PowerballOdds and Prizes

The odds of winning the Powerball jackpot are 1 in 292 million. However, the odds of winning any prize are very reasonable – 1 in 24.87. So it's not all doom and gloom.

If you match the Powerball at all, you're guaranteed a prize, even if you don't match any of the main five draw numbers. The prize for just matching the Powerball is US $4, and it's roughly a 1 in 38 chance. It isn't a 1 in 26 chance, because some people who match the Powerball will also match main draw numbers and win a higher prize.

Even if you don't match the Powerball, you can still win by matching three, four or five of the main draw numbers. The odds of this start from 1 in 580 for three balls, and a payout of US $7, up to odds of nearly 12 million to one for matching five numbers, which has a US $1 million prize.

PowerPlay

Power Play is a multiplier option. For an extra US $1 per ticket you can add Power Play. You don't have to choose any extra numbers for this. Rather than improving your chances of a win, Power Play increases the amount of prize money you receive if you do win.

One Power Play number is randomly selected from a pool of 42, marked with multipliers from 2x to 5x. If the jackpot is less than US $150 million, one extra 10x multiplier is added. Whichever multiplier is drawn, non-jackpot prizes are multiplied by that amount, for winning tickets with the Power Play option selected. This excludes the jackpot and any wins for five numbers matched (where the top prize is doubled to US $2 million).

Double Play

Barely two months after making its August 2021 debut, in October 2021, a Maryland Powerball player made history by becoming the first person in the nation to win a $10 million Double Play top prize.

Double Play works as an additional Powerball game and is available in some US states. It gives players another opportunity to win prizes alongside the main Powerball draw.

The cost to play is just $1 US. You do not select a different set of numbers for Double Play, and it is not a standalone game. It is only an add-on to Powerball. And Double Play entries do not include Power Play.

The numbers you pick for the main Powerball draw are also entered into the Double Play draw that takes place on that same night as the Powerball draw. The Double Play draw works in the same way as the main draw, with five numbers from 1 to 69 and a Powerball number from 1 to 26 selected at random.

Also, players can win prizes in both the Double Play and the main Powerball draw with the same set of numbers. For instance, if the same Powerball is selected in both draws and it matches up with the one on your ticket, you are guaranteed to receive at least $7 and $4.

PowerPlay Odds

Annuity vs. Cash

Let's say you win a $1 billion Powerball jackpot. Do you want the entire $1 billion as an annuity — an annual option — that doles out payments to you over time? Or do you want your winnings immediately as a lump-sum payout, which distributes the full amount of after-tax winnings? If you're like most winners, you'll take the money and run.

Between 2003 and 2016, 98% of Powerball jackpot winners chose the cash-option route. Conversely, only four 4 winners in that time chose the annuity option. In fact, no winner since 2014 has chosen the annuity route.

If you win the Powerball jackpot, you have the option of taking an annuity - an annual payment over 30 instalments - or a cash lump sum paid to you in full. You'll see there's quite a difference between the two. This is because the cash lump sum pays out whatever's in the jackpot fund, whereas the annuity includes both the cash sum and the interest generated by investing it over the next 29 years. The value of the annuity option also has the added benefit of increasing by 5% annually.

The cash option is taxed in full when it is paid out - and taking the annuity option can also mean that more of the prize money is taxed at a lower rate over time. You can also leave the annuity to your family if you die, so there's no risk of losing out on your prize money if you're not expecting to live another 30 years.

Double Play

Unlike the main draw, the value of the Double Play jackpot is a non-annuitized figure. So if you win the jackpot, you receive a cash lump sum worth $10 million US, subject to state and federal taxes. The advertised jackpot in the main draw, by contrast, is an annuitized amount.

Powerball Jackpot Winners - Cash or Annuity

This table illustrates the number of Powerball jackpot winners who took the cash or annuity option from 2003 to 2022.

^* The information may contain unclaimed jackpots or a combination of the cash and annuity options chosen by one or more winners.

Source: Powerball.com