MI - $1M lottery winner still gets food stamps

oh_gal

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http://news.yahoo.com/blogs/sidesho...llecting-food-stamps-winning-1-201751693.html

People love stories about someone winning the lottery and then giving the money away. They're less likely to feel fondly about Amanda Clayton, who won $1 million in the Michigan State Lottery but is still collecting food stamps.

"I thought that they would cut me off, but since they didn't, I thought maybe it was OK because I'm not working," Clayton, 24, told Local 4 news in Detroit.

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Reader

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Well, at least she has the money to pay them back when they catch on to her...since she is 'slightly' over the income and asset levels..
 

oh_gal

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I must be doing something wrong. I only have one house, and no food stamps. It must be that second house that puts her over the top. :waitasec:
 

mysteriew

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BS She is probably still getting FS because she failed to tell them that she won the lottery. All recipients are told they must report any changes in income.

Funny thing is that if she had finally reported, it is likely they wouldn't even have checked when she began recieving the stamps if she didn't tell them. They would have just cut her off and back pay would have been ignored. If they caught it on their own, most likely they would have just made her pay them back. But now that it was made public, it is very likely they will have to charge her with fraud.
 

passionflower

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So wrong! She should have to pay all back.
She knew it was wrong!
and do community service to the unfortunate that NEED the food stamps!
 

drip~drop

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MNlady

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Her and her million $$ are struggling? Can ya hang on a sec...I need a kleenex for all the tears I'm weeping for her.

I'll bet she doesn't have any money left to pay them back. She got just over half of the million $$ and bought her second house and a car. . . or is that bought 2 houses and a car?? Just about wipes out her money. . . I wonder if they will make her sell the second house to recoup their money??? :maddening:
 

SpriteGal

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Bought a 2nd house and car??? A million is a very nice sum, but spend it like that and it will be gone before long. They need to have a class for these people that win the lotto on money management, I swear...
 

kline

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If you had a million dollars why on earth would you put yourself through the emabarssment of using a Food Stamp Card?
And surely she must have known that winning that much cash would disqualify your eligibilty to keep recieving assistance.
 

davehead21

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Geez, you guys are so mean. She is struggling, give her a break. ;) :giggle:
 

DEPUTYDAWG

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Oh geez, this just irks me. She knows it was wrong. Maybe she should take some of her winnings and donate it to a food shelter or something as a nice gesture.

However, did I hear correctly on the news that the law automatically disqualifies them if the lottery winner takes out annual payments, but it doesn't automatically disqualify a person if they take thelump sum option? And then I thought I heard that legislators were working on introducing a bill to change the law, so that distinction gets taken away? I hope so. Then some good would come out of this.

Yep, would love to see her do some community service or donation - just to show she's sorry for using gov't funds when she shouldn't have. (Even if she could legally, as a human I'd say it was wrong.)
 

stilettos

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Hey chica...give back your lotto winnings or get off the dole. )&Y(*(^&*%^#
 

CanManEh

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I think i saw this today .Once again I live in canada so i don't know what would happen here but I wasn't so concerned about the food stamps as much as just how much money they actually take for taxes i guess .If this is the same one I saw It said she decided to go for the whole sum instead of the monthly pay outs and after taxes and lawyer fees she was walking away with just under 500.000 I could not believe that thats over half thats nuts .Ya i know 500.oo Is still alot but thats also a heck of a lot that they take off .And if someone was right that she bought a house and a car there goes prolly 75 percent .If I win a million I want a million dammitt lol.
 

mysteriew

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Oh geez, this just irks me. She knows it was wrong. Maybe she should take some of her winnings and donate it to a food shelter or something as a nice gesture.

However, did I hear correctly on the news that the law automatically disqualifies them if the lottery winner takes out annual payments, but it doesn't automatically disqualify a person if they take thelump sum option? And then I thought I heard that legislators were working on introducing a bill to change the law, so that distinction gets taken away? I hope so. Then some good would come out of this.

Yep, would love to see her do some community service or donation - just to show she's sorry for using gov't funds when she shouldn't have. (Even if she could legally, as a human I'd say it was wrong.)

It may be true, there may not be any provisions for lump sum payouts. But if she bought a second home that should put her over the asset limits.

BTW food stamps is a federal program and the rules that govern it are federal.
 

legalmania

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jjenny

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A lot of those lottery winners end up just as broke as they started because they can not responsibly manage the money. I am sorry to say but to me she sounds like one of those people.
 

legalmania

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A lot of those lottery winners end up just as broke as they started because they can not responsibly manage the money. I am sorry to say but to me she sounds like one of those people.

Your right jjenny they don't realize they are now in a new tax bracket. You really need a financial planner. Just because you have a lot of money doesn't mean you can buy what you want, you need to go slow and think it over and learn to say no.
 

legalmania

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I saw a rapper who made it big he was worth millions he went down to the food stamp agency with MTV cameras to tape the whole thing. He pulled up in a limo with his kids, wife. He collected a little over $300 bucks. When the agency found out he was arrested for food stamp fraud an a couple of other charges. He words were something to the effect I deserve this I pay taxes.
 
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