Powerball Jackpot: Everything You Need To Know To Claim Your $700M

By MARC TORRENCE (Patch National Staff)

So you didn’t win the massive $500 million Powerball jackpot.

That’s OK. Nobody did. And Saturday, you have a chance to come out with even more money.

The jackpot for Saturday night’s Powerball drawing is up to $700 million and is expected to continue increasing. It’s not only the largest Powerball total ever but the largest of any lottery game in U.S. history, a New York lottery spokeswoman told Patch.

No pressure, right? Here’s what you need to know:

What are the odds of winning Powerball?

Put simply: very, very small.

Players pick five numbers between 1 and 69 then a sixth Powerball number between 1 and 26.

That adds up to winning odds of 1 in 292,201,338, Powerball says. We’ll just trust their math on that one.

So, how do you get your money?

“Most importantly, sign the back of the ticket,” Christy Calicchia, a New York lottery spokeswoman, told Patch.

That claims the ticket as your own. Then, keep it in a safe place.

“Often people will put it in their safety deposit box or a safe in their own home,” Calicchia said.

After that, state laws vary about when you can claim your prize. In Calfornia, you have a year from the date of the drawing to claim your prize, according to the California lottery website.

Then what?

Many lottery winners hire an attorney, financial planner or both since most people don’t exactly know what to do when they suddenly come into so much money.

Some even bring their lawyer with them to claim their prize, Calicchia said, adding that is in no way required.

The lottery itself does not offer any counseling services or advice for winners.

How much do you actually win?

You have two choices when you claim your prize: the full value paid in 30 installments over 29 years or a one-time lump sum that is smaller than the actual total.

On the $700 million jackpot, the lump sum would be $428.4 million, Calicchia said.

Then there’s the taxes. The federal tax on lottery winnings is 25 percent, Calicchia said. Then, any extra income taxes like state or city would apply.

Financial experts say that if you can get more than a 3 or 4 percent return on an investment, the lump sum is actually the best way to go in the long-term.

When is the next Powerball drawing?

The next Powerball drawing is scheduled for Saturday night. Good luck. And if you win, be sure to send some our way.