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In U.S. lotteries, winners typically choose between two payout options: ��� Annuity – distributed over 30 years, or ���Lump sum – a one-time payment, reduced by roughly 50%. After that, the IRS takes up to 37% in federal taxes, and in states like California, another 13.3% may apply. So why do most experts recommend taking the lump sum instead of long-term payments? It comes down to the time value of money, inflation risk, and the uncertainty of future payouts. With a lump sum, you can invest imm
0:07
In U.S. lotteries, winners typically choose between two payout options: ��� Annuity – distributed over 30 years, or ���Lump sum – a one-time payment, reduced by roughly 50%. After that, the IRS takes up to 37% in federal taxes, and in states like California, another 13.3% may apply. So why do most experts recommend taking the lump sum instead of long-term payments? It comes down to the time value of money, inflation risk, and the uncertainty of future payouts. With a lump sum, you can invest imm
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