with their decision. Be part of the 92%. For more information, feel free to leave a comment or question at the bottom.