Lottery Winners: Congratulations, you’ve won the lottery. After you get over the initial excitement, you start thinking about all that you want to do. Most importantly, you think about how you want to spend the money while making sure that you’re taken care of for the rest of your life. In making that decision, you need to decide whether to take the lump sum option or the annuity option.
Some of us think we can handle the money and decide to take the lump sum option. It’s pretty scary and exciting, knowing the responsibilities that come with managing such a large sum of cash. Others of us, on the other hand, don’t want that responsibility and decide on the annuity option. There are pros and cons to both options. If you decided to take the lump sum option, you have access to an abundance of cash that will allow you to do all the things you’ve only dreamed of. The downside is, you don’t get another big lump sum once the cash is gone. In a nutshell, you’ve only got one chance to get it right. On the other hand, if you’ve taken the annuity option, you get a jolt of cash in your account once a year. You have the luxury to make a few more mistakes financially, until you figure out what works. Your cash comes each year, just like Christmas. But, what do you do if you decide that you don’t want the annuity option any longer, but instead want to take the remainder of your payments in one large lump sum?
Depending on the laws in your state, you may have the option to sell the rights to your future payments in exchange for a lump sum of cash. We provide lottery winners, who have chosen to take the annuity option, with a lump sum of cash. Before deciding on a lump sum of cash however, it’s very important to know the present value of your annuity. To find out the present value of your annuity, use our lottery payment calculator.
Why Is It Important To Understand The Present Value Of Your Annuity?
When lottery winners choose the annuity option, as time passes, the value of their annuity decreases. Today, you are able to get more cash from your annuity than at any other time in the future. This could be very important when it comes to making big financial decisions. Make sure that you remain informed on the present value of your annuity by creating a free account and using our annuity payment calculator. Or, feel free to give us a call today at (877) 540-1042 to discuss how we can help you.