Winning a million dollars isn’t truly a million dollars. First, calculate cash up front brings it down to $500,000, then paying 50% taxes reduces it to $250,000 – no, I wouldn’t quit my job.
What I would do – all or some of these until I’ve spent $250,000:
1) Invest half
2) Put a down payment on a house
3) Rescue a dog or two
4) Buy Disneyland annual passes
5) Ride the Pacific Surfliner from San Diego to the northern-most part
6) Disney cruise to Bahamas
With investing half, and not touching it, the money could grow quickly into college funds for my kids. It would afford me more flexibility in where I’d work since I currently follow a 7-year plan to work at one of two private universities in my area to earn my children free tuition. It’d afford me to take regular summer vacations, big or small, to build family memories. What does your “Win a million list” have on it?
For a character comparison, let’s ponder winning the lottery that I actually bought a ticket for. I limit myself from becoming a problem gambler by only playing the large lottery drawings for $100 million and above – as if winning 7 million ISN’T worth its weight in gold. I know my odds fall from “Not even” to “Never in a million years!” with this strategy. If I won the $241 million Mega Lottery – cash up front brings it down to $120.5, then 50% for taxes reduces it again to $60.25 million. Yes, I would give sufficient notice to quit my job.
Then I would:
1) Invest half
2) Donate to charities
3) Pay cash for a house
4) Rescue a dog or two but not until we returned from…
5) 2 Semesters at Sea – before my kids go to college. Anyone may book the 100-day around-the-world cruises. Two hemispheres means two semesters. Add in the cost of flying their dad to come spend weekends with them at ports around the world.
6) I’d love to randomly reward kindness and goodness that I witness in strangers
7) Set up more scholarships locally for kids to play sports
What would you do with $241 million dollars?