Should this woman still be allowed to collect state aid?

[AGDee]

Originally Posted by PiKA2001

Oh that poor 20 something year old thing only winning 1 mil....

Honestly, if someone gave me almost $600k right now (at 30) I could probably live out the rest of my days pretty comfortably with maybe only a part-time job waiting tables or working at Starbucks to augment my income.

I could, on my own, but not with kids. I think my daughter will end up costing me twice that by the time I'm done raising her...lol.

So, you could buy a small house for $100K or so (these days, after it has been completely remodeled), you could get a new car for $30K or so (modest one). That eliminates mortgage payments and gives you a vehicle for 7 or 8 years, probably... more if you don't drive much. So you have about $470K left. From there, you need about (monthly):
$200/month utilities (heat, electric, water)
$500/month groceries/gas
$250 car insurance/home owners insurance
$250 property tax
$200 clothes/entertainment/spending money

That's $1400/month. Not counting investment interest (because you could lose your shirt in the stock market and can only get *maybe* 5% on a CD/money market), that'll carry you for 335 months or 27 years. The interest you do get would basically be your adjustment for inflation. I could do it, but not with the kids. I doubt I'll live longer than 27 more years...

That doesn't really cover extra stuff like vacations, home repairs/remodels, car repairs or future cars once yours dies either... It also didn't include internet, phone, or cable service.

I definitely wasn't justifying her being on food stamps. That is just wrong. I was just pointing out that this wasn't a huge jackpot lottery.

[PiKA2001]

Originally Posted by AGDee

I could, on my own, but not with kids. I think my daughter will end up costing me twice that by the time I'm done raising her...lol.

So, you could buy a small house for $100K or so (these days, after it has been completely remodeled), you could get a new car for $30K or so (modest one). That eliminates mortgage payments and gives you a vehicle for 7 or 8 years, probably... more if you don't drive much. So you have about $470K left. From there, you need about (monthly):
$200/month utilities (heat, electric, water)
$500/month groceries/gas
$250 car insurance/home owners insurance
$250 property tax
$200 clothes/entertainment/spending money

That's $1400/month. Not counting investment interest (because you could lose your shirt in the stock market and can only get *maybe* 5% on a CD/money market), that'll carry you for 335 months or 27 years. The interest you do get would basically be your adjustment for inflation. I could do it, but not with the kids. I doubt I'll live longer than 27 more years...

That doesn't really cover extra stuff like vacations, home repairs/remodels, car repairs or future cars once yours dies either... It also didn't include internet, phone, or cable service.

I definitely wasn't justifying her being on food stamps. That is just wrong. I was just pointing out that this wasn't a huge jackpot lottery.

First things first...spending $30k on a car is modest to you? If I'm spending that kind of money on a car it better be an BMW or an Audi. All of the automakers are making pretty decent vehicles these days that are in the $15k-$20k range (that's modest).

Another thing to consider; She's young, seems to be attractive, and loaded. I'm sure she'll find a spouse who will most likely contribute to the household finances.

I'm also sure she'll be dead broke in 6 years...

[ASTalumna06]

Originally Posted by AGDee

I could, on my own, but not with kids. I think my daughter will end up costing me twice that by the time I'm done raising her...lol.

So, you could buy a small house for $100K or so (these days, after it has been completely remodeled), you could get a new car for $30K or so (modest one). That eliminates mortgage payments and gives you a vehicle for 7 or 8 years, probably... more if you don't drive much. So you have about $470K left. From there, you need about (monthly):
$200/month utilities (heat, electric, water)
$500/month groceries/gas
$250 car insurance/home owners insurance
$250 property tax
$200 clothes/entertainment/spending money

That's $1400/month. Not counting investment interest (because you could lose your shirt in the stock market and can only get *maybe* 5% on a CD/money market), that'll carry you for 335 months or 27 years. The interest you do get would basically be your adjustment for inflation. I could do it, but not with the kids. I doubt I'll live longer than 27 more years...

That doesn't really cover extra stuff like vacations, home repairs/remodels, car repairs or future cars once yours dies either... It also didn't include internet, phone, or cable service.

I definitely wasn't justifying her being on food stamps. That is just wrong. I was just pointing out that this wasn't a huge jackpot lottery.

Originally Posted by PiKA2001

First things first...spending $30k on a car is modest to you? If I'm spending that kind of money on a car it better be an BMW or an Audi. All of the automakers are making pretty decent vehicles these days that are in the $15k-$20k range (that's modest).

Exactly what I was thinking! I just bought a brand new Honda Civic last year and it was about $18,000. That's all you need.

And another question... Where the hell are you buying a completely remodeled house for $100,000?! This DEFINITELY is dependent upon where you live.

[fascination]

Originally Posted by PiKA2001

I'm also sure she'll be dead broke in 6 years...

Don't know if she's broke (probably), but she certainly is dead.

[Sciencewoman]

I have a bad feeling that's she's going to burn through this money and then be back on public assistance in a couple years...when the money runs out and she still doesn't have a job. It makes me sad when I read that about lottery winners.

[AGDee]

Ironically, I just got my tax assessment on my house. The taxable value is supposed to be half the actual value. When I bought the house, the taxable value was 72,000. Now it's 46,000. So the value of my house has gone from 144K to 92K. And I couldn't sell it for that.. it's not a real estate kind of appraisal, it's a random property tax assessment. I could sell it, maybe, for $80K. MAYBE. The house next door to mine is twice the size and was flipped after a foreclosure.. sold for $109K. Big huge cape cod. Gorgeous with granite and wood floors and.. *sigh*.

[PiKA2001]

A woman who admitted to receiving food stamps after winning $1 million on a Michigan state lotto game show was found dead today.
The circumstances surrounding Amanda Clayton's death were not immediately released by police, but ABC News' Detroit affiliate WXYZ-TV reported that sources within the police department said they suspect the woman died of an overdose.
An autopsy is pending on Clayton's body, which was found at a home in Ecorse, Mich., police said.
Clayton, who became a millionaire after her big win last September, caused outrage earlier this year when it was revealed she was continuing to get $200 in monthly food aid from the state.

http://news.yahoo.com/michigan-1-mil...opstories.html

Wow...

[AGDee]

Originally Posted by PiKA2001

http://news.yahoo.com/michigan-1-mil...opstories.html

Wow...

Helluva way to spend lottery winnings...

[KSUViolet06]

This reminds me of the oh so smart peeps who say "If it hit the million or 2 million dollar jackpot, I'm SO quitting my job the next day and moving."

Um, I don't know if you've done the math, but a million dollars (particularly in the lump sum option) is not going to get you very far.