No Matter Who Wins MegaMillions, Obama’s a Bigger Winner

The MegaMillions Jackpot is reaching record territory this week.  On Tuesday December 17, 2013 the Jackpot is $550M, and the cash option is $295.3M.  If you won this money – and elected the cash option – at this time last year, you would have paid $24.8M less in taxes.  Obama’s tax increases will cost, a cash option winner, close to $25M in taxes.

How do we get to that number?  

Continued after the jump

Due to Obama policies the top marginal tax rate went from 35% to 39.6% on January 1, 2013.  That’s a difference of 4.6% or approximately $13.6M on the cash option winnings.

The Affordable Care Act, put in place a 3.8% surtax on unearned income starting January 1, 2014.  This results in an $11.2M increase in taxes on the cash option winnings.

This is a total increased tax burden on a sole MegaMillions winner, that elects the cash option, of $24.8M.

That’s $24.8M less a winner can give to charity, $24.8M less they can share with family and friends, and $24.8M less they can use to help the truly needed in their own community.  $24.8M less that goes to Barack Obama and his failing policies.

About Rob "EaBo Clipper" Eno

  • …like earned income?  You want to let those who get income earned off investments to get a better deal than those of us who have to work to make an income.  Also, the first $250,000 of unearned income is exempt…pretty sweet, I wish I didn’t have to not pay medicare taxes on my income under $250,000 (yes, I admit, I don’t make more than that).

     

  • Protip: it’s all tax. Except for the one dude who wins it. But the rest?  All tax.

    You can’t win the lottery. It’s statistically impossible. You’re better off lighting your cigars with $100 bills. At least that way you get a nice cigar.