Benefits of Lottery
Lotteries are totally different from other gaming products. Lottery players usually risk vast sums of cash against long odds in the hopes of winning a sizeable price, while the proceeds help improve public infrastructure. Lottery is a government monopoly in the U.S and winners are promised a great payoff, with rewards amounting to thousands of dollars. This article aims at highlighting some of the pros and cons of playing the lottery.
1. Financial freedom
The lottery indeed provides financial freedom to the winner and his family. The cash certainly comes in handy if you have been struggling financially or trying to settle a debt. Therefore, if you have won a sizeable amount of cash, you can either decide to take annuity payments or take all the cash. Since both options have their pros and cons, it is advisable to consult an expert to ensure you make sound decision.
2. Tax benefits
Although unknown to many, taking your winning as cash means you are receiving the lottery prize as cash payments. In simple terms, you have to pay tax on the amount of money you get from the winnings. Thereafter, you have no further tax payments. You can spend and mange the money in any way that you find fit.
3. Long-term benefits
Both the annuity and cash payment have their share of benefits. You can decide to receive cash payments if you want to settle debts. Annuity payments on the other hand are suitable when you want a stable and consistent income and yet you are unable to invest the proceeds in a meaningful way.
4. Psychological benefits
I always had a misconception that lotteries are pure economics. However, research shows that playing the lottery has psychological benefits as it paves way for you to better your life.
Winning the lottery is mere luck therefore think twice before you spend your hard earned money on the odd chances of winning.