It’s not too late to buy a lottery ticket and try to win it big.Wednesday’s Powerball drawing is worth $1.2 billion — the fourth-largest in Powerball history. The cash option is $596.7 million — the fifth-largest cash option ever offered. The drawing is scheduled for Wednesday at 10 p.m.There are two options when you win the lottery: Get a lump sum of your winnings or 30 annual payments over 29 years.Watch related video at the top of the article.If you take the lump sum option, there will be a federal tax of 24% on your winnings — about $143.2 million. You’d also owe more at tax time, another 13% or about $77.5 million, according to the USA Mega website.So how much do you REALLY get? Depends on where you live.KentuckyKentucky has a 5% state tax withholding — about $29.8 million — plus additional state taxes due, taking your total net payout on the lump sum to about $346.1 million.If you take the annuity option, you would receive 30 average annual payments of about $40 million — before taxes. The 24% tax would be about $9.6 million each year and additional federal taxes of about $5.1 million, bringing the subtotal to about $25.2 million.After Kentucky’s state taxes, according to the USA Mega website, your average net per year would be about $23.2 million. After 30 payments, your total would be about $697.1 million.The largest jackpot won in Kentucky occurred in December 2009, when a man from Georgetown won $128.6 million. IndianaIndiana on the other hand has a 3.23% state tax withholding — about $19.2 million — plus additional state taxes due, taking your total net payout on the lump sum to about $356.6 million.If you were to opt for the annuity option, your average net per year would around $23.9 million, and after 30 payments, your total would be $718.3 million.
It’s not too late to buy a lottery ticket and try to win it big.
Wednesday’s Powerball drawing is worth $1.2 billion — the fourth-largest in Powerball history. The cash option is $596.7 million — the fifth-largest cash option ever offered.
The drawing is scheduled for Wednesday at 10 p.m.
There are two options when you win the lottery: Get a lump sum of your winnings or 30 annual payments over 29 years.
Watch related video at the top of the article.
If you take the lump sum option, there will be a federal tax of 24% on your winnings — about $143.2 million. You’d also owe more at tax time, another 13% or about $77.5 million, according to the USA Mega website.
So how much do you REALLY get? Depends on where you live.
Kentucky
Kentucky has a 5% state tax withholding — about $29.8 million — plus additional state taxes due, taking your total net payout on the lump sum to about $346.1 million.
If you take the annuity option, you would receive 30 average annual payments of about $40 million — before taxes. The 24% tax would be about $9.6 million each year and additional federal taxes of about $5.1 million, bringing the subtotal to about $25.2 million.
After Kentucky’s state taxes, according to the USA Mega website, your average net per year would be about $23.2 million. After 30 payments, your total would be about $697.1 million.
The largest jackpot won in Kentucky occurred in December 2009, when a man from Georgetown won $128.6 million.
Indiana
Indiana on the other hand has a 3.23% state tax withholding — about $19.2 million — plus additional state taxes due, taking your total net payout on the lump sum to about $356.6 million.
If you were to opt for the annuity option, your average net per year would around $23.9 million, and after 30 payments, your total would be $718.3 million.