Sell Lottery Winnings, Take a Lump Sum or Stick with a Structured Annuity

You can either sell lottery winnings or stick with a long term annuity payout.

You may sell lottery winnings or keep a long term annuity payout.

Sell Lottery Winnings for a Lump Sum of Cash or Stick with a Structured Annuity?

Winning the lottery is a dream, but as soon as the initial joy has worn off you’ll find out that a few decisions have to be made.  Should you take the lump sum offered by the state, go for the 25 to 30 year term structured annuity payments or then later sell lottery winnings to a third party? Taxes and a financial concept known as the Time Value of Money significantly affect the amount of money you’ll receive with either payment method. Additionally some states will only payout the winnings via the structured annuity payment. Even if you chose the long term annuity originally you may be eligible to sell lottery winnings to a third party and receive a lump sum of cash.

Corona Capital buys structured annuity lottery winnings. You can sell lottery winnings to us for a lump sum of money. However, first and foremost we want you to be informed and make decisions that are right for you. If that means using our service to sell lottery winnings now for cash then we’ll gladly provide you with the highest level of service.  We’ll also strive to provide the most money should you decide to sell lottery winnings.

There are many great resources about how to best handle your big win. After all, how you choose to receive your money may be one of the largest decisions of your life. Consulting a Financial Advisor is highly recommended. We believe that an educated customer is a good customer.  To clarify the specifics of collecting your casino, jackpot or lottery winnings as a structured annuity payment versus taking a lump sum or later selling annuity winnings we’ve listed the pros and cons for you below.

Please call us at +1 (888) 852-5658 if you’d like a quote for your annuity, casino, lottery, or structured settlement paymentsOur Account Managers are here to help you answer any questions you may have. If you prefer simply fill out our contact form to get a quote for annuity, casino, lottery and structured settlement winnings.  😉

Pros if You Keep Long Term Annuity Payout

Pros if You Sell Lottery Winnings

Choosing a long term structured annuity payout may be the best option for you for many reasons. Here are the pros of getting a structured annuity for your casino or lottery winnings. Despite the aforementioned benefits, there are also some drawbacks to choosing to collect your casino, jackpot or lottery winnings as a structured annuity payout.

The Taxes on a Lottery Structured Annuity Payment Should be Lower for the First Year

You Can Make Large Purchases Outright without a Loan if you Sell Lottery Winnings

Structured annuity payments from lottery winnings typically span 25 to 30 years. The state classifies your casino, jackpot or lottery winnings as income just like you’d receive from a job. Since the payments are spread out over time the Tax Bracket on the first year of the Annuity Payment should be less than if the casino, jackpot or lottery winner chooses a lump sum payout. Even if you sell lottery winnings in the future you’ll have to consider the tax consequences.  The Highest Amount of Tax a Single Filer Would Pay in 2014 is 39.6% for an income equal to or greater than $406,751. Think about that for a moment.  That is basically a whopping 40% of your lottery winnings.  You will most likely want to set up an Individual Retirement Account (IRA) in addition to other investments. A Financial Advisor can help you choose your investments wisely. Consult with an Accountant regarding the tax implications of your winnings whether you decide to take the lump sum payout, long term annuity or even later sell lottery winnings to a third party. Not all large expenses are necessarily impulsive or financially irresponsible. College tuition, medical bills or a nice warm and inviting house are all very reasonable to want for you or your family. Unless you really hit it big time, an annual or monthly structured annuity won’t provide you the opportunity to make large purchases without a loan whereas choosing the lump sum payout option or choosing to sell lottery winnings will. Also, taking out a loan in and of itself seems a bit pointless as you’re creating debt that you don’t need to. The Interest Rate on the loan is probably similar to the Discount Rate you’re being charged to take the lump sum all at once.  When you sell lottery winnings to a third party the discount rate will be more than if you had originally chosen the lump sum payout. Even so, it may make financial sense.  It depends on the discount rate the factoring company charges.  Even if the loan offers better terms you’re still stuck with the burden of debt.

Your Lottery Payments are Protected by Law for the Duration of Your Structured Annuity Payout

You Can Settle Your Debts with a Lump Sum Payout if you Sell Lottery Winnings

When you choose to get your casino, jackpot or lottery winnings through a structured annuity, your payments are protected by the state’s government. This means that despite any economic volatility you’ll always receive your payments. These payments are safe, secure and should come on time like clockwork without any issues. If you’re the type of person that craves security and stability then a structured annuity payout would be ideal for you as opposed to having you take a lump sum or sell lottery winnings. Settling a debt is one of the best investments you can make. Regardless of the obvious financial rewards, having no debt offers you a piece of mind that is priceless. Imagine owning your own gorgeous home and a few toys you’ve always wanted without ever owing anyone a dime? How about paying for your child’s education without leaving them the burden of having to pay back student loans? It’s an amazing feeling even if you’re not a lottery winnerGet a quote to sell lottery winnings with Corona Capital.

A Structured Annuity Payment Forces Discipline

You Can Invest if You Sell Lottery Winnings

It’s not uncommon for casino, jackpot and lottery winners to lose all their lottery winnings within a short period of time due to lack of financial knowledge and impulsive purchases. Monster mansions, extravagant sports cars, huge flat screen TV’s and entertainment systems are great but wasting all your winnings on these items is a huge mistake. Only the mansion can be considered an appreciable asset. The remaining items will no doubt depreciate over time. Choosing to have your casino, jackpot and lottery payments paid out via a structured annuity will force you to maintain some sense of discipline and will prevent overindulgence and financially irresponsible purchases. A major benefit of getting your casino jackpot or lottery money in a lump sum payment is that you can invest it. Investing is more or less the only way to make sure the value of your money doesn’t decline over time. Although it may appear to be safe, leaving it in a bank checking or savings account is actually one of the worst things you can do. Most big banks offer less than a 1% per year return and the Federal Deposit Insurance Corporation (FDIC) insures savings accounts guaranteed to at least $250,000 per account. Seek the guidance of a Financial Advisor who will assist you in Diversifying Your Investments into a Portfolio that is geared for both growth and safety.

A Structured Annuity Payout Allows Time to Learn Finances Before you Run Out and Sell Lottery Winnings

The Time Value of Money Means that Your Annuity Payments Aren’t Quite as Valuable as You Thought

Assuming you’re not a Financial Guru, choosing an structured annuity payment for your lottery winnings can give you the time you need to learn about tax consequences and most importantly develop a financial strategy. If needed, you’ll still have the opportunity to sell lottery winnings in the future in most states. A casino, jackpot or lottery winner should become familiar with the financial investments available to them including investing in Bonds, Businesses, Certificates of Deposit, Exchange Traded Funds (ETF’s), Mutual Funds, Real Estate, Real Estate Investment Trusts (REIT’s), Small Cap, Mid Cap and Large Cap Stocks and more. The last thing you want to do is leave your money in a checking or savings account that earns little to no interest. A licensed Financial Advisor can help you come up with an overall plan that diversifies your investments into a portfolio that agrees with your risk tolerance. You can also buy a book on investment ideas and strategies. Think of it as “going to school”. Although you don’t need be an expert you should become familiar with the financial tools available to you that will both grow and protect your wealth. Money decreases in value over time.  Inflation and the financial concept known as the Time Value of Money dictate that $1,000 right now is worth more than a $1,000 in the future. Therefore not having your casino, jackpot or lottery winnings instantly available or “Liquid” can be a big drawback. What if an emergency or a once in a lifetime opportunity arises? Some people simply want access to their money whenever they feel like it period. Luckily you can sell lottery winnings to a third party in exchange for a lump sum of money.  If you feel you’re financially responsible enough to handle the lump sum cash get a quote to sell your lottery winnings today with Corona Capital. Again, having a Financial Advisor in your corner is indispensable. The goal is to beat the rate at which your lump sum payout is discounted. So if your lump sum payout is discounted at 9%, you better have a goal of reaching at least a 9% return on your fortune. This is absolutely possible if you diversify your portfolio of investments and have a good Financial Advisor in your corner.

If You Choose a Lump Sum Payment or Sell Lottery Winnings the Amount You Receive Will be Discounted

Corona Capital Ensures You Get the Most Money if You Sell Lottery Winnings

If you choose to receive a lump sum payout or sell lottery winnings for your future lottery payments it will be discounted. This is due to the Time Value of Money. Your states’ lottery commission will discount the amount you receive anywhere from 2-5%. This is in addition to the mandatory federal and state taxes that will be taken out. There are, however, seven states that have no Income Tax; they are Alaska, Florida, Nevada, South Dakota, Texas and Washington. Additionally Tennessee and New Hampshire only tax dividend and interest income. If you live in any of the aforementioned states then you’ll only have to pay the Federal Tax. Our low cost of business operations and vast network of funding sources allows us to give our customers the most money for all types of payments including annuity, casino, lottery and structured settlement payments. Call us today at +1 (888) 852-5658 to speak with one of our Account Managers.  If you prefer simply fill out our online quote request form to get a quote to sell lottery winnings and we’ll attempt to contact you as soon as possible.  Our Account Managers are kind and will treat you respectfully.  Find out how much your payments are worth.  Call now!