Forgive me if my math is wrong, but i've checked over it a few times.
I'm planning on attending the TCGPlayer 50k in a few weeks, but their prize payout seems to be either misleading or completely off. The event is widely advertised as a $50,000 tournament, but my math shows that they're paying out much less than that.
$6,400 less actually.
1st Place
$12,000 - (12000)
2nd Place
$6,000 - (6000)
3rd/4th Place
$3,000 - (x2 = 6000)
5th-8th Place
$1,500 - (x4 = 6000)
9th-16th Place
$1,000 - (x8 = 8000)
17th-32nd Place
$350 - (x16 = 5600)
12000 + 6000 + 6000 + 6000 + 8000 + 5600 = $43,600
They're paying out 760 points as well, but they would have to value them at over $8 in order for that to be the difference. If that's the case it's completely misleading unless they're willing to buy them for that price, which is about twice what i've seen anyone selling them for.
Forgive me if my math is wrong, but i've checked over it a few times.
I'm planning on attending the TCGPlayer 50k in a few weeks, but their prize payout seems to be either misleading or completely off. The event is widely advertised as a $50,000 tournament, but my math shows that they're paying out much less than that.
$6,400 less actually.
1st Place
$12,000 - (12000)
2nd Place
$6,000 - (6000)
3rd/4th Place
$3,000 - (x2 = 6000)
5th-8th Place
$1,500 - (x4 = 6000)
9th-16th Place
$1,000 - (x8 = 8000)
17th-32nd Place
$350 - (x16 = 5600)
12000 + 6000 + 6000 + 6000 + 8000 + 5600 = $43,600
They're paying out 760 points as well, but they would have to value them at over $8 in order for that to be the difference. If that's the case it's completely misleading unless they're willing to buy them for that price, which is about twice what i've seen anyone selling them for.
Yes companies use this to think you're getting more then you actualyl are. Say you buy a 250gb hardrive you aren't getting 250gbs you're getting something like 240 something. it sounds better than 43k tourney.
Or its because they are listing each payout as after tax payouts while the total prize purse (50K) is pre-tax. That isn't an uncommon practice in things like poker tournaments and other cash prize events.
Or its because they are listing each payout as after tax payouts while the total (50K) is pre-tax.
If that was the case they'd probably say so. I'm guessing that you'll still be paying taxes on the winnings. Plus, the amount paid should vary from person to person based on their earnings and other prize winnings throughout the year, no?
If that was the case they'd probably say so. I'm guessing that you'll still be paying taxes on the winnings. Plus, the amount paid should vary from person to person based on their earnings and other prize winnings throughout the year, no?
Earnings from other sources wouldn't effect the taxes. Money from different sources is taxed differently. The money you make from your 9-5 job is taxed different then prize money from a tournament. However, you are right that prize winnings throughout the year could alter a person's tax liability and maybe their tax rate (though I think it may be a flat rate for this category). I don't know what is causing the monetary discrepancy, I'm just throwing out potentially logical reasons why.
If that was the case they'd probably say so. I'm guessing that you'll still be paying taxes on the winnings. Plus, the amount paid should vary from person to person based on their earnings and other prize winnings throughout the year, no?
Little-known fact: I know StarCityGames does this, I don't know about other tournament organizers, but they give you a 1099 form if/when you win prize money.
It also just doesn't really make sense to list it like that, as you'd still receive more money than what's listed and just lose a chunk later. Why would they list prizes as LESS money than what they're actually paying out?
It also just doesn't really make sense to list it like that, as you'd still receive more money than what's listed and just lose a chunk later. Why would they list prizes as LESS money than what they're actually paying out?
To me it seems like a number like $13467 as a prize seems confusing to people (btw that number is totally made up and not based on real tax rates). So instead I would guess that tournament officials just figure out prize payouts based on tax rates so they can specifically give out a nice round number like $12000. The thinking would be "well they are actually winning $13467 but what they really take home is $12000 so lets be nice and give them that number in the advertising".
Again, I'm not sure this is accurate but it seems logical to me.
Little-known fact: I know StarCityGames does this, I don't know about other tournament organizers, but they give you a 1099 form if/when you win prize money.
They essentially "hire" you. It's quite clever.
That doesn't make sense to me. If they pay you out as an employee I'm pretty sure they have a higher tax liability on their end then if they pay you out as a contestant. I guess they may have to do this to get around some gambling laws in some areas of the country/world.
There is no legal requirement or statute about what constitutes a "50K" event. What sounds better:
"We're giving out APPROXIMATELY FORTY THREE THOUSAND SIX HUNDRED DOLLARS in prizes!"
or
"We're giving out FIFTY THOUSAND DOLLARS in prizes!"
?
Actually there are very strict rules when it comes to prizes for events. You CANNOT lie about what you are paying out (you also can't charge for entry for random drawings hence why you always hear 'purchase not neccesary' yadda yadda). That being said, they are probably listing post tax prizes. Or there are more prizes that just aren't listed right there.
Maybe it's just because I've always been a really big fan of game shows, but you have to understand the psychology of something like this. People like big, round numbers, especially multiples of 5 or 10, or numbers that can be expressed in a larger-sounding amount, such as saying "half a million dollars" instead of "five hundred thousand dollars". It's the same reason why stores price things at $9.99 instead of $10. And it's the same reason why JCPenney recently abandoned their experimental "flat pricing" and went back to coupons, sales, and discounts.
Magic players are not immune to such simple psychological tactics.
That doesn't make sense to me. If they pay you out as an employee I'm pretty sure they have a higher tax liability on their end then if they pay you out as a contestant. I guess they may have to do this to get around some gambling laws in some areas of the country/world.
There are two different kinds of employees in the United States: regular employees, and independent contractors. Independent contractors are subject to far less taxation, by the employer and employee. Not only that, but it completely eliminates the "gambling question".
Forgive me if my math is wrong, but i've checked over it a few times.
I'm planning on attending the TCGPlayer 50k in a few weeks, but their prize payout seems to be either misleading or completely off. The event is widely advertised as a $50,000 tournament, but my math shows that they're paying out much less than that.
$6,400 less actually.
1st Place
$12,000 - (12000)
2nd Place
$6,000 - (6000)
3rd/4th Place
$3,000 - (x2 = 6000)
5th-8th Place
$1,500 - (x4 = 6000)
9th-16th Place
$1,000 - (x8 = 8000)
17th-32nd Place
$350 - (x16 = 5600)
12000 + 6000 + 6000 + 6000 + 8000 + 5600 = $43,600
They're paying out 760 points as well, but they would have to value them at over $8 in order for that to be the difference. If that's the case it's completely misleading unless they're willing to buy them for that price, which is about twice what i've seen anyone selling them for.
Yes companies use this to think you're getting more then you actualyl are. Say you buy a 250gb hardrive you aren't getting 250gbs you're getting something like 240 something. it sounds better than 43k tourney.
There's a difference between GiB and GB.
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Due to real-life obligations, I am taking a long break from Magic which may include missing the local Legacy GP. Apologies for not being able to keep my threads updated.
Earnings from other sources wouldn't effect the taxes. Money from different sources is taxed differently. The money you make from your 9-5 job is taxed different then prize money from a tournament.
Actually no. While prize money IS from other sources, it is pooled into the same AGI with taxable income, and taxed in the same way as if it was just additional money from your pay. (Ignoring exclusions or the amount pushing you into a higher tax bracket of course.)
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Quote from EX33396948 »
If your deck is 60 cards then you're playing with the best possible odds. 61? Probably won't alter your odds too much but we all know that 96% pure meth won't cut it next to Heisenberg's 99%.
Yes companies use this to think you're getting more then you actualyl are. Say you buy a 250gb hardrive you aren't getting 250gbs you're getting something like 240 something. it sounds better than 43k tourney.
That's a little different.
The way companies measure HD space is based on the bytes you're getting. A 250 gig HD has 250,000,000,000 bytes in it, which should be 250 GB, but it isn't. A computer measures in base 8, which means that a gigabyte is 128 series' of 8 megabytes, which is 1024.
So, the computer reads your 250 billion bytes as having 232.8 GB, or something.
There's a lot of speculation about this and some people accusing TCG Player of being dishonest, but have you noticed what it seems no one in this topic ever bothered to do? It seems no one thought to ask TCG Player about it.
I e-mailed them noting the disparity. Their response was to thank me for pointing it out and that it's supposed to say that 33rd through 64th place got $200 each, which I assume they'll be fixing soon on the applicable page.
That's because it's not listed. If it was on the page I would be.
Anyway, it seems like that was the problem. Issue solved. I posted a comment on that page and got no response, and after a few hours i posted here. I'm not calling them out for anything here, i just wanted an explanation.
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I'm planning on attending the TCGPlayer 50k in a few weeks, but their prize payout seems to be either misleading or completely off. The event is widely advertised as a $50,000 tournament, but my math shows that they're paying out much less than that.
$6,400 less actually.
1st Place
$12,000 - (12000)
2nd Place
$6,000 - (6000)
3rd/4th Place
$3,000 - (x2 = 6000)
5th-8th Place
$1,500 - (x4 = 6000)
9th-16th Place
$1,000 - (x8 = 8000)
17th-32nd Place
$350 - (x16 = 5600)
12000 + 6000 + 6000 + 6000 + 8000 + 5600 = $43,600
They're paying out 760 points as well, but they would have to value them at over $8 in order for that to be the difference. If that's the case it's completely misleading unless they're willing to buy them for that price, which is about twice what i've seen anyone selling them for.
http://magic.tcgplayer.com/MaxPoint/2013_Championship/championship.asp
Yes companies use this to think you're getting more then you actualyl are. Say you buy a 250gb hardrive you aren't getting 250gbs you're getting something like 240 something. it sounds better than 43k tourney.
Dega midrange 1-0
EDH Decks:
WUBOloro, Combo ControlWUB
UBOona Reanimator ComboUB
BRGProssh, Eater of the Blue MageBRG
UBRGrixis StormUBR
Rebuilding Jenara (stealyourstuff.dec)
Pauper Deck:
UBInspired SirenUB
If that was the case they'd probably say so. I'm guessing that you'll still be paying taxes on the winnings. Plus, the amount paid should vary from person to person based on their earnings and other prize winnings throughout the year, no?
Earnings from other sources wouldn't effect the taxes. Money from different sources is taxed differently. The money you make from your 9-5 job is taxed different then prize money from a tournament. However, you are right that prize winnings throughout the year could alter a person's tax liability and maybe their tax rate (though I think it may be a flat rate for this category). I don't know what is causing the monetary discrepancy, I'm just throwing out potentially logical reasons why.
EDH Decks:
WUBOloro, Combo ControlWUB
UBOona Reanimator ComboUB
BRGProssh, Eater of the Blue MageBRG
UBRGrixis StormUBR
Rebuilding Jenara (stealyourstuff.dec)
Pauper Deck:
UBInspired SirenUB
Little-known fact: I know StarCityGames does this, I don't know about other tournament organizers, but they give you a 1099 form if/when you win prize money.
They essentially "hire" you. It's quite clever.
There is no legal requirement or statute about what constitutes a "50K" event. What sounds better:
"We're giving out APPROXIMATELY FORTY THREE THOUSAND SIX HUNDRED DOLLARS in prizes!"
or
"We're giving out FIFTY THOUSAND DOLLARS in prizes!"
?
To me it seems like a number like $13467 as a prize seems confusing to people (btw that number is totally made up and not based on real tax rates). So instead I would guess that tournament officials just figure out prize payouts based on tax rates so they can specifically give out a nice round number like $12000. The thinking would be "well they are actually winning $13467 but what they really take home is $12000 so lets be nice and give them that number in the advertising".
Again, I'm not sure this is accurate but it seems logical to me.
That doesn't make sense to me. If they pay you out as an employee I'm pretty sure they have a higher tax liability on their end then if they pay you out as a contestant. I guess they may have to do this to get around some gambling laws in some areas of the country/world.
EDH Decks:
WUBOloro, Combo ControlWUB
UBOona Reanimator ComboUB
BRGProssh, Eater of the Blue MageBRG
UBRGrixis StormUBR
Rebuilding Jenara (stealyourstuff.dec)
Pauper Deck:
UBInspired SirenUB
Actually there are very strict rules when it comes to prizes for events. You CANNOT lie about what you are paying out (you also can't charge for entry for random drawings hence why you always hear 'purchase not neccesary' yadda yadda). That being said, they are probably listing post tax prizes. Or there are more prizes that just aren't listed right there.
Magic players are not immune to such simple psychological tactics.
There are two different kinds of employees in the United States: regular employees, and independent contractors. Independent contractors are subject to far less taxation, by the employer and employee. Not only that, but it completely eliminates the "gambling question".
There's no ambiguity about what 50k means. They call it the "TCGplayer.com $50,000 Championship" all over the place.
It's possible they pay out $200 to 33rd-64th to make up for that difference, but forgot to include it.
There's a difference between GiB and GB.
Legacy
UWR Miracles UWR
GWB Maverick GWB
GB Elves GB
UBR ANT UBR
RG Combo Lands RG
Vintage
BUG BUG Fish BUG
Modern
GBW
Junk PodMagic: the BuylistingActually no. While prize money IS from other sources, it is pooled into the same AGI with taxable income, and taxed in the same way as if it was just additional money from your pay. (Ignoring exclusions or the amount pushing you into a higher tax bracket of course.)
This makes the most sense by far. It would be sweet to get a confirmation though. Pretty awkward to forget something like that.
The advertised value is definitely pretax, they hand winners a tax form and tell them to pay taxes on it.
That's a little different.
The way companies measure HD space is based on the bytes you're getting. A 250 gig HD has 250,000,000,000 bytes in it, which should be 250 GB, but it isn't. A computer measures in base 8, which means that a gigabyte is 128 series' of 8 megabytes, which is 1024.
So, the computer reads your 250 billion bytes as having 232.8 GB, or something.
I e-mailed them noting the disparity. Their response was to thank me for pointing it out and that it's supposed to say that 33rd through 64th place got $200 each, which I assume they'll be fixing soon on the applicable page.
That's because it's not listed. If it was on the page I would be.
Anyway, it seems like that was the problem. Issue solved. I posted a comment on that page and got no response, and after a few hours i posted here. I'm not calling them out for anything here, i just wanted an explanation.