Lottery Syndicate Agreement

A lottery syndicate is a highly effective way of improving your odds of sharing a major lottery prize but without having to increase the amount of money that you spend each week. The simple fact of the matter is that to improve your odds of sharing the jackpot, the only real way to do this is to buy or have a share in more tickets. With so many different lottery games held every week and each game costing a minimum of £1 to enter, the cost of buying more tickets can soon mount up.

Syndicates

Syndicates can be formed with a group of friends or even with the rest of your family. Many offices and other work places also run their own syndicate and there are also online syndicates with some offering players the chance to take part in all of the major lottery games every week. Alternatively, you could set your own syndicate up although this does take time and effort on your part.

Sharing Winnings And Making Payments

On the flip side of the syndicate coin is the fact that you do have to share your winnings equally with all other members of the syndicate. From time to time there are news stories of syndicates where members are seemingly unwilling to share their winnings fairly with other players. There are also occasions when one or more players have been unable to pay their entry fee and dispute arises over their share of the winnings. At times like these, a lottery syndicate agreement can help pave a smoother path to sharing the winnings.

Inheritance Tax

The lottery effectively offers tax free winnings to all players. However, as a member of an unofficial syndicate this means that your winnings are essentially gifted to you by the person that claims the winnings. While that person does not have to pay tax on their winnings, you are responsible for the payment of so called inheritance tax. Gifting money from lottery winnings to anybody leaves the gift recipient liable to pay these taxes. A lottery syndicate agreement can help you bypass this problem too.

Your Lottery Syndicate Agreement

If you are running or a member of a syndicate then you should consider having a simple lottery syndicate agreement in place. This will help ensure that everybody knows the rules, it will prevent any disputes arising over missed payments and sharing winnings, and it will also help to negate the need for syndicate members to pay out part of their winnings as inheritance tax.

We have an example non official Lottery Syndicate Agreement that you can use here