Powerball After Tax Calculator
US, 2026 tax year · figures follow that year's rules
Works out the federal and state tax withheld from a lottery prize in 2026, the estimated federal income tax actually owed on it, and the net of a lump sum against the 30-payment graduated annuity.
Your figures
Updates as you typeHow this is worked out
6 steps
- Proceeds = prize 1000000 - wager 2 = 999998 (over $5,000, so withholding applies)
- Federal withholding = 239999.52
- State withholding at 0% = 0
- Net paid = 1000000 - 239999.52 - 0 - 0 = 760000.48
- Estimated 2026 taxable income = 999998 + 0 - standard deduction 16100 = 983898; federal tax from the 2026 brackets = 319999.51
- Additional federal tax due at filing = 319999.51 - 239999.52 = 79999.99
Figures from US federal tax tables (IRS), 2026 rules and US lottery withholding rates, 2026 rules, checked 5 September 2026. Its 5 worked examples are re-run on every release, last on 15 September 2026. What changed · how reference data is kept current
Sources and references
8 sources
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What this calculator does
Works out the federal and state tax withheld from a lottery prize in 2026, the estimated federal income tax actually owed on it, and the net of a lump sum against the 30-payment graduated annuity.
How to use Powerball After Tax Calculator
Enter Payout option, Prize amount, Amount wagered on the ticket, Filing status, Other taxable income this year, State lottery that pays the prize, Residency in that state, City residency (New York Lottery only), Custom state rate, City withholding rate, Federal withholding type and W-2G reporting threshold. The calculator checks the values, applies the stated method, and updates the result without saving your figures.
What the result means
The result includes Net paid after withholding (lump sum; annuity total), Gross prize, Proceeds subject to withholding (prize minus wager), Federal withholding (lump sum; annuity total), State withholding (lump sum; annuity total), City withholding (lump sum; annuity total), Total withheld, State rate applied, Estimated 2026 taxable income (year of the lump sum or first payment), Estimated 2026 federal income tax on that year, Additional federal tax due at filing (tax minus withholding), Estimated federal tax as a share of the payment, Federal marginal rate reached, Annuity: first payment, Annuity: first payment after withholding, Annuity: final payment (absorbs rounding), Annuity: sum of all payments, Annuity: federal withholding on the first payment, Annuity: federal withholding on the final payment and Annuity payment schedule. Review the visible working and any warnings before using the answer for a decision.
Method and checks
The method cites IRS Instructions for Forms W-2G and 5754: regular gambling withholding of 24% on proceeds over $5,000 from lotteries, instalment rule, backup withholding; 26 U.S.C. 3402(q), Extension of withholding to certain gambling winnings; IRS Rev. Proc. 2025-32, 2026 rate tables (section 4.01) and standard deduction (section 4.14), among others. Its 5 built-in worked examples are checked on every full test run. The initial answer and working are rendered on the server, so they remain readable without JavaScript.
Results are general information, not financial, tax, legal, medical or engineering advice. Check any decision that matters with a qualified professional.
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