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View Full Version : If you won the lottery...


Zebedee DuBois
06-23-2005, 05:48 PM
Say you won the lottery, and you end up with ~ 20 million lump sum after taxes.

You have three children between the ages of 16 and 25.


How would you divy up the money? Would you give them anything?
Would you hold it out like a carrot until they turn 30?
Would they just have to wait to inherit it?


For the record, I don't often buy lottery tickets... but I sometimes entertain the fantasy of not having to work for a living. Of course, that is the easy part - thinking about the fun things you could do with a butt load of money. On the other hand, having that much moola could bring up some interesting problems.

Ari Chi3fs
06-23-2005, 05:50 PM
Say you won the lottery, and you end up with ~ 20 million lump sum after taxes.

You have three children between the ages of 16 and 25.


How would you divy up the money? Would you give them anything?
Would you hold it out like a carrot until they turn 30?
Would they just have to wait to inherit it?


For the record, I don't often buy lottery tickets... but I sometimes entertain the fantasy of not having to work for a living. Of course, that is the easy part - thinking about the fun things you could do with a butt load of money. On the other hand, having that much moola could bring up some interesting problems.


They would each get enough cash to help them through medical school, or law school, or whatever school... so that they can make fat cash on their own.

Zebedee DuBois
06-23-2005, 05:53 PM
They would each get enough cash to help them through medical school, or law school, or whatever school... so that they can make fat cash on their own.

You don't think they would want to live the fat life like you would be getting ready to do?

"But, I don't want to go to school."

Phobia
06-23-2005, 05:56 PM
You don't think they would want to live the fat life like you would be getting ready to do?

"But, I don't want to go to school."

They can live the fat life if there's anything left when I'm gone. No handouts. I think financially struggling builds character. Heh. That's why I'm so blessed.

Big Chief Homer
06-23-2005, 05:59 PM
new cars and houses all around.1 mill a piece.Do as you will with it.Piss it away,invest it.Lay around on the beach whatever,but when its gone its gone....


Daddys off to find a younger Mommy with bigger boobs.

TRR
06-23-2005, 06:02 PM
I would set up a fund for them, with no access to it until they turn 30 years of age.

I would definitely have some guidelines set as well. Graduate college, find a solid job, and support yourself for a substantial amount of time.

I haven't had anything handed to me...Why the hell should they?

Zebedee DuBois
06-23-2005, 06:04 PM
They can live the fat life if there's anything left when I'm gone. No handouts. I think financially struggling builds character. Heh. That's why I'm so blessed.

I share this attitude. I think the struggle to get where I am financially makes me appreciate where I am. It is what makes me think carefully about financial decisions instead of just going out and buying the shiny bauble.

Yet, I can see how your children might start resenting you....and you wouldn't want that to fester over the years.

Pants
06-23-2005, 06:05 PM
I'd give them each 5 million.

KCChiefsMan
06-23-2005, 06:05 PM
They can live the fat life if there's anything left when I'm gone. No handouts. I think financially struggling builds character. Heh. That's why I'm so blessed.


even if you struggle supporting yourself through college by waiting tables?

stevieray
06-23-2005, 06:06 PM
I'd set them up in my will, but would prolly buy them really cool birthday gifts.

Coach
06-23-2005, 06:19 PM
First thing first. I would help pay my parents debt off, either that is a car, house, or whatever it is they have, then give them a new house, new car, and all.

Then myself, such as new house, new car, bills, etc.

I'll probably put some on the bank and try to invest it. None of my kids can touch it until I pass away, and how many kids I have, they can split that.

4th and Long
06-23-2005, 06:23 PM
I'd give them each 5 million.
I love you, Daddy.

Pants
06-23-2005, 06:24 PM
I love you, Daddy.

Seriously, 5 million would be plenty for me to retire on. I'm a simple man. All I want is a condo on the beach in the northwest.

Katipan
06-23-2005, 06:25 PM
I'll completely support them and provide them with a fun life of luxury until they finish college. Then they get a chunk. Then they get another chunk when they are 30. Then they get to help run the family business, whatever the hell it is, if they want a part of the rest.

4th and Long
06-23-2005, 06:25 PM
Seriously, 5 million would be plenty for me to retire on. I'm a simple man. All I want is a condo on the beach in the northwest.
Seriously? What? You didnt find my affection serious?

milkman
06-23-2005, 09:03 PM
They can live the fat life if there's anything left when I'm gone. No handouts. I think financially struggling builds character. Heh. That's why I'm so blessed.

I'm pretty sure that I'm proof that isn't true!

Count Alex's Losses
06-23-2005, 09:12 PM
Daddys off to find a younger Mommy with bigger boobs.

ROFL

Mile High Mania
06-23-2005, 09:21 PM
Well, if I won the lottery ($20m)... I'd pay off the debts of my parents, inlaws and immediate family (siblings and the like).

Then, I'd set up college funds for my kids and for my nieces and nephews. As well, I would do something to put my parents, inlaws and siblings in nice homes. Nothing crazy like 5k square foot deals, just really nice homes that are paid off.

Then, I would set up some sort of trusts for my kids... something that would give them some money when they turn 18 or 22, then 26 or early 30's. The goal being - college is paid for, they can get a decent car and still have a need for college or pursuing whatever career they like. Then, in their early 20's, late 20's, early 30's... they would have access to $ for things like homes, kids, etc.

I wouldn't want to set my kids up at the age of 20 to where they have no need to ever work or do something with their lives. I would make damn sure they would never struggle or fall on hard times, but I would still provide them with a good life while they make something positive out of their lives.

All the while, mom and dad aren't working, living high on the hog and jet setting around the world.

Rain Man
06-23-2005, 09:47 PM
My deal with Jorge, the god of lotteries, is that I'll give away one-third of my net windfall. So for $20 million, I'll give away $6.67 million.

Since I have no kids, I'd do the following:

$2 million to be divvied up among my family
$2 million to be divvied up among my wife's family
$1.5 million to go to a scholarship fund at my old high school
$667,000 to charities
$500,000 to friends

If I had kids, I'd probably cut all of those a bit and I'd put $500,000 into a stock fund for each kid under my control. At the age of 21, they each get $50,000 to get started. At the age of 28, they each get $250,000 to buy a house. At the age of 40, they get the balance.

Rain Man
06-23-2005, 09:51 PM
Then, I would set up some sort of trusts for my kids... something that would give them some money when they turn 18 or 22, then 26 or early 30's. The goal being - college is paid for, they can get a decent car and still have a need for college or pursuing whatever career they like. Then, in their early 20's, late 20's, early 30's... they would have access to $ for things like homes, kids, etc.



Whoa. I had exactly the same idea before I read your post.

StcChief
06-23-2005, 09:52 PM
Good School and have to pass with good grades and get a job and prove they can work

Will help after that as needed.

F'up. They are on their own.

Every kid has to prove they can make it in the world it does build character.

Will take care of my parents first. They did raise me and help thru college.

The carrot/stick approach is appropriate a trust fund.
with an clear executor, should something happen to me.

BTW, out to find a new mommy built right with her head on straight.

unlurking
06-23-2005, 10:21 PM
I haven't had anything handed to me...Why the hell should they?

20 million dollar lottery prize isn't having anything handed to you?

;)

Rain Man
06-23-2005, 10:25 PM
My ex-boss was a trust fund baby. Had his own apartment in the mountains at 17, went to Harvard, etc. Everybody he ever met would kill him if they thought they could get away with it.

On a brighter note, a friend of my wife's is a trust fund baby. She gets about $50,000 a year from it, and while she's a nice person, it has not been a positive thing for her. She can't keep a job, and she spends money like they're pesos, and she's said that the trust fund makes her give up on career stuff pretty easily. Her dad is a self-made man and has sent her books about financial management and stuff and it just doesn't sink in to her why he's doing it. Of course, it doesn't really matter because she stands to inherit a couple of million dollars somewhere down the line anyway.

Dartgod
06-23-2005, 10:30 PM
I'd set them up in my will, but would prolly buy them really cool birthday gifts.
Of course you'd slip your friends a dollar or 10,000.

Rausch
06-23-2005, 10:32 PM
It'd be used for education. Complete a year of school & get 8k to go fart off with for the summer.

No degree, no mon-ay...

whoman69
06-23-2005, 10:34 PM
They can live the fat life if there's anything left when I'm gone. No handouts. I think financially struggling builds character. Heh. That's why I'm so blessed.
I must be a saint, then.
My kids would certainly be able to go to whatever school they wanted if I were to win the lottery. But I don't see giving them anything, just letting them slide thru on the gravytrain. They would come to expect life is too easy and would not be prepared to raise their own kids with anything other than the all play and no work syndrome.

Skip Towne
06-23-2005, 10:36 PM
My ex-boss was a trust fund baby. Had his own apartment in the mountains at 17, went to Harvard, etc. Everybody he ever met would kill him if they thought they could get away with it.

On a brighter note, a friend of my wife's is a trust fund baby. She gets about $50,000 a year from it, and while she's a nice person, it has not been a positive thing for her. She can't keep a job, and she spends money like they're pesos, and she's said that the trust fund makes her give up on career stuff pretty easily. Her dad is a self-made man and has sent her books about financial management and stuff and it just doesn't sink in to her why he's doing it. Of course, it doesn't really matter because she stands to inherit a couple of million dollars somewhere down the line anyway.
This sounds a lot like the Joe Don Looney story. He was never asked to make a living so he didn't. And we're talking about a guy with every bit as much talent as John Riggins. Except he was the best punter in the nation as well. What a waste.

stevieray
06-23-2005, 10:41 PM
Of course you'd slip your friends a dollar or 10,000.

:)

Rausch
06-23-2005, 10:51 PM
:)

I'd settle for a pony keg cooler though... :)

stevieray
06-23-2005, 10:52 PM
I'd settle for a pony keg cooler though... :)


and a new car to deliver it in... :)

Dartgod
06-23-2005, 10:53 PM
I'd settle for a pony keg cooler though... :)
Hell, I'll buy you that with the $10G he's sliding my way.

philfree
06-24-2005, 12:50 AM
Inheritance tax is gonna take half of what you give to your kids or anyone else for that matter. With that kind of jack you better start giving it out a little at a time. $10,000.00 a year I believe is the max before the big tax kicks in so that'd be the first move. After that I think I'd buy a business or two(sub S corporations) and make my kids stock holders loaning them the money to buy in. Then from the k-1 my kids recieved from the profits of the business' I'd have them make payments in the form of interest as well as principle and hope I'd live long enough that the business' would be paid off and belong to my kids. With that much money it'd be hard to get it all transfered in one life time. Uncle Sam would still take far to much of it. I've only got one child though she'd be set regardless. I'm sure there's alot of other ways to avoid the inheritance tax but that's the method I've seen applied. That's one thing about my daddy that I think is special is that when he made his money he didn't spend it or hoard/horde (sp?) it he started trying to find a way to transfer it to his kids without taxes taking most of it. He started it 20 years ago and he just turned 76. A lot of folks don't think that far ahead or even give a poop.

PhilFree:arrow:

ENDelt260
06-24-2005, 02:57 AM
I'm pretty sure that I'm proof that isn't true!
Well, if nothing else Paris Hilton can prove the contrapositive.

tyton75
06-24-2005, 08:32 AM
There are different kinds of Trust funds that can be set up that avoid most of the inheritance tax penalties..

first thing I would do is contact a lawyer and a moneymanager and invest some of it..

as for the kids... they would get very little in the way of cash.. but they would have my support and would never need for anything as long as they kept thier noses clean... I too would want them to learn the value of working day to day.. but they woudl have enough that they could retire by the time their 40 :)

penchief
06-24-2005, 09:13 AM
Even though I've never played the lottery I have thought about this before.

I'd buy myself the home I've always wanted in the country. Then I would buy my daughter, mom, dad, brother,s and sisters a home and a car if they needed one. Then I'd pay off all of their bills. Then I'd put money away to send my grandchildren, nieces, and nephews to college.

From what is left over I would travel and enjoy life as much as possible.

unlurking
06-24-2005, 09:41 AM
Guess I'm the only one that would buy a box suite at Arrowhead and fill it with porn stars.

Probably try to get Jack Stack to sell me a franchise out here in Colorado too. Have the kids work in the place from the time they are legal, hope that one of them wants to run the place and take it over.

Like everyone else, I'd make sure that each kid went to college, with a trust fund setup to give them cash, after each report card is submitted, based on passing grades. They could stay in school as long as they wanted, masters/doctorate/etc., on the same process for all I care. They could also start working afer a bachelor's and I'd set up a trust fund annually to give them cash based on the amount of hours they worked.

I don't care where they work or what they do. Hell, they could pump gas for all I care. I just want them to work. I don't want them to work so many hours that they miss out on having a close happy family of their own though. I personally hate working so much that I lose a lot of quality time with mine.

Iowanian
06-24-2005, 09:46 AM
I've pondered this more than I probably should have, since the odds are pretty bad, and the fact that I only sporatically buy a ticket.......but have 2 potential winners in my pocket right now...unchecked for a month.

I'm pretty sure, before I ever turned in the ticket....I'd get a lawyer, financial and investment advisor in order.

My thinking is, that instead of giving family a "gift", I'd probably set it up that they were a minority owner in the ticket. Lets say, The wife and I are 60% owners both of our parents and all siblings were the remaining 40% owners in a pool.

I'd set it up so that their 40% was partially paid now, with a yearly payment after, that would STOP in case of divorce.(someone isn't leaving the family and still getting that loot). I think I'd also set it up, so that the youngest siblings wouldn't get the majority of their cut, until they finished college and or turn 25.

the rest, I think I'd set myself and future generations up with long term investments (land aquisition in Rural Iowa) among other things. I'd set up a fund for family(college for neices-nephews etc) with limited funds available for extended family education and carefully chosen charity cases.

My long time plan has been to return to my hometown, start a company that requires some higher skill sets, and guarantee any local kid, who attained the required training a job, at a competative wage in our state. The thinking is, it encourages more of "the good crop" to stay local, and improve the area longterm.

I'd buy a farm, put in a long lane off the road, build my cabin home and series of trophy bass ponds and probably wouldn't install a phone. I would also buy some season tickets of the Chiefs, and get a tricked out RV, and driver to take my cohorts to the games.

Brock
06-24-2005, 09:50 AM
Even though I've never played the lottery I have thought about this before.

I'd buy myself the home I've always wanted in the country. Then I would buy my daughter, mom, dad, brother,s and sisters a home and a car if they needed one. Then I'd pay off all of their bills. Then I'd put money away to send my grandchildren, nieces, and nephews to college.

From what is left over I would travel and enjoy life as much as possible.

What, no money sent to the third world? How selfish.

Saulbadguy
06-24-2005, 10:09 AM
Welcome to retirement.

duncan_idaho
06-24-2005, 11:35 AM
The first thing I'd do is pay off my student loans. No more debt... but that's only $16,500...

I'd buy my parents a new home and buy myself a loft on Washington Avenue here in St. Louis.
My sister would receive a nice, slightly used car for her 16th birthday
My dad would get '79, '81 and '93 Mazda RX7s, as well as a 2005 RX8.
I'd buy myself a sports car to trick out and a practical truck for everyday use.
And thanks to a promise I made to my ex-girlfriend, I'd buy her a new Toyota Celica GT (made the promise before we dated, and we're still friends, so I'm stuck)
And I'd owe my former employers a swimming pool.
My family is in pretty good shape—and my aunts and uncles are well enough off that I wouldn't need to help them, and both my grandmas are very secure.
I'd also donate a big sum to some sort of education program in third-world countries, because I believe that's the only thing that will truly help them.
Chiefs season tickets would be nice, too...

I'd invest the rest, live off of the interest, and begin some estate planning... I'd keep my job because I love it, and use that money for purely fun purposes

Skip Towne
06-24-2005, 11:45 AM
I've pondered this more than I probably should have, since the odds are pretty bad, and the fact that I only sporatically buy a ticket.......but have 2 potential winners in my pocket right now...unchecked for a month.

I'm pretty sure, before I ever turned in the ticket....I'd get a lawyer, financial and investment advisor in order.

My thinking is, that instead of giving family a "gift", I'd probably set it up that they were a minority owner in the ticket. Lets say, The wife and I are 60% owners both of our parents and all siblings were the remaining 40% owners in a pool.

I'd set it up so that their 40% was partially paid now, with a yearly payment after, that would STOP in case of divorce.(someone isn't leaving the family and still getting that loot). I think I'd also set it up, so that the youngest siblings wouldn't get the majority of their cut, until they finished college and or turn 25.

the rest, I think I'd set myself and future generations up with long term investments (land aquisition in Rural Iowa) among other things. I'd set up a fund for family(college for neices-nephews etc) with limited funds available for extended family education and carefully chosen charity cases.

My long time plan has been to return to my hometown, start a company that requires some higher skill sets, and guarantee any local kid, who attained the required training a job, at a competative wage in our state. The thinking is, it encourages more of "the good crop" to stay local, and improve the area longterm.

I'd buy a farm, put in a long lane off the road, build my cabin home and series of trophy bass ponds and probably wouldn't install a phone. I would also buy some season tickets of the Chiefs, and get a tricked out RV, and driver to take my cohorts to the games.
Good plan you got there, Clyde. Keeping the good crop home should do wonders for keeping Wanker county good and inbred.

Iowanian
06-24-2005, 11:49 AM
If thats true, in a couple of centuries, if we all stay within the family, it'd be almost like Arkansas...with Better Dental plans and proper book Learnin.

Brock
06-24-2005, 11:56 AM
I'd keep my job because I love it, and use that money for purely fun purposes

I think the moment a lottery winner says they're going to keep working, the prize should be rescinded.

"Ohhh, sorry!"

duncan_idaho
06-24-2005, 01:38 PM
Brock -

So because I like working at the Sporting News, I can't be a lottery winner?

Goapics1
06-24-2005, 01:41 PM
Then they get to help run the family business, whatever the hell it is, if they want a part of the rest.
Meth lab owner written all over it.

Thig Lyfe
06-24-2005, 02:18 PM
I would buy 1000 minivans, 1000 houses with backyards, go on 1000 shopping sprees and open a savings account.

Priestgets30TDs
06-24-2005, 02:34 PM
I share this attitude. I think the struggle to get where I am financially makes me appreciate where I am. It is what makes me think carefully about financial decisions instead of just going out and buying the shiny bauble.

Yet, I can see how your children might start resenting you....and you wouldn't want that to fester over the years.

Warren Buffett is either the richest or second richest man in America. He's not going to leave any of it to his kids. I'd be pissed, but then again I'm a pretty lazy person with low character so maybe he has the right idea.