$29,565
Average yearly payment
$671,812
Taxes on prize winnings are calculated based on federal and state tax rates. We apply the maximum federal tax rate of 37% to ensure accurate estimations. The IRS withholds a mandatory 24% federal tax, but for high-value winnings, an additional federal tax rate applies when filing your tax return, bringing the total federal tax rate up to 37%. Additional state taxes may also apply depending on your location. You can use the state tax calculator in the split section to determine the exact state tax deductions for your winnings.
The annuity payout is based on a 30-year schedule, with annual payments increasing over time. This allows for steady income rather than a single lump sum, ensuring financial stability over the payout period. In the split section, we only display the average annuity amount rather than the detailed yearly breakdown.