A woman from Brooklyn, New York, beat the odds and secured a $20million lottery prize – but her choice of opting for an annuity payout to carefully manage her newfound wealth has cost her
A woman won $20million in the lottery – but a choice meant she loses a quarter of the winnings.
A Brooklyn woman has emerged victorious in Ohio’s Billion scratch-off game, claiming a staggering $20million (£15.7m) prize. But her calculated decision on how to receive her winnings cost her dearly, as she stands to lose more than $5million (£3.9m) due to taxes.
Identified only as McDonnell, the fortunate winner defied odds of 1 in 6.48 million to secure the top spot in Ohio’s highly sought-after Billion scratch-off game. Each ticket for the game comes at a price of $50.
In a departure from the norm, McDonnell opted for an annuity payout rather than a lump sum. While this decision ensures a consistent flow of funds over time, it comes at a significant cost. Instead of receiving the full $20million upfront, she will be paid $1million annually for the next 20 years.