A LUCKY lottery player recently beat the odds to win a multi-million pound prize.
They discovered the big win just in time for her birthday and after her last radiation treatment for breast cancer.
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Donna Osborne, a resident of Lancaster County, Pennsylvania, told lottery officials last month that the combination of her birthday and cancer treatments made the win “bittersweet,” according to a Press release.
The 75-year-old explained that she bought her Monopoly Own It All scratch-off receipt after waiting for a flight to Florida with her daughter.
“We were going to see family in Florida when the flight was delayed,” Donna said.
“Well, it was late so many times that I decided to go home.”
After leaving, Donna went to a nearby Speedway gas station and purchased the scratch-off ticket from the convenience store inside.
SMALL CHANCE
The Pennsylvania resident quickly discovered she had won the $5 million top prize.
“I couldn’t believe my eyes!” Donna exclaimed.
Nervous that she was making a mistake, she took the ticket back to the clerk to check the amount that would change her life.
“Well, the clerk said ‘That’s right!’” the winner recalled.
“If I hadn’t left the airport, I would never have bought that ticket!”
Donna called her daughter, who stayed at the airport and flew to Florida, to tell her the news.
She went to the Pennsylvania Lottery headquarters in Middletown to claim her prize in late June and was given two options for receiving the money offered to each lottery winner.
CHOOSE WISELY
They can choose to receive the funds through a one-time distribution, lump sum, or annuity payments spread over several years.
Donna chose the lump sum, a common choice for winners.
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 get the lump sum or take the annual fee.
Although she received all the money at once, a heavy tax was taken out of the pot for the federal government and the state of Pennsylvania.
The federal government always imposes a 24% tax on all lottery winnings over $5,000.
States choose their rate, typically based on income tax, and Pennsylvania is set at 3.07%.
Donna ended up giving up about $1.3 million for taxes, but still walked away with $3.6 million.
It’s still a considerable return that she said she plans to use for investments and a trip to Alaska.
A lottery winner in North Carolina had a similar experience with his recent $100,000 prize – only left with just over $70,000 after taxes.
A player from Kentucky also lost about half of his $1 million prize instantly.
This story originally appeared on The-sun.com read the full story
