The advertised $835 million Powerball jackpot for Wednesday, Nov. 4, is the annuity value, paid over 30 years. Most winners choose the lump sum, an estimated $357.9 million before taxes.
Federal taxes come off first
The IRS requires lotteries to withhold 24% of large winnings at payout. A jackpot this size falls in the top federal bracket of 37%, so the winner would owe roughly another 13% when filing.
| Amount | |
|---|---|
| Cash option (before tax) | $357.9 million |
| Federal withholding at 24% (taken at payout) | −$85.9 million |
| Left after withholding | $272 million |
| Extra federal tax due at filing (37% top rate, approx.) | −$46.5 million |
| Estimated take-home, no state tax | $225.5 million |
| Illinois (4.95% flat), estimated take-home | $207.8 million |
| New York (10.9% top rate), estimated take-home | $186.5 million |
State taxes depend on where you live
California, Florida, Texas, Tennessee, Washington, South Dakota, Wyoming and New Hampshire don’t tax these lottery winnings. Other states take anywhere from a few percent to more than 10%, and some cities add their own tax.
Annuity or cash?
The annuity pays the full $835 million in 30 payments over 29 years, each one 5% larger than the last. Each payment is taxed in the year it arrives. The cash option pays less up front but gives the winner the whole amount at once.
Current numbers and the next draw are always on our Powerball results page.
More results
Must be 18 or older to play (older in some states). If gambling has stopped being fun, call or text 1-800-GAMBLER. Results are checked against official sources, but the official lottery’s results always govern.