PBPowerballTax

5.00% state lottery tax

Massachusetts Powerball Tax Calculator

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Massachusetts applies a 5.00% state lottery tax. Combined with the 24% federal withholding and the top-bracket federal adjustment, the effective tax on a large jackpot lands around 38–42%.

Note: 5.00% flat rate

Massachusetts after-tax take-home by jackpot tier

24% federal withholding + top-bracket adjustment + state tax. Cash lump sum estimated at 60% of advertised jackpot.

AdvertisedCash take-homeCash effectiveAnnuity take-home
$100M$34.9M41.86%$58.1M
$300M$104.5M41.95%$174.1M
$500M$174.1M41.97%$290.1M
$700M$243.7M41.98%$406.1M
$1B$348.1M41.99%$580.1M
$1.5B$522.1M41.99%$870.1M
$2B$696.1M41.99%$1.2B

Massachusetts vs neighboring states ($1B cash)

StateRateCash take-home
Massachusetts (MA)5%$348.1M
New York (NY)10.9%$312.7M
Connecticut (CT)6.99%$336.1M
New Hampshire (NH)0%$378.1M

Frequently asked questions

Does Massachusetts tax Powerball winnings?

Massachusetts taxes Powerball winnings at 5.00%. Note: 5.00% flat rate.

How much does a $1 billion Powerball winner take home in Massachusetts?

On a $1 billion advertised jackpot taken as cash (gross $600,000,000), a Massachusetts winner keeps approximately $348,083,278 after taxes — an effective rate of about 41.99%.

Can I avoid Massachusetts lottery tax by moving states before claiming?

No. State lottery tax is determined by the state where the ticket was sold, not the winner's residence. A ticket bought in Massachusetts is taxed at Massachusetts's 5.00% rate; the winner's home state may credit or assess additional tax at filing.

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