Jackpot winners have the choice of receiving their prize either in one single lump sum payment, or once a year with the annuity option (30 payments over 29 years). They have 60 days to decide which way they want to be paid. During these 60 days, a player who originally opted for the annuity payment is able to instead take the lump sum payment option. If they do not make a choice either way, after 60 days, the player will automatically receive their prize as an annuity.
Increased levels of lottery play have been linked with certain sections of the U.S. population — men, African-Americans, Native Americans, and those who live in disadvantaged neighborhoods, according to one 2011 study of over 5,000 people published in the Journal of Gambling Studies. (Susan Cartwright, a spokeswoman for Scientific Games SGMS, -6.54% which sells scratch cards, says a 2014 study by an independent research firm, Chadwick Martin Bailey, found that lottery players mirror the general public’s ethnicity, employment, and income.)
The biggest Powerball jackpot, which is also the current lottery jackpot world record, was won on 13 January 2016! The jackpot was worth an incredible $1.58 billion and was shared by three extremely lucky ticket holders in California, Florida, and Tennessee. The second biggest Powerball jackpot to date was awarded to a lucky lottery player from Massachusetts who won an astounding $758.7 million jackpot in August 2017. Also notable is the story of Gloria MacKenzie, who used Quick Pick and matched all the numbers and the Powerball on 18 May 2013. The jackpot she won was worth $590.5 million!
State lotteries have become a significant source of revenue for states, raising $17.6 billion in profits for state budgets in the 2009 fiscal year (FY) with 11 states collecting more revenue from their state lottery than from their state corporate income tax during FY2009. Lottery policies within states can have conflicting goals. Given that instructions are passed down from state legislatures, lottery implementation is often expected to be carried out with reduced advertising and funding while still producing the same amount of revenue. This issue led states to look for loopholes in the system. Massachusetts, for example, had its advertising budget dramatically cut, and therefore started using free-play coupons as money to pay for advertising. This led to an IRS investigation into alleged non-reporting of income because the IRS considered the coupons to have monetary value.