Comments by "Jeremy Barlow" (@jeremybarlow2291) on "Graham Stephan"
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Its easy what you would do with that much money, especially if you take the lump sum payment.
1) Create a Private Operating Foundation and place 30% of the total dollars won -including those the tax man will be holding into that operating foundation which you will be a member of the board of directors of and with that money buy a descent regional bank worth about $500 million maybe more, maybe less depending on what that 30% looks like. Use the dividends paid by that wholly owned bank which endows the Private Foundation to fund scientific research, arts grants, housing grants, food banks, and scholarships.
2) Donate 20% of the total won, including the money the tax man will still be holding to various other private charities. This will leave you about 5% of the cash you received.
3) Re-direct the bank you own and run now to start loaning money to start-up worker cooperatives and to finance the conversion of existing businesses into worker owned cooperatives. This way you have control of a lot of money and you have economic power like J. Paul Getty did, but you don't personally own much, so you are powerful, but you aren't paying a lot of taxes, in fact, Uncle Sam and the state will owe you a massive refund, approximately HALF of what you received. This means that you will still have an enormous personal fortune, but you now have far more economic control and clout with the bank your foundation owns.
4) Pay off all of your personal debts from the initial cash winnings.
5) Next year, get that big tax refund.
6) Put 3/4 of the money into an index fund. Put 15% of the money into a personal investment account where you can take whatever risks you want and do whatever you want to do in terms of risky businesses. Set 2.5% aside into a trust fund for your family and invest that money into an index fund. Set this up as an irrevocable trust, and take the gift tax hit. With 2.5% of the money, pay the gift tax on that inheritance you set up as a generation skipping grantor trust for your family. With the remaining 5% do whatever the hell you want. That is your play and splurge money.
7) Put 1/3 of your annual dividends and capital gains into the charity foundation. Pay Taxes with 20% of the dividends and gains remaining. Re-invest 35% of the dividends and gains, and live on the 15% of dividends and gains remaining for the rest of your days.
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