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Subject:  Re: Win the lottery...and keep working? Date:  3/7/2010  8:46 PM
Author:  vkg Number:  1354 of 1845

I had a terrible epiphany the other night--if I won $4 million in the lottery tomorrow, I'd have to keep working. After taxes, that $4 million would become $2 million...and if I were to put all of it in an interest bearing account at today's measly rates (let's just say 2% for the sake of round numbers), that would get me $40,000 per year--not enough to support my partner and me now, let alone in 25 years post-inflation.

Many lotteries have the option of taking the payouts as an annunity. CA has the payments structured to increase over time. $4 million in winnings would likely be more than enough to replace your income. You could then retire.

Social security and pensions make a difference.
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