Mega Millions jackpot reaches $977 million, but state taxes could significantly impact take-home amount
The Mega Millions jackpot has reached a staggering $977 million, but the amount you would take home varies significantly based on the state where the ticket was purchased, due to state taxes. Federal taxes remain consistent at 24%, but the total tax bill is expected to reach 37% when filing. State taxes on lottery winnings differ widely, with eight states not imposing taxes at all. Location of ticket purchase also plays a significant role, as buying a winning ticket outside of one’s home state could trigger taxes in the state of purchase. Seeking assistance from a tax professional is advisable for potential jackpot winners to navigate the tax implications and determine the best payout option.
New York lottery helps fund public education, officials say
New York state’s lottery system isn’t just paying out to that one big winner. It also helps fund the state’s public education system, and state officials want to raise awareness of that. A recent survey showed most New Yorkers don’t know that money raised by the lotto goes to the state’s public schools. The state’s gaming operations provided schools with about $3.9 billion in aid last fiscal year. O’Dwyer said aid has steadily climbed as more people are playing the Lottery in recent years.