Topline
The Powerball jackpot rose to $975 million—the biggest lottery prize of the year so far—after no tickets matched all six numbers drawn on Monday night, although the eventual winner will take home a much smaller payout after taxes and deductions.
Key Facts
If a winner emerges in the next draw, they will have the choice between taking the $975 million split across 30 annual installments or a one-time cash prize of $422.3 million—the preferred pick for most winners.
If the cash prize is claimed, the winnings will first drop to $320.9 million after a mandatory 24% federal withholding is applied.
The winner would likely face a federal marginal rate as high as 37%, depending on their taxable income, further reducing the winnings to around $266 million.
If the installment option is chosen, the winner’s annual payouts of $32.5 million will drop to around $20.5 million after the 37% federal marginal rate is applied.
Depending on their place of residence, the winner could face additional taxes, as some states, such as New York, tax lottery winnings at 10.9%, while others, such as Texas, Florida, and California, don’t.
What About The UK Powerball Prize?
Last month, the Powerball Jackpot was expanded to include players from the U.K. for the first time, which officials have said will lead to “faster-growing jackpots,” with the additional ticket sales adding to the prize pool. If a U.K. player wins the jackpot, they can only receive the prize spread across 30 annual installments, as they don’t have an option to choose a one-time cash payout. The Powerball jackpot prize advertised by the U.K. National Lottery is £503 million ($679.5 million). While this appears to be significantly lower than the $975 million jackpot, U.K. lottery officials say this reflects the estimated amount a winner would receive over a 30-year period, “after exchange rates and UK tax requirements have been taken into account.”
Key Background
This is the biggest lottery prize of the year so far, pipping an $800 million Mega Millions jackpot that was won by a Florida ticket buyer last Tuesday. Of the Powerball jackpots that have been claimed so far, 2026’s biggest is a $250.8 million prize won by a lottery player from Arkansas.
What To Watch For?
The next Powerball drawing is set to take place on Wednesday night. If no winner emerges then as well, this is likely to become the first lottery prize to cross $1 billion since December 2025.
Surprising Fact
To win the big prize, a Powerball ticket buyer will have to overcome abysmal odds of 1-in-292.2 million, which remain unchanged despite the addition of U.K. lottery players. This is worse than the Mega Millions jackpot’s already poor odds of 1-in-290.4 million.
further reading
Mega Millions Ticket Buyer From Florida Wins $800 Million—Here’s What They Could Take Home (Forbes)