- The Mega Millions jackpot has surged to an estimated $650 million after no winner emerged from Friday’s drawing.
- The one-time cash option, preferred by most winners, stands at $304.1 million before taxes.
- After a mandatory federal withholding and accounting for the top tax bracket, the lump-sum prize could shrink to approximately $191.6 million.
- This prize now ranks as the 10th-largest jackpot in the history of the Mega Millions game.
Dream Big, Win Bigger? Not So Fast
The dream of becoming a multi-millionaire overnight is alive and well as the Mega Millions jackpot climbed to a staggering $650 million. The prize pool swelled after Friday night’s drawing failed to produce a grand prize winner, marking the 32nd consecutive drawing without a jackpot victor. The next chance for hopefuls to test their luck is scheduled for Tuesday.
The Winning Numbers and What’s at Stake
The numbers drawn on Friday were 9, 21, 27, 48, and 56, with a Mega Ball of 10. While no one matched all six, the excitement now builds for Tuesday’s drawing. A potential winner will face a life-altering choice: receive the full $650 million prize in 30 annualized payments of about $21.7 million, or opt for the lump-sum cash prize of $304.1 million.
The Taxman’s Hefty Share
Before any winner starts planning their lavish new life, they must contend with the significant impact of taxes. The federal government automatically withholds 24% from large lottery winnings. However, a prize of this magnitude pushes the winner into the highest federal income tax bracket of 37%.
Breaking Down the After-Tax Reality
When the 37% tax rate is applied, the figures change dramatically:
- The $304.1 million cash option would be reduced to a more realistic take-home amount of approximately $191.6 million.
- The annualized payments of $21.7 million would shrink to about $13.7 million per year.
Furthermore, most states impose their own taxes on lottery winnings, which can further diminish the prize. Only a few states, including California and Texas, offer a reprieve by not taxing lottery prizes.
A Historic Jackpot in a Long Line of Giants
This $650 million prize has officially entered the top 10 largest jackpots since Mega Millions began in 2002. The jackpot has been steadily growing for three and a half months, building anticipation across the country. This follows a trend of massive prizes, including a $1.3 billion jackpot won in California last December and the record-breaking $1.6 billion prize claimed in Florida in August 2023.
The Astronomical Odds
While the prize is tempting, the odds of winning remain incredibly slim. The chances of matching all six numbers are a staggering 1 in 290,472,336. For those feeling lucky, lottery tickets for both Mega Millions and the separate Powerball drawing—which currently has a $295 million jackpot—are available for purchase.