(NEXSTAR) — The current Mega Millions jackpot is rolling on after no ticket was able to match the winning numbers drawn on Christmas Eve.
It now sits at an estimated $1.15 billion, with a cash option of $516.1 million, making it the fifth-largest Mega Millions jackpot on record. A $1.128 billion prize won in New Jersey earlier this year previously held that spot.
With its latest growth, the jackpot has become the ninth-largest across Mega Millions and Powerball.
- $2.04 billion (Powerball): Nov. 7, 2022; California
- $1.76 billion (Powerball): Oct. 11, 2023; California
- $1.602 billion (Mega Millions): Aug. 8, 2023; Florida
- $1.586 billion (Powerball): Jan. 13, 2016; California, Florida, Tennessee
- $1.537 billion (Mega Millions): Oct. 23, 2018; South Carolina
- $1.348 billion (Mega Millions): Jan. 13, 2023; Maine
- $1.337 billion (Mega Millions): July 29, 2022; Illinois
- $1.326 billion (Powerball): April 6, 2024; Oregon
- Est. $1.15 billion (Current Mega Millions jackpot)
- $1.128 billion (Mega Millions): March 26, 2024; New Jersey
While players in every state are vying for the same record-setting prize, not every state would offer the same payout.
Mega Millions jackpots, as well as any large lottery prize, are subject to taxes. Your local lottery has to withhold 24% in federal taxes in addition to the state lottery tax. (You’ll face additional taxes come tax time, when your winnings will count as income and be subject to income tax brackets, according to TaxAct.)
There are a handful of states that do not have a local lottery tax: California, Florida, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. In these states, based on USA Mega’s analysis, the cash payout would be about $325.2 million while the annuitized payments would total about $725.8 million.
North Dakota currently has the lowest automatic state lottery tax (technically, it’s income tax) at 2.9%. If you won the Mega Millions jackpot in North Dakota and opted for the cash payout, you would pocket about $377.3 million (or, under the highest federal tax rate, $310.2 million, based on USA Mega’s analysis). The annuitized payment total, after you’ve collected all 30 annual payments, would be about $692.4 million.
Other states offering large payouts would include Indiana and Pennsylvania, which have similar lottery tax rates of nearly 3%. In both states, the cash prize would be around $309 million while the annuitized payout would total roughly $690 million.
Across the country in New York, which withholds the most from lottery prizes, the cash prize would be about $268.9 million while the annuitized would total about $600.4 million. In Oregon, where there is an 8% tax on large lottery prizes, the cash payout would be around $274 million while the annuitized would total roughly $611.9 million.
These payouts can vary based on your tax situation, where you buy the ticket, if the jackpot grows any further before the next drawing at 11 p.m. ET on Friday, or if there are multiple winners. Should the latter happen, the pot will be divided equally among the winners.
Should you be lucky enough to overcome the odds — 1 in 302,575,350 — and win the Mega Millions jackpot, experts recommend building a team to help you with the influx of cash. That includes an attorney, a tax advisor, and a financial advisor.
Mega Millions tickets are $2 each and sold in 45 states, the District of Columbia, and the U.S. Virgin Islands. In addition to Fridays, drawings are held on Tuesdays at 11 p.m. ET. Players have a 1 in 24 chance of winning any Mega Millions prize.
