Sitting at home thinking about this last night...

 

With the new jackpot estimated at $1.3 Billion dollars, I was thinking about ways that money could be used that would benefit a lot of people for a long time. College tuition popped into my head.

 

Let's assume the average 4-year college tuition is $50,000 (public, state college with in-state tuition). With the money of this one jackpot, you could pay for the college education of 26,000 people.

 

Pretty interesting if you think about it that way.

My question is if they jackpot is 1.5 billion, how much is the lottery commission making, and where does all that money go?

I'm in a lottery group at work of about 20 people. Stats say I would get $28 million after taxes if the group wins. That's crazy.

The Today Show (this morning) had some good illustrations. The only one that I can remember exactly is that your chances of winning the powerball are the same as flipping a quarter & landing on heads 28 consecutive times.

We had 68 tickets for Saturday. Not sure how many we will have for Wednesday, but I donated my $2.

Give like never before and change my family tree!!!!

You could buy the Buffalo Bills.

I'm sure everyone has seen this by now, but odds are 1 in 292 Million. I'll donate another $2 for Wednesday.

 

 

I believe the cash option at this level is around $800M.

Sitting at home thinking about this last night...

 

With the new jackpot estimated at $1.3 Billion dollars, I was thinking about ways that money could be used that would benefit a lot of people for a long time. College tuition popped into my head.

 

Let's assume the average 4-year college tuition is $50,000 (public, state college with in-state tuition). With the money of this one jackpot, you could pay for the college education of 26,000 people.

 

Pretty interesting if you think about it that way.

 

 

 

You'll never have the money to give out. People give the money because of the rare chance of winning.

My question is if they jackpot is 1.5 billion, how much is the lottery commission making, and where does all that money go?

States make commission off of sales...winning doesn't matter to them. I don't think a state get's a bonus for having a winner from their state but I could be wrong.

 

Here is how it is broke down..https://www.kylottery.com/apps/about_us/where_the_money_goes.html

My question is if they jackpot is 1.5 billion, how much is the lottery commission making, and where does all that money go?

You could elect to receive the full 1.5B spread over a longer period (not sure how many years).

 

If you take the cash option, they use a time value of money calculation, which basically is the amount of cash they would pay you today, that if invested at the prescribed interest rate, over the same time frame, would yield you the 1.5B total. Or look at it like this, if they put 800M in an account and it earned X% interest, they could pay you your yearly payment out of that fund, and with the earnings added, it would last the length of time needed to pay you all your payments.

 

I don't know where all the lotto money goes, but in KY a good portion goes to pay for KEES money for college. Administration and advertising would have to be a big chunk of their expenses. I'm sure that info is available somewhere on their website.

You could elect to receive the full 1.5B spread over a longer period (not sure how many years).

 

If you take the cash option, they use a time value of money calculation, which basically is the amount of cash they would pay you today, that if invested at the prescribed interest rate, over the same time frame, would yield you the 1.5B total. Or look at it like this, if they put 800M in an account and it earned X% interest, they could pay you your yearly payment out of that fund, and with the earnings added, it would last the length of time needed to pay you all your payments.

 

I don't know where all the lotto money goes, but in KY a good portion goes to pay for KEES money for college. Administration and advertising would have to be a big chunk of their expenses. I'm sure that info is available somewhere on their website.

Link in my post gives the break down.

Link in my post gives the break down.

Yeah, I just saw that, pretty interesting. I was typing my post before I saw yours.

...

$500M is a LOT of money.

 

If you invested the whole lot of the money, and earned an average of 3% per year on all investments, you would have roughly $15M per year of income to live on. I could live really well and do a whole lot of good with $15M per year.