Powerball Jackpot Climbs to $719 Million

The Powerball jackpot is climbing again, and it just cleared the $700 million mark after no one matched all six numbers in the latest draw. 

With no grand prize winner, the pot now moves to an estimated $719 million for Saturday night. It’s not the biggest prize the game has seen, but it’s still huge. In September, the jackpot reached $1.787 billion, the second-largest jackpot ever won in the United States, behind the $2.04 billion prize from 2022. 

In that case, two winning tickets were sold, one to a Texas trust that collected the full annuitized amount and another to a player in Missouri.

A Choice to Make 

If someone wins this weekend, they’ll have to decide how they want to take the money: the full $719 million evenly spread over 30 graduated payments across 29 years, or a single payment of $333.3 million. Most winners opt for the latter, but that is also where taxes hit hardest.

The federal government automatically withholds 24% from the cash option, which immediately drops it from $333.3 million to about $253.3 million. Depending on the winner’s total income for the year, the top federal tax rate of 37% could apply, bringing the take-home amount closer to $210 million.

If the winner prefers the annuity, annual payments would start high and grow slightly each year. After federal taxes, the first yearly payment of $24 million would shrink to about $15.1 million if the 37% tax bracket applies.

Location Play a Role

Where the winning ticket is claimed also plays a big part. Some states don’t tax lottery winnings at all. California, Florida, New Hampshire, Texas, and Tennessee fall into that category, which can make a significant difference. 

Also, prize payout amounts in California are pari-mutuel, based on sales and the exact number of winners.

On the other end of the spectrum is New York. The state taxes winnings at 8.82%, and if the winner lives in New York City, there’s an additional 3.876% tax. That’s a meaningful cut before the winnings ever reach the bank.

While no one hit the jackpot this time, there were still four $1 million winners, with the lucky tickets sold in California, New Jersey, Pennsylvania, and South Carolina. No players matched enough numbers with the Power Play to reach the $2 million level.

For anyone planning to take a shot, a Powerball ticket costs $2. You pick five white-ball numbers from 1 to 69, plus one red Powerball number from 1 to 26. The odds of winning a prize are 1 in 24.87, based on a $2 play. There is also a 10x multiplier that goes in play whenever the advertised jackpot is below the $150 million mark.

Live drawings are broadcast on Monday, Wednesday, and Saturday at 10:59 pm ET from the Tallahassee-based Florida Lottery draw studio.