Powerball After Taxes
Below is an analysis of the current Powerball jackpot, showing both the advertised Annuity and Lump Sum amounts and their ultimate worth after taking into account federal and state tax. You can also view the Powerball annuity payout table further down, which details the amount a single winner of the jackpot would receive each year from their lucky win should they choose the annuity option. You can view the latest Powerball Payout here.
By Alex Kiam
Current Jackpot Analysis
- Those can be an extra burden for you. States try to put heavy taxes on Lottery Jackpot winnings. Lotteries may take the tax percentage before paying you the money. There are some ways you can save some money from the taxes imposed on your lottery winnings, but for that, you need to hire an expert in that area.
- Final (30th) Payment (after Taxes): How to Win the Lottery If you want to seriously increase your odds of becoming a Mega Millions or Powerball winner, then take a look at the world’s best lottery pools to see how you can cheaply and easily play at least 30 tickets each drawing.
This means that after federal taxes, you'd be left with a cool $177.1 million. For Saturday night's $350 million Powerball jackpot drawing, the cash option is $221 million. Lottery winners can collect their prize as an annuity or as a lump-sum. Often referred to as a “lottery annuity,” the annuity option provides annual payments over time. A lump-sum payout distributes the full amount of after-tax winnings at once. Powerball and Mega Millions offer winners a single lump sum or 30 annuity payments over 29 years.
| Jackpot Type | Annuity | Cash Lump Sum |
|---|---|---|
| Initial Advertised Value | $42,000,000.00 | $31,000,000.00 |
| Federal Tax: | -$10,080,000.00 | -$7,440,000.00 |
| State Tax: | -$0.00 | -$0.00 |
| Final Total* | $31,920,000.00 | $23,560,000.00 |
Powerball After Taxes Payout
* Please Note: In addition to federal and state tax, some cities and counties may also levy an additional local income tax, which will be applied on top of all other tax. Check with your local authority to see if this applies to you.
Powerball Annuity Calculation Table
Jackpot winners who opt for the annuity payout will receive their winnings over a period of thirty years, with payouts increasing by 5% year-on-year. The table below shows a breakdown of the gross annuity value and the applicable federal and state tax for each year.
| Year | Gross Annuity Value | Federal Tax (24%) | State Tax (0%) | Net Total |
|---|---|---|---|---|
| 1 | $632,160.27 | -$151,718.47 | -$0.00 | $480,441.81 |
| 2 | $663,768.29 | -$159,304.39 | -$0.00 | $504,463.90 |
| 3 | $696,956.70 | -$167,269.61 | -$0.00 | $529,687.09 |
| 4 | $731,804.54 | -$175,633.09 | -$0.00 | $556,171.45 |
| 5 | $768,394.76 | -$184,414.74 | -$0.00 | $583,980.02 |
| 6 | $806,814.50 | -$193,635.48 | -$0.00 | $613,179.02 |
| 7 | $847,155.23 | -$203,317.25 | -$0.00 | $643,837.97 |
| 8 | $889,512.99 | -$213,483.12 | -$0.00 | $676,029.87 |
| 9 | $933,988.64 | -$224,157.27 | -$0.00 | $709,831.36 |
| 10 | $980,688.07 | -$235,365.14 | -$0.00 | $745,322.93 |
| 11 | $1,029,722.47 | -$247,133.39 | -$0.00 | $782,589.08 |
| 12 | $1,081,208.60 | -$259,490.06 | -$0.00 | $821,718.53 |
| 13 | $1,135,269.03 | -$272,464.57 | -$0.00 | $862,804.46 |
| 14 | $1,192,032.48 | -$286,087.79 | -$0.00 | $905,944.68 |
| 15 | $1,251,634.10 | -$300,392.18 | -$0.00 | $951,241.92 |
| 16 | $1,314,215.81 | -$315,411.79 | -$0.00 | $998,804.01 |
| 17 | $1,379,926.60 | -$331,182.38 | -$0.00 | $1,048,744.21 |
| 18 | $1,448,922.93 | -$347,741.50 | -$0.00 | $1,101,181.42 |
| 19 | $1,521,369.07 | -$365,128.58 | -$0.00 | $1,156,240.50 |
| 20 | $1,597,437.53 | -$383,385.01 | -$0.00 | $1,214,052.52 |
| 21 | $1,677,309.40 | -$402,554.26 | -$0.00 | $1,274,755.15 |
| 22 | $1,761,174.87 | -$422,681.97 | -$0.00 | $1,338,492.90 |
| 23 | $1,849,233.62 | -$443,816.07 | -$0.00 | $1,405,417.55 |
| 24 | $1,941,695.30 | -$466,006.87 | -$0.00 | $1,475,688.43 |
| 25 | $2,038,780.06 | -$489,307.21 | -$0.00 | $1,549,472.85 |
| 26 | $2,140,719.07 | -$513,772.58 | -$0.00 | $1,626,946.49 |
| 27 | $2,247,755.02 | -$539,461.20 | -$0.00 | $1,708,293.81 |
| 28 | $2,360,142.77 | -$566,434.26 | -$0.00 | $1,793,708.50 |
| 29 | $2,478,149.91 | -$594,755.98 | -$0.00 | $1,883,393.93 |
| 30 | $2,602,057.40 | -$624,493.78 | -$0.00 | $1,977,563.63 |
| TOTALS | $42,000,000.00 | -$10,080,000.00 | -$0.00 | $31,920,000.00 |
Powerball After Tax Calculator By State
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Powerball After Taxes
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