I did not know that if you win 2nd place in the powerball drawing it is not really 1 million you win

Reply #11

shyguitar — Thu, 08 Aug 2013 17:51:07 GMT

Hi Jon D,

You are correct about the woman from Hyannis as to what I was referring to. It was the way I was reading it may it seem like they meant that they were taking fed and state taxes out of 700,000 and not out of 1 million. Also the lottery lady made it also seem like what I had told her. Had she said that it's still 1 million just minus taxes being taken out (and of course taxes one has to when they do their taxes) then it would have cleared things up. Thanks. After you and another pers... [ More ]

Reply #10

Stack47 — Thu, 08 Aug 2013 17:07:53 GMT

It looks like the lottery spokesman used the same terms they would use to describe a one time lump sum payment to jackpot player who took the cash value. The difference is the lump sum payment for a jackpot is opposed to multiple yearly payments of a larger amount. This example is simply saying the player won $1 million and will receive a check for $700,000 after taxes were deducted.

Reply #9

Jon D — Thu, 08 Aug 2013 16:06:45 GMT

The PB 2nd-9th prizes are fixed cash prizes, not annuitized.(and only in rare cases pari-mutuel)

I'm sure you misunderstood what was written on the website. Keep in mind, the 22yr old tekkie writing these articles is not the most expert in exact lottery and financial terminology, they got their script and just duplicate the marketing message.

Do you have a link or a quote? I just quickly persused the MA site, and saw this, is this it:

May 29, 2013 Congratulations to Catherine Moriarty... [ More ]

Reply #8

schmuckatelly — Thu, 08 Aug 2013 15:18:07 GMT

I think the lady was wrong.

Reply #7

shyguitar — Thu, 08 Aug 2013 12:22:43 GMT

Hi maringoman,

I know that there are taxes on the 1 million but the strange thing is when I saw this person's name and that she won 2nd prize in PB it said she start with 700,000 not 1 million, then taxes would be taken from the 700,000. I even called our states lottery headquarters and the woman was saying that if you take the amount in an annuity then you get the full 1 million (minus taxes) but if you take the lump sum you are starting with less than 1 million which was 700,000 then the ta... [ More ]

Reply #6

savagegoose — Thu, 08 Aug 2013 02:16:16 GMT

its not fixed in Ca. its parimutuel there, assuming only 1 Ca. player hit the 5 numbers they could win several mill, lthough if many many won it they might only get $500k check out the Ca lotto site.

this 2nd prize winner got $3 mill

http://www.calottery.com/play/draw-games/powerball/winning-numbers/?DrawDate=Jul%2031,%202013 DrawNumber=33

Reply #5

billionaire2bee — Thu, 08 Aug 2013 00:06:41 GMT

Here in ole NC it's 32% tax...so you only get 680,000 after taxes on your lump payout....I dont know how they do the scratch-offs i assume it's the same

Reply #4

Artist77 — Wed, 07 Aug 2013 23:46:17 GMT

I was perusing this forum while I was at work during lunch and almost choked when I saw this...I thought...no!!!!, My master plan and $ calculations to win 2nd place is messed up. Glad to know it is a fixed amount. Whew

Reply #3

noise-gate — Wed, 07 Aug 2013 21:16:11 GMT

You said it yourself- you were under the impression.Your impression played tricks on you.You cannot forget the Taxes when dealing with money old chap.

The same is true for tonight's jackpot- if there is a winner, that person is not getting a check for $425 mil.

Reply #2

dallascowboyfan — Wed, 07 Aug 2013 20:59:47 GMT

Reply #1

maringoman — Wed, 07 Aug 2013 20:37:51 GMT

Naw shyguitar, the second and lower prizes in PB are paid in lumpsum so after taxes you get everything. If you match 5 of 5 you are supposed to receive $1M. The withholding taxes are 25% federal and 5% state to bring the total to 30%.

30% of $1M is 300k.

I did not know that if you win 2nd place in the powerball drawing it is not really 1 million you win

shyguitar — Wed, 07 Aug 2013 17:14:38 GMT

Hi everyone,

Well today I was on my state lottery website and was looking at the past winners for the last six months or so. I came across a woman who won 1 million on the powerball drawing for winning the 2nd prize. The problem was it said that she took the lump sum and would get 700,000 (and less after taxes) are taken out. I was under the impression that it was an automatic payment of 1 million minus taxes if you won the PB and didn't play with the multiplier. Was I the only one who didn't... [ More ]