Powerball is a multi-state lottery game offering jackpots of hundreds of millions of dollars. It is available in 45 states, the District of Columbia, Puerto Rico and the U.S. Virgin Islands.
The game was established in April 1992, replacing Lotto America. Players choose five numbers from one set of 69 white balls and one number from 26 red Powerballs. The addition of Power Play in 2001 helped to multiply non-jackpot prizes.
Origins
Despite the many myths and rumors about Powerball, there is a very real history behind the lottery game. It all began in 1988, when seven state lotteries formed the Multi-State Lottery Association to launch a game called Lotto America. The name was changed to Powerball four years later.
New Hampshire joins Powerball, and Dean Leighton of Chester becomes the first winner in the state. The number matrix is adjusted again, and the minimum jackpot is increased to $10 million. Power Play is also introduced.
Throughout the 1990s, more and more states joined Powerball, but players started to experience “jackpot fatigue.” In order to keep interest in the game alive, the minimum prize was increased again and again. It was eventually raised to $100 million, which led to the creation of Instant Scratch-Off games.
Rules
Powerball is a multi-state lottery game where players choose five white numbers from one to 69 and a red Powerball number from one to 26. Players can also add Power Play, which increases the value of non-jackpot prizes. The game is available in 45 states and the District of Columbia, as well as in Puerto Rico and the U.S. Virgin Islands.
You can choose a QuickPick, which is the easiest way to play, or you can select your own numbers. You can also play with a System entry, which offers more control over how you play.
If you win a prize, you can choose to receive it as 30 annual graduated payments over 29 years or in a lump sum payment. The minimum jackpot is $2 million.
Prizes
The Powerball lottery game has paid out millions of dollars in prizes since its inception in 1992. It replaced Lotto*America and is operated by the Multi-State Lottery Association (MUSL). In order to win, players must match at least five of the winning numbers plus the red Powerball number.
The prize chart shows how many numbers you need to match for each prize level and the odds of winning. In addition, Power Play doubles your chances of winning a prize.
A few changes have been made to the Powerball prize table in recent years. In 2015, the number of white balls was increased from 59 to 69 and the pool of red Powerballs decreased from 35 to 26. This made it more difficult to win the jackpot but easier to win smaller prizes.
Taxes
A Powerball winner must pay taxes on their prize, and those tax bills can be massive. They could come from the federal government and, depending on where they live, their state as well.
The first step is to take a deep breath and consult with a financial expert about how to manage the money they’ll have to hand over. In general, lottery winnings are considered income in the United States, and a jackpot of this size will push the winner into the top tax bracket at 37%.
This calculator helps winners understand what they can expect to receive after applicable taxes. It also allows them to choose between a lump sum or annuity payout and includes yearly annuity payments. This estimate is based on the advertised jackpot value and current annuity payments.
Extraordinary stories of winners
When winning the Powerball lottery, some winners choose to indulge themselves and others use their winnings to change the world. One such example is the story of a New Jersey winner who decided to invest 10% of his prize in his local community. This selfless act of generosity is a reminder that money isn’t everything.
Powerball is renowned for its massive jackpots. In 2016, three lucky ticket holders shared a record-breaking prize of $1.586 billion. John and Lisa Munford of Tennessee, David Kaltschmidt and Maureen Smith from Florida, and Marvin and Mae Acosta of California all took home $528 million apiece. The following year, the game’s rules were changed, increasing the number of main balls and decreasing the number of Powerballs to make it easier for players to win smaller prizes.
