Lottery Tax Calculator for Pennsylvania

See exactly how much you keep from a lottery jackpot after federal and state taxes. Enter any prize amount or start from tonight's Powerball and Mega Millions jackpots, and compare the lump-sum cash option against the 30-year annuity.

Prize amount

Tonight's jackpots

Or a round amount

Your state

Choosing a state opens its own calculator page.

Payout option

Lump sum taxes the cash option in a single year.

Take-home on a $86,700,000 cash option in Pennsylvania

Gross prize$86,700,000

Federal withholding (24%)−$20,808,000

Pennsylvania withholding (3.07%)−$2,661,690

Check you receive (after withholding)$63,230,310

You'll likely owe more at tax time

The lottery only withholds 24% for the IRS, but a jackpot pushes you into the top 37% federal bracket. The difference comes due when you file.

Additional federal owed at filing (to 37%)−$11,271,000

Estimated final take-home$51,959,310

Pennsylvania taxes lottery winnings at its flat income tax rate of 3.07%.

See Pennsylvania's full Powerball tax breakdown (annuity and cash option) →See Pennsylvania's full Mega Millions tax breakdown (annuity and cash option) →

Lottery taxes in Pennsylvania

Pennsylvania taxes lottery winnings at 3.07%. Combined with the top federal rate of 37%, a jackpot winner here faces roughly 40.07% in tax on a cash prize. The lottery withholds 24% for the IRS up front, and the rest of the federal bill is due when you file.

Pennsylvania taxes lottery winnings at its flat income tax rate of 3.07%.

Example cash-prize take-home in Pennsylvania

After the top 37% federal rate and 3.07% state tax.

Cash prize	Federal (37%)	Pennsylvania tax	Take-home
$1,000,000	−$370,000	−$30,700	$599,300
$10,000,000	−$3,700,000	−$307,000	$5,993,000
$100,000,000	−$37,000,000	−$3,070,000	$59,930,000

Figures are estimates using the top marginal federal rate; 24% is withheld up front and the rest is owed at filing. Annuity payouts are taxed differently year to year; use the calculator above for the full annuity schedule.

Frequently Asked Questions

Does Pennsylvania tax lottery winnings?

Yes. Pennsylvania taxes lottery prizes at 3.07%, on top of federal tax. Pennsylvania taxes lottery winnings at its flat income tax rate of 3.07%.

How much tax do you pay on lottery winnings in Pennsylvania?

Prizes over $5,000 have 24% withheld for federal tax up front, but a jackpot pushes you into the top 37% federal bracket, so more is owed at filing. Pennsylvania adds 3.07% in state tax, for a combined top rate of about 40.07%.

How much would you take home from a $1 million lottery prize in Pennsylvania?

After the top 37% federal rate and Pennsylvania's 3.07% state tax, a $1,000,000 cash prize leaves roughly $599,300. The lottery withholds 24% ($240,000) up front; the rest of the federal bill comes due when you file.

Is it better to take the lump sum or the annuity in Pennsylvania?

Both are taxed the same way in Pennsylvania: the lump sum (cash option) is taxed once in the year you claim it, while the annuity spreads 30 graduated payments over 29 years and is taxed each year. The annuity can keep more income in lower brackets year to year, but the lump sum gives you the full amount to invest now. This is an estimate, not financial advice. Talk to a tax professional before claiming a prize.

How much federal tax is withheld from lottery winnings?

The IRS requires 24% federal withholding on lottery and gambling winnings over $5,000. That is only the withholding; large jackpots are taxed at the top 37% marginal rate, so winners typically owe the difference when they file.

Estimates only. Federal figures use the mandatory 24% lottery withholding and the top 37% marginal bracket; your actual liability depends on your total income, deductions, and filing status. State figures use each state's top marginal or lottery-specific rate and exclude local taxes. Not tax advice. Annuity payments use the standard MUSL 5% escalation model. Consult a qualified tax professional before claiming a prize.