The Powerball jackpot climbed to $515 million—the biggest lottery prize of the year so far—after no tickets matched the numbers drawn on Wednesday night, although the eventual winner is likely to take home a much smaller amount after paying their taxes.
The Powerball jackpot of $515 million is now the biggest lottery prize of the year so far.
The six numbers drawn on Monday night were 5, 20, 29, 39, 53 and red Powerball 6.
If a winner emerges in the next draw, they will have a choice between receiving the $515 million prize spread over 30 annualized installments or a one-time lump-sum cash prize of $242.7 million.
If the lump sum prize—usually the more popular option—is picked, the winnings will drop to $184.45 million.
Depending on their taxable income, the winner could face a federal marginal rate as high as 37%, further cutting their winnings down to $152.9 million.
If the installment route is chosen, the annualized payments of $17.2 million could drop to $10.8 million if the 37% federal marginal rate is applied.
Depending on their state of residence, the winner could face additional taxes, as some states like New York tax lottery winnings at 10.9%, while others like Texas, Florida, and California don’t.
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The next drawing for the Powerball lottery is set for Saturday night.
1-in-292.2 million. Those are the astronomical odds a Powerball ticket buyer has to overcome to win the jackpot. The Powerball winning odds used to be slightly better than the Mega Millions jackpot’s even more abysmal odds of 1-in-302.6 million. However, the Mega Millions lottery announced changes to its rules this week, which slightly improved its jackpot winning odds to 1-in-290.4 million.
On Tuesday night, a Mega Millions ticket buyer in Illinois won a $349 million jackpot to become the biggest lottery winner of the year so far. The biggest Powerball win of the year so far occurred in January, when a single ticket buyer from Oregon won a $328.5 million jackpot.
Powerball Jackpot Nears $500 Million—Here’s What The Winner Could Take Home After Taxes (Forbes)
Mega Millions Raising Ticket Prices But Jackpots Getting Much Bigger—Here’s What To Know (Forbes)