← Back to Mega Millions

Mega Millions Tax Breakdown

Tuesday, June 2, 2026

Annuity (30 years)
$346,000,000
Cash Option
$153,800,000

After-Tax Payouts by State

Federal tax: 37% marginal rate • Click any state for 30-year schedule

StateState TaxAnnuity (After Tax)Cash (After Tax)
Arizona2.5%$210,584,367$93,090,812
Arkansas3.9%$205,740,367$90,937,612
California0%$219,234,367$96,935,812
Colorado4%$205,394,367$90,783,812
Connecticut6.99%$195,048,967$86,185,192
Delaware6.6%$196,398,367$86,785,012
District of Columbia8.5%$189,824,367$83,862,812
Florida0%$219,234,367$96,935,812
Georgia5.75%$199,339,367$88,092,312
Idaho6%$198,474,367$87,707,812
Illinois4.95%$202,107,367$89,322,712
Indiana3.15%$208,335,367$92,091,112
Iowa5%$201,934,367$89,245,812
Kansas5%$201,934,367$89,245,812
Kentucky4.5%$203,664,367$90,014,812
Louisiana4.25%$204,529,367$90,399,312
Maine7.15%$194,495,367$85,939,112
Maryland8.75%$188,959,367$83,478,312
Massachusetts5%$201,934,367$89,245,812
Michigan4.25%$204,529,367$90,399,312
Minnesota7.25%$194,149,367$85,785,312
Missouri4%$205,394,367$90,783,812
Montana6.75%$195,879,367$86,554,312
Nebraska5%$201,934,367$89,245,812
New Hampshire0%$219,234,367$96,935,812
New Jersey8%$191,554,367$84,631,812
New Mexico6%$198,474,367$87,707,812
New York8.82%$188,717,167$83,370,652
North Carolina4.75%$202,799,367$89,630,312
North Dakota2.9%$209,200,367$92,475,612
Ohio3.99%$205,428,967$90,799,192
Oklahoma4.75%$202,799,367$89,630,312
Oregon8%$191,554,367$84,631,812
Pennsylvania3.07%$208,612,167$92,214,152
Puerto Rico0%$219,234,367$96,935,812
Rhode Island5.99%$198,508,967$87,723,192
South Carolina7%$195,014,367$86,169,812
South Dakota0%$219,234,367$96,935,812
Tennessee0%$219,234,367$96,935,812
Texas0%$219,234,367$96,935,812
US Virgin Islands0%$219,234,367$96,935,812
Vermont6%$198,474,367$87,707,812
Virginia4%$205,394,367$90,783,812
Washington0%$219,234,367$96,935,812
West Virginia6.5%$196,744,367$86,938,812
Wisconsin7.65%$192,765,367$85,170,112
Wyoming0%$219,234,367$96,935,812

Tax Planning Tips

  • Annuity vs. Cash: Annuity provides 30 years of growing payments (~5 percent annual increase). Cash option is about 47 percent of annuity value.
  • Federal Taxes: Top marginal rate of 37 percent applies to lottery winnings over the highest bracket thresholds.
  • State Taxes Vary: Some states have no income tax on lottery winnings, while others are much higher.
  • Do Not Forget: Additional taxes may apply (Medicare surtax, local taxes). Consult a tax professional immediately.
  • Anonymity: Some states allow winners to remain anonymous. Check your state's laws before claiming.

Cash vs. Annuity Decision

Choose Annuity If:

  • • You want guaranteed income for 30 years
  • • You are worried about spending it all too quickly
  • • You prefer protection from bad investments
  • • You want payments to grow about 5 percent annually

Choose Cash If:

  • • You have a solid investment plan
  • • You can earn more than 5 percent annual returns safely
  • • You want full control of your money now
  • • You have expert financial advisors