Winning millions wouldn’t stop most from working

Estimates of home value appreciation above 10 percent over the next year is not really believable, expert says.
Zillow
Sep 16, 2013

By S.E. Slack

Would you keep your job if you won $10 million in the lottery? Polling firm Gallup says you probably would. A recent survey showed that two-thirds of workers claimed they would continue to work despite a hefty lottery windfall. The younger the worker, in fact, was more likely to hang on to that job instead of quitting a job to start a band.

There are plenty of reasons for workers’ unwillingness to leave the security of even the most annoying job. Life in general, according to experts, would chip away at those millions pretty quickly.

Gasoline has jumped the $4 per gallon mark in some areas, grocery bills are sneaking up a few pennies more each shopping trip and even real estate isn’t the bargain it was just a year or two ago. And, while estimates of home value appreciation above 10 percent over the next year is not really believable, real estate firm Zillow states home values will still continue to rise in most areas between 2 and 5 percent in the coming year. That’s enough to start shaving away at a tax-reduced lottery win faster than ever before.

People also don’t think of $10 million as a lot of money now, either. Thanks to television shows like Survivor, they know lottery winnings are heavily taxed and often distributed over a period of time as annuities, greatly diminishing the actual amount of money available for use each year. Some workers, says Gallup, may also believe they still need to work in order to meet their long-term monetary objectives.

The closer you are to retirement, according to Gallup, the less concerned you are about making that bonanza last through the golden years. Those aged 55 or older are most likely to abandon jobs if they win a $10 million lottery.

Younger workers, though unwilling to stop working, are more agreeable to seeking out a new job.