Mega Millions Nears $750 Million—Here’s What The Winner Could Take Home

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The Mega Millions jackpot soared to $743 million—the biggest lottery prize of the year so far—after no tickets matched all six numbers drawn on Tuesday night, although the eventual winner will take home a much smaller payout after taxes and deductions.

The six numbers drawn on Tuesday night were 25, 37, 59, 68, 70 and gold Mega Ball 10.

If a winner emerges in the next draw, they will have a choice between taking the $743 million split over 30 annual installments or a lump sum payment of $323.4 million—the preferred option for most winners.

If the cash payout is chosen, the winnings will first drop to around $245.8 million after a mandatory 24% federal withholding is applied.

The winner is likely to face a federal marginal rate as high as 37%, depending on their overall taxable income, further slashing their winnings to around $203.7 million.

If the installment route is chosen, the winner’s annual payouts of around $24.8 million would drop to $15.6 million after the 37% federal marginal tax rate is applied.

Depending on their state of residence, the winner could face additional taxes, as some states, such as New York, tax lottery winnings at 10.9%, while others, such as Texas, Florida, and California, don’t.