Should I decline Grand Prize trip because of taxes on winnings?

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a5ehren
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by a5ehren » Fri Nov 03, 2017 3:02 pm

I won a similar (though lower Retail Value) prize several years back through MasterCard and it was a phenomenal trip for anyone with even a marginal interest in golf with access to some really cool stuff that doesn't have a cash value.

I know this board is all about Stealth Wealth, but at some point you do need to spend some of that money. And if you have enough income to be in a 40%+ net tax regime you'll be fine either way.

Da5id
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Da5id » Fri Nov 03, 2017 3:05 pm

a5ehren wrote:
Fri Nov 03, 2017 3:02 pm
I know this board is all about Stealth Wealth, but at some point you do need to spend some of that money. And if you have enough income to be in a 40%+ net tax regime you'll be fine either way.
I don't have the sense this is really a money based decision for them. It is a "we wouldn't have chosen this, should we spend $4000 on it as opposed to some other vacation or activity we actually choose" decision, rather than "should we spend 4K on an awesome experience or put it in the bank to fund our 1% SWR target".

Capsu78
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Capsu78 » Fri Nov 03, 2017 3:50 pm

It's a lot of fun getting behind the scenes of these types of events. But I would not spend a penny until I saw some actual travel arrangements that I could verify myself. Said above but vet the sponsoring organization to make doubly sure they are legit.

As an aside, I worked in direct mail for a BtoB catalog a couple decades ago. Another product manager got budget approval to sponsor a grand prize "Alaska Cruise" package- mostly everything included,$12,000 value IIRC. She was convinced her product launch would be a huge source of prospects and buyers for her product line. We received exactly 5 entry's, picked one card and looked up the winning clients sales activity. This client had purchased one small item for $17 some 3 years earlier! The winner vetted us pretty well and it took a one on one phonecall from our group GM to convince her we had a legitimate contest going! My companies plans for fulfillment were to use our corporate travel department to handle the details.

Needless to say, the GM wanted to know all of the metrics and costs involving the contest- the product manager and 3 layers of managers all had an uncomfortable "splaining" meeting with the GM before he went to his EVP to "splain" as word got out what a boondoggle had occurred in our division at a time the financials were coming off a crappy couple of years.

The PM did get a postcard from the winner however!
Last edited by Capsu78 on Fri Nov 03, 2017 5:25 pm, edited 1 time in total.

wrongfunds
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by wrongfunds » Fri Nov 03, 2017 5:23 pm

Great story!!!

tim1999
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by tim1999 » Fri Nov 03, 2017 5:38 pm

I am a true golfaholic yet I would probably pass on this trip. $4,000 for a new set of clubs I don't need (mine are just fine, if they weren't, I would have already bought new ones), tickets to a tournament I don't want to watch (unless it's the Masters I have zero interest in watching professional golf in person, can't think of anything more boring), and two rounds of golf at courses I could probably get on by my own doing if I really wanted to. Not a good value to me by any means.

Atilla
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Atilla » Fri Nov 03, 2017 6:08 pm

Here's my take: if it's legit and you can easily afford the taxes - take the trip.

Who cares if you wouldn't think of spending your own money for a trip like this? Get outside your box and go on an adventure. Might be the time of your life.

I say this having just come back from my wife's work trip to Munich.

I would have never thought to spend all my own money for a trip to Germany - no sandy beaches and palm trees there. :D Had ZERO appeal to me.

But her work trip came up - heavily discounting the cost for both of us to go - so I tagged along.

We had the time of our lives and someday maybe will go back. Take the trip!
The Village Idiot - here for your entertainment.

aristotelian
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by aristotelian » Fri Nov 03, 2017 6:32 pm

If you wouldn't pay $4k cash for this, you shouldn't pay the government $4k more in taxes.

JBTX
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by JBTX » Fri Nov 03, 2017 6:56 pm

Spirit Rider wrote:
Fri Nov 03, 2017 8:46 am
Do not assume you will have to pay taxes on $9000 just because the sweepstakes places that value on the package. It is to their benefit to inflate this value.

You can easily dispute this value with the IRS. The true value is what you would have pay if you were buying the Individual components yourself. For example, you win a new 60" TV. They will use the retail price of the TV. You can use the best price at Amazon, Walmart, etc...

Price out the airfare, accomodations, custom golf clubs, golf pro lessons, golf course fees, etc... There are even likely packages available for some or all of the above. Price them now and check them on every Tuesday between now and when you go. I wouldn't be surprised to find a true cost of this "package" for < $5K.
I never thought about this, but it makes perfect sense.

I'm a triple digit golfer who rarely plays any more. It might be interesting to follow a player for 2 or 3 holes but beyond that I could care less. Would I take the trip? Really depends on the other perks. I would attach little personal value with hobnobbing with a pro golfer for a day. I guess you could get the once in a life time chance to annoy the golfer by always being the first, and the closest, to always utter "Nice Shot!" and "You da Man!" a microsecond after he has hit the ball.

So are you saying your marginal tax rate is over 50% ($5000 tax / $9000) = 55%? Maybe if you are highest bracket in CA (39.6+13.3+ 1.45 +0.9 = 55%, then I guess so.

Ruger
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Ruger » Fri Nov 03, 2017 7:18 pm

I'm not a golfer, and I don't even like it. But I would go in a heart beat. As you say, it's a once in a lifetime experience. You say you don't travel much, so look at this as using up all the vacation time you haven't used before.
Go and enjoy!

Bfwolf
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Bfwolf » Fri Nov 03, 2017 8:05 pm

I don't follow golf, but I would absolutely go on this trip. ESPECIALLY if it's in Hawaii. I think you'll be surprised by how much fun you have and how cool it is being behind the scenes. In other words, I think you're probably underestimating how cool this trip will be, and after you go you'll say to yourself "I can't believe I considered not claiming that!" Selling the golf clubs will take some of the financial sting out of it, too.

If you do go, please report back on how it goes!

Slacker
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Slacker » Fri Nov 03, 2017 8:53 pm

As a worker bee myself, I'd decline this trip.
If it isn't a trip I'd be willing to pay $4000 for - I certainly would never frivolously spend my limited vacation time on said trip.

If I were retired and the tax costs were insignificant vs wealth, I'd take the trip even though I don't like golf. Having the free time, I'd be open to the radically different experience as opposed to what I normally do with my vacation time.

Erwin007
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Erwin007 » Fri Nov 03, 2017 9:01 pm

phisher4 wrote:
Fri Nov 03, 2017 9:31 am
I had a similar situation where I won a brewery tour vacation in St. Louis, MO at Budweiser from a magazine contest. Two first-class tickets, 5 star hotel stay, and personalized tours of the brewery. Retail price: $6000.

While it was initially exciting to win a prize, I declined. However, before I did so, I asked if they would be willing to decrease the prize amount by changing some aspect of the trip. They were willing to do so, but not by enough to make me inclined to go to St. Louis for a weekend for ~1.5K in taxes.
So why did you enter the contest?

Erwin007
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Erwin007 » Fri Nov 03, 2017 9:03 pm

ldebhaar wrote:
Fri Nov 03, 2017 7:48 am
At first I thought it was a spam/spoof email “You are the grand prize winner of our sweepstakes!”. Turns out, last week I actually DID WIN the grand prize which includes not only one, but two golf related trips. I spent the first 48hrs making calls and writing emails to confirm this was legitimate. This is a once in a lifetime opportunity to hang out with the golf pros during a famous tournament in January, get fitted for my own set of custom clubs, play on two different famous courses, have an individual lesson with a pro, and other perks.



The issue is, the prize is worth around $9000, which I will have to pay taxes on. Given our high tax bracket it will probably be close to $4000! These trips include things that I literally could not pay to do, such as walking on the course during the tournament with one of the famous golfers. It is an amazing opportunity and I’m sure will be an incredibly fun time and leave me with great memories and stories.



However, my interest in golf is medium. I play occasionally throughout the summer, and I do not watch golf on TV. I cannot take cash instead of the trips, and I can’t transfer the prize to anyone else, it has to be me and one guest. My husband has about the same level of interest in golf as me. (My FIL and MIL however are green with envy-I wish I could give it to them!).



Financially we can easily afford to do this. However we don't typically travel a lot, and have built up a significant net worth by being frugal . Like my husband said, “if you were going to spend $4000 on a trip, would this be it?” And the answer is no, this is not my “dream trip”. However it is an unusual opportunity that will never happen again, and I’m sure I would enjoy it. Is that enough reason to do it??????? I would appreciate everyone’s thoughts! Are there other financial implications I'm not thinking about?
So why did you enter the contest? If you don’t really like to golf, and don’t want to play with pros, or go to some exotic locale, why even enter at all? Assuredly there were lots of people who entered who really wanted to go.

Jack FFR1846
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Jack FFR1846 » Fri Nov 03, 2017 9:14 pm

As a non-golfer and someone burned out on travel from so much business travel, I'd pass. But that's me.

If you want to go and you're willing to pay the tax, go. If not, don't. I think there are lots of golf/vacation/travel fans in this thread. Maybe sell this to one of them?
Bogle: Smart Beta is stupid

VaR
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by VaR » Fri Nov 03, 2017 9:47 pm

Spirit Rider wrote:
Fri Nov 03, 2017 8:46 am
Do not assume you will have to pay taxes on $9000 just because the sweepstakes places that value on the package. It is to their benefit to inflate this value.

You can easily dispute this value with the IRS. The true value is what you would have pay if you were buying the Individual components yourself. For example, you win a new 60" TV. They will use the retail price of the TV. You can use the best price at Amazon, Walmart, etc...

Price out the airfare, accomodations, custom golf clubs, golf pro lessons, golf course fees, etc... There are even likely packages available for some or all of the above. Price them now and check them on every Tuesday between now and when you go. I wouldn't be surprised to find a true cost of this "package" for < $5K.
Agree with this. Some details on how to do this are in this article: https://www.thebalance.com/how-to-dispu ... xes-897036
Which was referenced from this article: https://www.thebalance.com/which-taxes- ... 897085.t's Some good tips in there about making sure that the prize is legit and not a scam. They say that a key sign is if you are asked to send any money. That's a major red flag.

You'll get a new, presumably good set of clubs that should have some decent fair market value. Keep them or maybe investigate whether you can ebay them and use that as the fair market value with the IRS.

For the trip itself, I agree with those asking if you think the location itself is worth going to. And see if the prize sponsor will give you a breakdown of the ARV they are giving you.

Are they flying you to Hawaii in First Class? :)

beebog
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by beebog » Sat Nov 04, 2017 9:25 am

You mentioned there were two trips. Can you take a different person on each trip? I'd say take MIL on first trip and FIL on second. Depending on their financial situation, they might be willing to split the tax liability with you?

motorcyclesarecool
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by motorcyclesarecool » Sat Nov 04, 2017 9:41 am

Thread TL;DR but I did read the OP. If you use an air miles / points credit card to pay the $4000 in estimated taxes, and earn a sign on bonus or two doing it, then you can take a vacation of your liking AND take this trip of a lifetime.
Understand that choosing an HDHP is very much a "red pill" approach. Most would rather pay higher premiums for a $20 copay per visit. They will think you weird for choosing an HSA.

scorcher31
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by scorcher31 » Sat Nov 04, 2017 11:27 am

I don't think they OP has to pay taxes up front, from how I read her initial post. I'm still curious how she got entered in a contest for a prize she didn't want. I'd love to hear more about the trip. If it is a Hawaii trip that includes nice restaurants, airfare and a nice hotel I'd be more interested golfing or no golfing. Generally though If I really wouldn't pay 4k for the trip then I wouldn't go.

avalpert
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by avalpert » Sat Nov 04, 2017 11:46 am

motorcyclesarecool wrote:
Sat Nov 04, 2017 9:41 am
Thread TL;DR but I did read the OP. If you use an air miles / points credit card to pay the $4000 in estimated taxes, and earn a sign on bonus or two doing it, then you can take a vacation of your liking AND take this trip of a lifetime.
You can use credit cards to pay $4000 in estimated taxes that you don't actually owe, file your return and get it back as a refund if you need a way to manufacture spend - no reason to actually take on a $4000 tax liability for a 'trip of a lifetime' you don't want to do so.

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midareff
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by midareff » Sat Nov 04, 2017 12:42 pm

goblue100 wrote:
Fri Nov 03, 2017 7:54 am
Take the trip. In your words, its a "once in a lifetime opportunity". The last I checked, you only get one lifetime. There is such a thing as being too frugal.
Amen... go and enjoy.

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dual
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by dual » Sat Nov 04, 2017 12:47 pm

Interesting that we get these 70+ post threads with no feedback from original poster. Several of us, including me, have asked why OP thinks this is not a bogus offer but crickets.

chevca
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by chevca » Sat Nov 04, 2017 12:48 pm

I've always been wary of these offers and said, no thanks. Although, I have received phone calls and not emails saying I won some grand prize trip or cruise. But, I always ask how I won and they say I won some drawing. I tell them I haven't entered any drawings. Then I ask if they know my name. They don't and say they will gather all that info. I say, how did "I" win if you don't even know my name???

I agree with an earlier poster, if it seems too god to be true.....

Seem like fishing expeditions to me. Next thing you know you're giving out name, credit card info, and who knows what other info to who knows who. No thanks, I'm too suspicious and untrusting to go along with some grand prize winnings I didn't even enter a contest for.

BAM!
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by BAM! » Sat Nov 04, 2017 3:23 pm

Just go.

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Mel Lindauer
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Mel Lindauer » Sat Nov 04, 2017 4:06 pm

aristotelian wrote:
Fri Nov 03, 2017 6:32 pm
If you wouldn't pay $4k cash for this, you shouldn't pay the government $4k more in taxes.
My sentiments, exactly.

BTW, you didn't mention if you even entered into this contest. My scam alert red flags would definitely be up on this.
Best Regards - Mel | | Semper Fi

jerryk68
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by jerryk68 » Sat Nov 04, 2017 4:12 pm

chevca wrote:
Sat Nov 04, 2017 12:48 pm
I've always been wary of these offers and said, no thanks. Although, I have received phone calls and not emails saying I won some grand prize trip or cruise. But, I always ask how I won and they say I won some drawing. I tell them I haven't entered any drawings. Then I ask if they know my name. They don't and say they will gather all that info. I say, how did "I" win if you don't even know my name???

I agree with an earlier poster, if it seems too god to be true.....

Seem like fishing expeditions to me. Next thing you know you're giving out name, credit card info, and who knows what other info to who knows who. No thanks, I'm too suspicious and untrusting to go along with some grand prize winnings I didn't even enter a contest for.

Gee!!!! you took the words right out of my mouth.

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sergeant
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by sergeant » Sat Nov 04, 2017 5:24 pm

Scam alert! I bet they want the "taxes" up front. I have had hundreds of victims/winners come into the lobby at work after winning a contest. Not one ever got their money back.
Lincoln 3 EOW!

Lafder
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Lafder » Sat Nov 04, 2017 9:04 pm

Hmmm. I also won a golf trip that was the grand prize in a charity raffle worth 1500$. The second prize was an actual 1000$ furniture store gift certificate.

I called the place my prize was an all paid 3 day stay at and looked online. The nicest rooms were under 200$ a night. Calculating meals and the extra golf games included, it would have cost me under 1000$to just pay for the trip out of pocket.

In order to get the prize I needed to NOT pay anything, but I needed to sign a tax form saying I had won a 1500$prize. I simply insisted they adjust the tax form to say the gift was worth the actual cost. They refused. I ended up refusing to sign the form saying I got a 1500$gift, and got nothing. It was a not exciting to me "golf resort" more than 5 hours drive from me and I would have never gone on my own. Whoever donated the prize got to claim a 1500$ donation which annoyed me!

I agree with the comments to not pay anything up front, and to only go if it is worth the 4000$to you.

lafder

bberris
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by bberris » Sat Nov 04, 2017 9:57 pm

If you paid 9,000 to go on a trip, you would have paid income taxes on the money you spend for the trip. So if it is something you really want to do, I wouldn't let the taxes stand in the way. You are still 9,000 better off than paying for the trip out of pocket, after income taxes.

ldebhaar
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by ldebhaar » Mon Nov 06, 2017 8:33 am

OP HERE:

I'm overwhelmed with all the thoughtful responses to my question! I wanted to let you know that I have 100% confirmation that this is real. I spent DAYS going through every possible means of confirming this is legitimate, and now know for certain this is not a scam.

People have asked why I even entered the sweepstakes if I wasn't sure I wanted to go. I got an email a few months ago from a company I am a customer of that sponsors the event, regarding the sweepstakes. I remember looking at it for maybe 30 seconds and returning the email with my entry which only included my name and email. I did not have to send anything by mail, this literally took me a few seconds to do, so I thought "why not?" I never in a million years would have thought I would win! Next time I will think more carefully before I enter a contest.

I spent all weekend going over the different responses and considering my options. In the end, I have decided to accept the prize and go on the trips. Life is short and this feels like an opportunity that is just too unique to pass up. My husband and I are going on the trip in January together as an anniversary trip. The second trip I will be inviting either my MIL or FIL, who will be thrilled.

Thanks to everyone for all your help! I know I am so lucky to be in such a "tough" position. I tend to be overly frugal, and I think this is one of the times to loosen the purse strings a bit and enjoy my journey in life. Thanks again!

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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by student » Mon Nov 06, 2017 8:44 am

ldebhaar wrote:
Mon Nov 06, 2017 8:33 am
OP HERE:

I'm overwhelmed with all the thoughtful responses to my question! I wanted to let you know that I have 100% confirmation that this is real. I spent DAYS going through every possible means of confirming this is legitimate, and now know for certain this is not a scam.

People have asked why I even entered the sweepstakes if I wasn't sure I wanted to go. I got an email a few months ago from a company I am a customer of that sponsors the event, regarding the sweepstakes. I remember looking at it for maybe 30 seconds and returning the email with my entry which only included my name and email. I did not have to send anything by mail, this literally took me a few seconds to do, so I thought "why not?" I never in a million years would have thought I would win! Next time I will think more carefully before I enter a contest.

I spent all weekend going over the different responses and considering my options. In the end, I have decided to accept the prize and go on the trips. Life is short and this feels like an opportunity that is just too unique to pass up. My husband and I are going on the trip in January together as an anniversary trip. The second trip I will be inviting either my MIL or FIL, who will be thrilled.

Thanks to everyone for all your help! I know I am so lucky to be in such a "tough" position. I tend to be overly frugal, and I think this is one of the times to loosen the purse strings a bit and enjoy my journey in life. Thanks again!
Please report back on your experience. I think some of us would like to hear whether you enjoy the trip. Thanks...

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Will do good
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by Will do good » Mon Nov 06, 2017 10:19 am

I think you made the right decision. As a very high income earners what is $4k for a once in a lifetime experience?
Enjoy!

SrGrumpy
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by SrGrumpy » Mon Nov 06, 2017 10:59 am

OP: Excellent. I love it when someone gives the correct answer. Enjoy.

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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by dumbbunny » Mon Nov 06, 2017 11:03 am

Four words - YOLO
“It’s the curse of old men to realize that in the end we control nothing." "Homeland" episode, "Gerontion"

csm
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by csm » Mon Nov 06, 2017 12:21 pm

So glad to hear - looking forward to a trip report when you get back!

jlcnuke
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by jlcnuke » Mon Nov 06, 2017 12:22 pm

If you heard about a "deal" on the exact trip and it would cost $4k to go, would you take advantage of that deal? If yes, then go. If not, then don't.

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DaftInvestor
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by DaftInvestor » Mon Nov 06, 2017 3:36 pm

One financial thought:
Is the $9000 number coming from them?
Have you assessed the Fair-Market-Value of the trip yourself? Are you sure it is $9000.
I may not know what I'm talking about here but a relative that won a trip told me he had assessed the Fair-Market-Value of a trip by pricing out discount airline tickets and hotel stays in order to reduce his tax burden when he won a trip - he said his assessment was far lower than the original one he was given.
I knew someone else that won a trip and said they never received any tax documentation from the company so it was up to them to price it out themselves - that individual said they then "forgot" to claim the winning come tax time (Not suggesting this at all - simply stating that the responsibility on figuring out the value of the winning might be on you).
In any case - I'd go. If you actually entered a sweepstakes to win the trip why did you do so if you didn't plan on going?

VaR
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by VaR » Mon Nov 06, 2017 11:21 pm

ldebhaar wrote:
Mon Nov 06, 2017 8:33 am
OP HERE:

I'm overwhelmed with all the thoughtful responses to my question! I wanted to let you know that I have 100% confirmation that this is real. I spent DAYS going through every possible means of confirming this is legitimate, and now know for certain this is not a scam.
Good for you! Yay! You actually won a real prize!
I spent all weekend going over the different responses and considering my options. In the end, I have decided to accept the prize and go on the trips. Life is short and this feels like an opportunity that is just too unique to pass up. My husband and I are going on the trip in January together as an anniversary trip. The second trip I will be inviting either my MIL or FIL, who will be thrilled.
Have a great time!

If you have the time and remember to, please come back and tell us how much fun you had! It doesn't have to be a trip report or anything, but it'll add to the community. :)

ldebhaar
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by ldebhaar » Fri Nov 10, 2017 8:19 am

OP AGAIN:

Great suggestions about doing some research on the Fair Market Value of the trip. I will definitely look into that!

And I will be happy to follow up after the trips with an update. Thanks to all!

phisher4
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by phisher4 » Sat Nov 18, 2017 11:03 am

Erwin007 wrote:
Fri Nov 03, 2017 9:01 pm
phisher4 wrote:
Fri Nov 03, 2017 9:31 am
I had a similar situation where I won a brewery tour vacation in St. Louis, MO at Budweiser from a magazine contest. Two first-class tickets, 5 star hotel stay, and personalized tours of the brewery. Retail price: $6000.

While it was initially exciting to win a prize, I declined. However, before I did so, I asked if they would be willing to decrease the prize amount by changing some aspect of the trip. They were willing to do so, but not by enough to make me inclined to go to St. Louis for a weekend for ~1.5K in taxes.
So why did you enter the contest?
The contest was for multiple different prizes, including cash and cars. I won the "grand prize trip," sponsored by Budweiser. :sharebeer :sharebeer

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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by EddyB » Sat Nov 18, 2017 11:49 am

Will do good wrote:
Mon Nov 06, 2017 10:19 am
I think you made the right decision. As a very high income earners what is $4k for a once in a lifetime experience?
Enjoy!
I don’t really understand this logic. I hope the OP enjoys the trip, but that something is a once in a lifetime experience doesn’t seem to me to be the end of the question. I am curious whether many of the positive answers have reflected those posters’ own interest in this kind of trip. What if it had been exclusive access to some high-stakes video-gaming competition? Would people have been equally in favor?

ArmchairArchitect
Posts: 211
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by ArmchairArchitect » Mon Nov 20, 2017 1:21 pm

I believe there are ways to argue the value of the item, for IRS tax purposes. Ie. if you have documentation/evidence that the same trip could've been bought for much less (as compared to retail prices).

LarryAllen
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Location: State of Confusion

Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by LarryAllen » Mon Nov 20, 2017 1:32 pm

I'll take it! Sounds awesome! :)

goblue100
Posts: 353
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by goblue100 » Tue Nov 21, 2017 12:14 pm

EddyB wrote:
Sat Nov 18, 2017 11:49 am
Will do good wrote:
Mon Nov 06, 2017 10:19 am
I think you made the right decision. As a very high income earners what is $4k for a once in a lifetime experience?
Enjoy!
I don’t really understand this logic. I hope the OP enjoys the trip, but that something is a once in a lifetime experience doesn’t seem to me to be the end of the question. I am curious whether many of the positive answers have reflected those posters’ own interest in this kind of trip. What if it had been exclusive access to some high-stakes video-gaming competition? Would people have been equally in favor?
I have 0 interest in golf, what factored into my answer was the OP's self reported "medium" interest in golf and the description of it as "once in a lifetime" experience. My "once in a lifetime" experience would not be the same as OP's, or most likely yours. If someone said they had a medium interest in high stakes video gaming and it would be a once in a lifetime experience, I'd say go for it. Life is short, enjoy it while you can.
An appendectomy is a once in a lifetime experience, but I would advise OP to avoid it if they can. :)
Some people are immune to good advice. - Saul Goodman

J295
Posts: 1231
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Re: Should I decline Grand Prize trip because of taxes on winnings?

Post by J295 » Tue Nov 21, 2017 5:03 pm

Let’s say someone offered to sell me something I didn’t want for half price, would I buy it? No. What if in addition to that they told me it was a really neat thing in this unique hBobby area that very few other people could have, but I didn’t care for the hobby area, would that change my mind so that I take it? No

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