Massive Jackpots in Mega Millions and Powerball Lotteries: Taxes, Winnings, and Investment Tips

Published: 27 March 2024 at 03:09

Finance & Economics

The Mega Millions jackpot stands at $1.1 billion, while the Powerball prize is estimated at $865 million with odds of winning at 1 in 292.2 million for Powerball and 1 in 302 million for Mega Millions. Taxes on lottery prizes vary, with federal taxes at 24% for prizes over $5,000 and reaching 37% for higher amounts. State tax rates range from 2.9% to 13%. Winners can choose between a lump sum payout or annual payments over 30 years, impacting the final amount received. It\'s advised to hire financial advisers, pay off debts, invest wisely, and prepare for tax implications when managing lottery winnings.