EXETER TWP., Pa. – A person who bought a Powerball ticket in Exeter Township is now the lucky winner of the million-dollar prize. Now what?
“Once you win the lottery, take a breath, take a step back and look at the situation,” said Chris Powers, executive vice president, Girard Advisory Services LLC.
“A million dollars. That’s crazy,” reacted Joseph Garcia, of Exeter Township.
“A million bucks sounds like a lot, but a million dollars won’t last your lifetime, and to some people, that’s a shock, but it’s very easy to run through money,” Powers said.
Over at the Giant on Perkiomen Avenue in Exeter Township, a person’s life was changed after winning a million dollars in the Powerball. But what does this really mean?
“The lottery winnings are ordinary earnings,” Powers said. “They basically add on to your adjusted gross income for the year, so it’ll adjust your tax bracket accordingly.”
This means that a new lottery winner could get taxed as a millionaire.
“Probably walking away with a little under $700,000,” Powers said.
The financial advisor said you can either take the payment as a lump sum or in smaller payments.
“An annuity basically pays you a set amount every month or every year, you know, during your lifetime,” Powers said.
Some people in Exeter Township offered how they would use the money if they had won.
“What I would do with a million dollars? I’d changed the world, like, I probably wouldn’t even invest in material things for myself,” Garcia said. “I probably contribute that money, you know, to help people.”
“Well, I pay off all my debts, for one,” another man said, “and then I’ll pay for my kids’ future education.
Powers said winners should hire professionals to help them organize their earnings responsibly.
“Have a budget for fun, and have a budget for, ‘This is going to take care of my family, or this is going to pay off my debt, or this is going to, get into a better house, or a better situation,'” he said.