Map: How much of the $740M Mega Millions jackpot a winner really gets
(NEXSTAR) — Another major Mega Millions jackpot is brewing but like the others that have come before it, the eventual winner won't take home all of it.
There was no winner in Tuesday's drawing, pushing the current jackpot to $740 million ahead of Friday's drawing (the total could grow even further before the numbers are drawn). At its current size, the jackpot ranks as the seventh-largest in Mega Millions history.
Should someone win the grand prize on Friday, however, they'll be taking home what feels more like the 18th-largest prize — or worse.
There are two guaranteed reasons and an unpredictable third that impact how much of a lottery jackpot a winner takes home: the payout style, taxes, and split tickets.
When it comes to Mega Millions (as well as Powerball), there are two ways a jackpot winner can claim their prize: the annuity option, or the cash option. In this case, the annuity is worth an estimated $740 million with a cash option of roughly $366.3 million.
The cash option is generally considered to be the amount of money necessary to fund the annuity option (a one-time payment, followed by 29 annual payments that grow by 5% each time).
If the winner wants all of their money now, they'll go the cash route. If they want to receive a small chunk of their winnings annually, they'll select the annuity option. Neither option will reach the payouts listed above — $366.3 million in cash, or $740 million in annuitized payments — thanks to taxes.
Every state lottery is required to withhold 25% of federal income taxes from a jackpot this large. Add in additional withholdings and the jackpot winner will see 37% in taxes pulled from their payout. Depending on where you live, even more could be withheld.
According to an analysis by USA Mega, the largest cash payout a winner could collect in Friday's Mega Millions drawing is about $230.8 million, while the largest annuity is about $467.5 million (in the states that do not have a tax on lottery prizes).
Outside of those few states, the best payout would be in Arizona — about $221.7 million in cash or $449 million in annuity. In New York, the state with the highest lottery withholdings, the payouts would be around $190.9 million in cash or $386.8 million in annuity.
The interactive map below shows roughly how much the annuity and cash payouts would be in each state, according to USA Mega's analysis.
Those calculations also don't account for the possibility of multiple winners. While the odds of winning Mega Millions' top prize are 1 in 302.6 million, there is a chance that multiple tickets in Friday's drawing could match all six winning numbers.
Two of the largest jackpots in the game's history — a $656 million prize in 2012 and a $648 million prize in 2013 — were split among three and two winners, respectively. Late last year, two Mega Millions tickets sold at the same gas station in Encino, California, won a $394 million jackpot. (Conveniently, California does not have a state lottery tax.)
Nonetheless, if you hit the jackpot on Friday, experts recommend keeping the ticket safe and building a team of financial pros before coming forward to claim your prize — regardless of how little you actually get to pocket.
Mega Millions is played in 45 states and the District of Columbia. Tickets are $2 and there are nine ways to win a prize. Drawings are held every Tuesday and Friday at 11 p.m. ET.
Date: |
-
BBC News - Top stories
Hilary Benn will not say how much money Casement will get
The government committed to the stadium's redevelopment but it will not be in time for Euro 2028.4 hours ago -
CBS News - Top stories
How much will a $1 million mortgage cost per month after rates are cut?
With the number of homes priced at $1 million or higher growing in the U.S., buyers should calculate these costs now.24 minutes ago -
CBS News - Top stories
How much credit card debt is too much? Here's what experts say
Credit card debt can easily spiral out of control. Here's how much debt is too much, according to some experts.5 hours ago -
ESPN - Sports
How Piastri went from Alpine question mark to McLaren race winner
Two years ago, Oscar Piastri was best known for his viral divorce from Alpine. Now he's a race winner, and future title contender, with McLaren.5 hours ago -
Wired - Tech
OpenAI Messed With the Wrong Mega-Popular Parenting Forum
Mumsnet CEO Justine Roberts spoke to WIRED about why licensing talks with OpenAI broke down and why her company is planning legal action.8 hours ago -
Inc. - Business
Beyond Bedside Manner: How Physician CEOs Get It Done
NYU Langone CEO Robert I. Grossman brings a radiologist's and researcher's eye to the corner office.9 hours ago -
The Guardian - World
The Stakes: how JD Vance's home town has won millions in climate investment that he calls a 'green scam'
Locals called it a ‘miracle’ when the steel plant in JD Vance’s home town got $500m for an upgrade. But Trump’s running mate calls shifting the US to cleaner energy a ‘green scam’. A hulking steel ...9 hours ago - Climate -
MarketWatch - Business
‘He forced me to take Social Security at 62’: My husband inherited millions, but never gave me a penny. If I divorce him, would I get any of it?
“We have five rental properties — two of them were inherited — and the rental money goes into a joint checking account.”13 minutes ago -
The Guardian - World
The cult of storage: is tidying really the fast track to a happier, healthier life?
Clutter and chaos can have all kinds of effects, from decreased productivity to a compulsion to eat unhealthily. So is it time we became hotel managers of our own homes?. It started innocently ...11 hours ago
More from The Hill
-
The Hill - Politics
'Hamilton' cast records 'Election of 2024' to urge voter registration
The cast of “Hamilton” has posted a video urging people to check their voter registration status ahead of National Voter Registration Day, which takes place on Tuesday. The artists performed a song ...33 minutes ago -
The Hill - Politics
China releases jailed American pastor after 18 years in prison
An American pastor jailed in China for more than 18 years was released this week, the State Department said on Monday. David Lin, 68, was arrested in China in 2006 and sentenced to life in prison. ...39 minutes ago - China -
The Hill - Politics
Pennsylvania Supreme Court affirms Cornel West will not appear on state ballots
Academic and activist Cornel West, who is running for president as an independent candidate, won't be on the ballot in Pennsylvania, the state Supreme Court decided on Monday in upholding a lower ...41 minutes ago -
The Hill - Politics
Amazon requiring workers to return to office
Amazon will require workers to return to the office five days a week starting next year, marking the company’s latest shift in its in-office working policy following the pandemic. In a memo on ...50 minutes ago - Amazon -
The Hill - Politics
It took years, but elite colleges are learning the value of institutional neutrality
Whatever one thinks of the war in Gaza, divestment should be avoided because it violates institutional neutrality and thereby damages the college or university as an institution.1 hour ago