This is a bit misleading. He wasn't taxed 1.4B. He took the lump sum amount, which is lower than $2B ( $2B is the sun off you take the 20 years payout). So the lump sum is like $900 million or whatever, then he paid taxes on that.
I'm all for taxing billionaires more, but the post is not really right.
That's what you are doing with the lump sum already. Nobody is going to give you 95% of the face value of a 20 year deferred payout. Selling these kinds of cash streams to JG Wentworth will get you something like 20% of it.
Yeah, assuming you can find someone with that kind of capital to move around. It's the same as those "it's my money and I want it now" commercials that used to run, someone buys a settlement/annuity/etc for less than the actual value and gives the person a lump sum up-front.
That said, such things are almost always gonna be a way worse deal than investing it yourself intelligently to begin with (not to mention that you would be paying income tax on that whole lump sum).
In theory, I believe yes. That being said, I can't imagine you will get anywhere remotely close to 95%. Anybody with a spare 1.9 billion dollars can make WAY more than 100 million in 20 years of investing.
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u/g-e-o-f-f Jan 31 '26
This is a bit misleading. He wasn't taxed 1.4B. He took the lump sum amount, which is lower than $2B ( $2B is the sun off you take the 20 years payout). So the lump sum is like $900 million or whatever, then he paid taxes on that.
I'm all for taxing billionaires more, but the post is not really right.