POWERBALL players were encouraged to check their numbers as a ticket worth more than $600,000 was sold.
California officials revealed that the ticket holder won after Wednesday’s drawing.
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The ticket was purchased at a 7-Eleven convenience store in Milpitas – a city located in Silicon Valley.
The player from California matched five numbers.
Meanwhile, six players across the country matched four numbers and the Powerball, pocketing at least $50,000.
No player hit the jackpot, which now stands at $206 million.
The prize has a cash value of US$95.7 million and the next The draw takes place on Saturday, June 8th.
Prizes in the popular lottery game range from $4 to the jackpot.
Players have a 1 in 24.87 chance of winning a prize, according to Powerball bosses.
Players must defy odds of about one in 292.2 million to land the life-changing amount of money. money.
Jackpot winners face a dilemma if they match all the numbers.
They can receive the award in one lump sum or in installments over 29 years.
The lump sum tends to be the most popular option, but experts warn of the risks.
Players who go the route of claiming the lump sum are making a mistake, according to some lottery lawyers.
Legal expert Andrew Stoltmann previously told The US Sun that some winners do not have the infrastructure to handle such a large sum.
“They then take this enormous sum of money and they just don’t know what to do with it,” he said.
Lottery winnings: lump sum or annual fee?
Players who win big on lottery tickets typically have a choice to make: lump sum or annual fee?
Both payment methods can affect how much money you receive from your prize.
Annuities are paid slowly in increments, usually over 30 years.
Lump sums are paid all at once, but in smaller amounts since taxes are withheld all at once. This means 24% of your prize goes to Uncle Sam immediately. Many states also tax earnings.
Annuities can give winners time to create the financial infrastructure needed to receive a life-changing amount of money, but lump sums have the advantage of being taxed only once.
It’s also worth considering inflation when making a choice, as payments don’t adjust to the value of a dollar. This means you will likely receive less valuable money at the end of an annuity.
Each state and game pays prizes differently, so it’s best to check with your state’s lottery to confirm payment policies. A financial advisor can also help you weigh the pros and cons of each option.
Experts have differing opinions on the possibility of take the fixed amount or take the annual fee.
Jared James, founder of the Lotto Edge lottery algorithm, recommended that winners accept the annual fee.
Winners often face demands for money from family members, but James explained that accepting dues makes it easier to refuse such demands.
“It’s easy to tell people, ‘Hey, I don’t have all these millions in the bank, so I can’t write you this check,” he told The US Sun.
Jackpot winners lose a portion of the prize before taking it home due to taxes.
They are hit with a 24% federal tax rate and their new fortune may be charged depending on where they purchased the ticket.
California doesn’t tax lottery winnings and neither does Florida, but players in New York get hit with a hefty 10.9% tax.
This story originally appeared on The-sun.com read the full story
