Lottery Tax Calculator
Calculate how much you'd actually take home after federal and state taxes. Compare lump sum vs annuity payouts for any US lottery jackpot.
Lump Sum Breakdown
Lump Sum vs Annuity Comparison
| Lump Sum | Annuity (30 years) | |
|---|---|---|
| Gross Payout | $50.00M | $100.00M |
| Total Taxes (Fed + State) | $23.95M | $47.90M |
| Net Take-Home | $26.05M | $52.10M |
| Annual Payment (annuity) | N/A | $1.74M/yr |
Annuity values assume equal payments over 30 years. Actual annuity payments are graduated (increase 5% annually). Tax calculations are estimates based on top marginal rates. Consult a tax professional for precise figures.
How Lottery Taxes Work
Federal taxes: The IRS withholds 24% on lottery winnings over $5,000. However, large jackpots fall into the top federal tax bracket of 37%, meaning you'll owe an additional 13% when you file your tax return.
State taxes: Most states tax lottery winnings at their top income tax rate. Eight states have no income tax (AK, FL, NH, SD, TN, TX, WA, WY), and California does not tax lottery winnings.
Lump sum vs annuity: The lump sum is typically about 50% of the advertised jackpot. While the total tax amount is lower, you receive significantly less. The annuity pays the full advertised amount over 30 annual payments (increasing 5% per year).
Local taxes: Some cities levy additional taxes. New York City adds 3.876%, and Yonkers adds 1.959%. Baltimore, Maryland also has local taxes.
For entertainment purposes only. Lottery outcomes are random. Past results do not influence future drawings.
Tax calculations are estimates based on 2026 federal brackets and current state rates. Consult a qualified tax professional before making financial decisions.