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Megamillions starts with higher cash value jackpot.

Topic closed. 4 replies. Last post 11 years ago by ryanm.

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New Jersey
United States
Member #21206
September 4, 2005
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Posted: May 19, 2006, 10:24 am - IP Logged

The cash value of the Megamillions jackpot is $6.7M and is advertised at $12M.  Although the advertised value of the reset PB jackpot is higher, the cash value is slightly lower, $6.6M.

Because the odds of winning the Powerball are higher than the odds of winning the MM, the Powerball is still a better bet.

It will be interesting, though, should the jackpots role simultaneously for a while, to see how it evolves.  It is almost certain that every Megamillions jackpot will exceed in cash value, every Powerball jackpot, even though the Powerball jackpot  make look larger for a while in advertising terms.

The Megamillions expectation value, the ratio of risk to potential outcome, is a terrible 0.22.  The Powerball expectation value is an equally miserable 0.24.

The Megamillions jackpot will be a better bet than Powerball when the cash jackpot for it exceeds Powerball's cash value by about 20%.

For the record (although I certainly buy tickets before this), megamillions and powerball generally become good bets (expectation value > 1) only when the jackpots exceed $300M in the advertised annuities. 


    United States
    Member #16612
    June 2, 2005
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    Posted: May 19, 2006, 11:03 am - IP Logged

    Interesting fact Prob988 that MM's cash value start higher than PB. When PB jackpot usually wins, they will take the cash value and lower starting cash value.


      United States
      Member #379
      June 5, 2002
      11296 Posts
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      Posted: May 19, 2006, 1:53 pm - IP Logged

      The cash value of the Megamillions jackpot is $6.7M and is advertised at $12M.  Although the advertised value of the reset PB jackpot is higher, the cash value is slightly lower, $6.6M.

      Because the odds of winning the Powerball are higher than the odds of winning the MM, the Powerball is still a better bet.

      It will be interesting, though, should the jackpots role simultaneously for a while, to see how it evolves.  It is almost certain that every Megamillions jackpot will exceed in cash value, every Powerball jackpot, even though the Powerball jackpot  make look larger for a while in advertising terms.

      The Megamillions expectation value, the ratio of risk to potential outcome, is a terrible 0.22.  The Powerball expectation value is an equally miserable 0.24.

      The Megamillions jackpot will be a better bet than Powerball when the cash jackpot for it exceeds Powerball's cash value by about 20%.

      For the record (although I certainly buy tickets before this), megamillions and powerball generally become good bets (expectation value > 1) only when the jackpots exceed $300M in the advertised annuities. 

      Don't forget that North Carolina joins PB May 30.

        dvdiva's avatar - 8ball

        United States
        Member #2338
        September 17, 2003
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        Posted: May 19, 2006, 11:51 pm - IP Logged

        I have a feeling PB will go farther than MM on this run. I have given up on MM getting to 300 so if it can hit the 250M mark I'll get tickets.

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          Morrison, IL
          United States
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          May 13, 2004
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          Posted: May 20, 2006, 2:24 am - IP Logged

          Powerball does have the bigger chance of rolling longer than Mega Millions, but of course, Powerball's rolls aren't as big as Mega Millions' are.