Re: At what point does the jackpot become a factor in preflop decision
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Do you also only buy lottery tickets when "pot odds" are right??? Just wondering, 'cause I do.
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when powerball and mega million goes up to over $150million it's a even money bet so i do buy only when the lotto goes past 150.
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Powerball/Mega Million tickets have never been +EV, after you consider the following factors:
1. Your chances of splitting the jackpot.
2. You will be paid in an annuity, unless you decide to take the substantially smaller "lump sum" amount.
3. You will be taxed between 35 and 45% on your winnings, depending on what state you live in.
4. The diminishing marginal utility of money. $200 Million is not worth 20 times $10 million to the quality of most people's lives.
I did an analysis of a Powerball ticket's EV after the Jackpot hit $365 Million (a US record), and calculated that the EV was roughly $0.75. [img]/images/graemlins/frown.gif[/img]
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