No one had a winning ticket for last night’s Mega Millions drawing. According to that lottery’s website, the annuity value of one winning ticket in the next drawing is $1.02 billion. I believe this is the fourth ten-figure jackpot in US lottery history. It is likely that amount will increase before Friday’s drawing as such large jackpots induce people to buy many more tickets than they would have otherwise.
Of course, most winners take the cash, which is currently estimated at about $602 million. With higher interest rates, the ratio of the cash payout to the annuity value decreases as the investments used by lottery agencies have higher rates of return.
My wonderful wife and I buy tickets for most Mega Millions and Powerball drawings; we are buying more than usual for the Mega Millions. In mathematical terms for the nth time, if we don’t play our probability of winning is zero. If we do play, then our chance of winning asymptotically approaches zero. Think of the simple expression 1/x. No matter how large x becomes the value of that expression is never quite zero.
I am not sure if the 3.8% Net Investment Income Tax (NIIT) would apply to a multi-million dollar lottery winning. That tax is levied on “high-income” earners to help fund Medicare, which is in worse financial shape than Social Security, but that’s another story. NIIT is supposed to only apply to capital gains, interest or dividends. If it does not apply, then in Arizona a person/household would net about 58.5% of a huge lottery win, which would be $352 million as an only winner.
If we won, I don’t think we would spend eight figures on a house. Something like this would suffice:
This house is all on one level, an absolute must-have for our next house. It has about 5,200 square feet on three-quarters of an acre and it has a five-car garage. It was built in 2007.
Of course, I can’t really say with any certainty what we would do if we won a nine-figure lottery jackpot. We have talked about it some, but we both know it’s an extremely unlikely scenario. We also know that no matter how much money we have, our time is finite. I don’t think we would want to wait 2-3 years to have a custom home built. Still, if you don’t have dreams you have nightmares.
******************
I am 99.9% sure I have never written about my loathing of every Old Navy commercial I can remember. This goes back decades to the obnoxious woman with the giant glasses to today’s over-choreographed, over-cutesy spots. I have never set foot in an Old Navy store and I never will. I’m sure Old Navy doesn’t care about me, but I will have my say.
******************
This recent Hemmings article is about an engine that has been written about before in this blog: Oldsmobile’s Turbo-Rocket V-8, the world’s first “mass production” V-8 with a turbocharger. From the piece:
As the article states, with computer controlled engines still in the future, Oldsmobile relied on “an ingenious setup of mechanical valves, vents and diaphragms [that] served as the brains of the operation.” One of the commenters expressed his views on what was the real downfall of the engine in the marketplace, as it was only offered for two model years (1962 and 1963).
“Olds insistence upon a high compression ratio (counter-intuitive with forced induction) and mitigated by rocket fluid for want of yet to be developed wastegate controls and was its downfall. Customers often failed to abide by the need to use the fluid and bang went the little aluminum engine.
GM would never have rolled this technology out had it not performed admirably in extensive tests. What needed testing was would-be buyer resolve to follow instructions. [emphasis mine]”
Just like much of the Corvair’s handling issues were attributable to customers/attendants not adhering to the unusual PSI requirements of the tires (15 PSI front, 26 rear), if customers did not heed warning lights to keep the Turbo Rocket fluid tank filled, then the engine would likely fail. You can lead a horse to water…
Today, turbocharged engines are ubiquitous. They are a great way to maintain respectable (or better) performance while improving fuel economy and lowering emissions. They would be a great part of future engines running on eFuels/synthetic fuels, but the blind EV zealots are going to make sure that transition will never happen, much to our detriment.
#WanderingWednesdayBillionDollarLotteryEdition
#OldNavycommercialssuck
#OldsmobileTurboRocketV8
#somanyCARSjustonelife
#disaffectedmusings
If you like this blog please tell your friends and share the blog URL (https://disaffectedmusings.com). Thanks.
Disaffected Musings 
Re; Olds Turbo Rocket
“Customers often failed to abide by the need to use the fluid and bang went the little aluminum engine.”
Even today, most drivers can’t even be bothered to check oil levels, tire pressure or ANY basic maintenance item, so it’s not surprising that something like the water/alcohol mixture was ignored. There is a Sub Reddit called “Just rolled into the shop.” There are videos of cars/trucks that have came in and are in unbelievably terrible condition, to the point that they are a hazard to the driver and other motorists.
https://www.reddit.com/r/Justrolledintotheshop/
#Peoplearedumb
LikeLike
Thanks, DDM. Unfortunately for all of us, some people are VERY dumb.
LikeLike
I’d have a $100 million charity, invest $100 million in an S&P fund, divide $100 between family and friends, use $30 million to live off the rest of my days, buy the house(s), cars, and associated toys with $20 million, and go wild personally investing the remaining $2 million. As I get older, I’m finding it takes less to satisfy me. For example, now that I’ve spent a nice sum on an audio rig, I can’t imagine spending $100,000+ on equipment. And one can only have but so many houses before ownership becomes a pain in the butt. Now cars…
LikeLike
Thanks, Doc. How we would divide up such a huge windfall is something my wonderful wife and I have discussed in very broad strokes. One allocation would be to an account(s) that is not be to used except in an absolute emergency. How much that would be has not been determined and it’s just a 1 in 302,000,000 chance that it ever will. Still, that’s not zero in 302 million.
LikeLike
Good luck, no matter the odds, on that MegaMillions, my friend!
I think I’d buy an airplane (and its associated, very expensive, hangar and accessories). I concur with Mr. Banner on how multiple home ownership can be a pain. Of course, with the resources, management of a vacation home can be purchased.
I admit to taking care of my cars but only to the manufacturer’s recommendations. When I go to the dealer and they present me with some add-on maintenance item while the car is getting its x,000-mile tweaks, I ask to see it as part of Toyota’s maintenance schedule. That usually kills the sale. 🙂
LikeLike
Thanks, JS. I have to admit that, at times, I tell my wonderful wife we should stop buying lottery tickets. It’s not that we are spending our last dollar on them, but it does seem to be sort of an exercise in futility. Then, when a jackpot like the current Mega Millions happens it’s impossible for us not to buy tickets.
LikeLiked by 1 person