Mega Millions jackpot annuity vs. cash option

December 17, 2013 Posted by NC Lottery at 11:21 AM

If just one player has a “perfect ticket” for tonight’s Mega Millions drawing, it would be the biggest lottery win to a single player in the history of American lotteries. The question is – if it was you – how would you choose to make history?

Would you choose the $636 million annuity paid out over 30 years, or a one-time cash payment of $341.2 million? Many people would agree that it would be an amazing choice to have.

We’re often asked how the annuity can be so much larger than the cash amount, or “what happens” to the difference between the two sums of money. A simple way of thinking about it the annuity is to imagine the $341.2 million lump sum is put in the bank where, over time, it earns interest – a lot of interest. That’s what makes it possible for the full $636 million annuity to be paid out over 30 years.

The annuity is the second-largest Mega Millions jackpot ever. A record $656 million jackpot for the game was split by three lucky tickets in the March 30, 2012 drawing. If no ticket beats the odds of 1 in 259 million Tuesday night, soon we will be looking at the biggest U.S. lottery jackpot ever.

But before that happens, we’ll be watching with everyone in North Carolina and across the country Tuesday night to find out if our state has its third-ever Mega Millions jackpot winner. North Carolina already has the first-ever $3 million winner for matching all five white balls in the new game, so remember there’s more than just the jackpot prize that could be won tonight. Good luck, everyone!

85 COMMENTS

12/20/2013 09:26 - NC Lottery

@ JAMES - You'd have to ask someone at the Georgia Lottery :-)

12/19/2013 09:30 - JAMES S.

Whatis the explanation for buy 1 get 1 free Mega Millions ticket in the State of Georgia?

12/19/2013 10:53 - NC Lottery

@ JULIEB22 + @ XPLAYER @ PLAYER (PROSPERITYNOW1) - From MegaMillions.com - "If a winner dies before receiving all annual payments, Mega Millions will continue to pay the annual payments, as scheduled, to the winner's designated beneficiary or to the winner's estate."

12/19/2013 10:52 - NC Lottery

@ PLAYER (JAZMINROCHA) - The lottery's main website, nc-educationlottery.org, is the place to check for winning numbers in drawings for Pick 3, Pick 4, Cash 5, Mega Millions & Powerball.

12/19/2013 10:43 - NC Lottery

@ PLAYER (CHARLAEUEBANKS) - It sounds like you are new to Lucke-Rewards? The drawings are not televised... they are done using a random number generator under the supervision of an auditor, and the winners are contacted by the lottery via e-mail, telephone and certified mail if necessary... for more questions, click the "HELP" link at the top of the Lucke-Zone, or call 1-855-767-1863

12/19/2013 10:41 - NC Lottery

@ PLAYER (JUSTEMAILING) - As far as subscription, debit may be a future payment option but is not at this time. For more technical support, please call 1-855-767-1863

12/19/2013 10:38 - NC Lottery

@ MARYDESHIELDS - Players in Durham have no better or worse chance of winning a prize playing the lottery or winning a prize in a drawing for Lucke-Rewards or a game-specific second-chance drawing. It's all a matter of luck... each entry has the same chance in each drawing. There are more than 9 million people in North Carolina and more than 400,000 members in the Lucke-Zone... everything the lottery does is designed to make the games fair to everyone :-)

12/19/2013 07:02 - Roger K.

Ira Curry who won the MEGA MILLIONS on Tuesday, took the cash option, after taxes she gets 125 million! WOW!! What a payday that is! Congrats to you! Spend it wisely!! Merry Christmas to everyone!! Good Luck to all of you too!

12/18/2013 01:05 - joseph c.

No luck on this side I play cash 5 and Mega and have entered almost every second chance. And have not walked away with any prize, I have fun doing it but man my luck has got to change. Praying for the big one one day. Congrats to the winners......

12/18/2013 12:39 - Latonya J.

Really who would consider waiting 30 years to get full pay out how stupid. If that person died any time after the winning the remaining goes back to the state. This was in acted so people could not knock off the person so the successor

12/18/2013 11:21 - DAVID H.

Since I'm up in years, I would most likely take the 30 year annuity then split the remaining years in my will between kids, grand kids & so on after we both pass. Just lots less chance of family bickering that way.

12/18/2013 11:19 - Jack B.

A great lottery idea!! Call it "Sure 5 winner" or something else. Draw 5 numbers. If someone has the winner he gets half the pot and the others with 4 numbers split the rest. If no five winner then draw a 6th 7th or 8th until someone has 5 numbers and then the whole pot is divide among those with 5. ex 3 have 5 of 7. They each get a third. those with 4 get nothing. It would build excitement because there will be at least one winner every time.

12/18/2013 11:10 - Jack B.

It is a shame we would have to decide. My preference would be to take 1/3 to 1/2 in annuity to give me a safer longterm income and the rest in cash up front. I could do a spending spree and still have an income. Too many winners blow it all in the first few years.

12/18/2013 09:59 - Vicky H.

What happens if you die before collection of winnings?

12/18/2013 08:46 - Lloyd P.

none

12/18/2013 08:45 - crystal s.

cash pay out..

12/18/2013 08:16 - Julie B.

I would take the cash payout because if you take it over 30 years and you were to die within that time, no one would get what was left. They will only pay it to the winner, not their family. I would like to get it all & be able to leave it to someone. But looks like I was not one of the winners....maybe next time. Wishing everyone a wonderful holiday!

12/18/2013 08:14 - Claus H.

Feed the GREED!

12/18/2013 07:17 - Kim J.

We would take the cash payout!!!

12/18/2013 06:05 - April S.

Definitely take the payout :)

12/18/2013 05:37 - Lisa K.

What a blessing indeed. I would pay my tithes first and bless others 100 fold. What joy!!

12/18/2013 03:15 - Salina P.

I would do the 30yrs

12/18/2013 02:58 - bruce b.

I would be "rich" either way...Why look this enormous gift horse in the face?

12/18/2013 12:09 - Mary B.

I would take the pay out of the 300k an buy a home an get my parents what they want an take a trip for a couple weeks to clear my mind then pick five family members to help an five ppl I don't know that really need a blessing!

12/18/2013 12:01 - victorious b.

TAKE 10% OUT FOR MY CHURCH GIVE MY CHURCH A HUGE LOVE OFFERING THEN TAKE CARE FAMILY MOTHER COMES FIRST THEN MY SON AN HUBBY MY 5 SISTERS MY 2 BROTHERS THEN NIECES AN NEPHEWS AND THEIR KIDS THEN MY 2 AUNTS AND THEN MY FRIENDS THAT I HAD BEFORE I HIT IT BIG

12/17/2013 11:59 - Anetria S.

Everyone is in financial struggles right now I think I would give homeless people money and let them know just GOD!!!!!!!!!!! But also I would take care family first then close family friends but before I do anything I would give GOD his first and then take care of family!!!!!!!!!!!!!

12/17/2013 11:51 - jazmin r.

got 3numbers, where can I check if I won something

12/17/2013 11:39 - Deborah C.

Cash payout because tomorrow is not promised to any of us! Give me my cash now.

12/17/2013 11:29 - Charla E.

IM new at this how do i find out what the numbers are what station do i watch? is there a phone number?what time is the drawing?

12/17/2013 11:25 - Louetta S.

This would be an awesome thing to win. Hospice House, ?Franklin, NC

12/17/2013 11:01 - MARTYN A.

No matter the position you take, it sounds good. Both are win win game. Good luck all.

12/17/2013 11:01 - Christopher W.

See ya NC!!! Taxes would hurt in the long run, u wanna enjoy that kind of bread..

12/17/2013 10:57 - rebecca s.

I WOULD TAKE THE PAY OUT I would give anything to have my own home payoff my debts and for once in my life not worry about having lights heat or a good meal for my kids to just be able to take care of their needs and repay my parents would be a blessing. ah but a dream

12/17/2013 10:40 - Enrique G.

A lot of people gone be better off if I win.

12/17/2013 10:36 - dominko D.

I would thank God first pay my tithes help family and friends an help homeless an just give back do good deeds an good luck to all

12/17/2013 10:30 - Sabrina M.

In your name God we claim it done! Amen.

12/17/2013 10:24 - Mohamed R.

Good luck guys :)

12/17/2013 10:22 - Delores L.

I could help change so many lives with this win! :)

12/17/2013 10:01 - Debbie S.

Fingers crossed

12/17/2013 09:37 - Jennifer anne S.

I am praying are family wins we need a blessing in this hard time and all are health and finacial issues. We will pay it forward

12/17/2013 09:33 - jeff s.

damn give it to me now

12/17/2013 09:20 - Jeremy W.

One time payment....that was a no brainier question. Now let's win!!??????????????.

12/17/2013 09:03 - Stephanie H.

Go me :-$ ...good luck to everyone!

12/17/2013 08:54 - Jonathan T.

operation home front, wounded warrior project, and USO would undoubtedly get a large portion.. we can play this lottery and have a chance to become instant millionaires because of our troops

12/17/2013 08:49 - dorothea k.

Good Luck To Everyone !!!! First I would get a LAWYER to help me make the Wise Choice!!! Then spread the LOVE FOR PEOPLE IN NEED !!!

12/17/2013 08:48 - Stephanie H.

Go me :-$ ...good luck to everyone!

12/17/2013 08:47 - Darlene M.

Anyone know how you enter a debit card on here?

12/17/2013 08:47 - Rick O.

take a big payment! And watch peoples troubles go away!

12/17/2013 08:46 - Stephanie H.

Go me :-$ ...good luck to everyone!

12/17/2013 08:30 - Joshua W.

Paul Walkers charity Reach Out World Wide would have a very nice donation, along with a few others.

12/17/2013 08:24 - Clarence G.

I would take the cash payout, age factor is the decision maker. Good luck to everyone.

12/17/2013 07:59 - Felita H.

A lot of people would be blessed!! Charities included. Good Luck Everyone!!!

12/17/2013 07:31 - Tamara P.

Agree would be fun to help so many people with that money!

12/17/2013 07:27 - Ronald F.

The Church would get a very very big tithe, then alot of cold people would be warm, the hungry with a full belly and then on to my family, friends then I would build my dream barn style house. Travel and enjoy all the world has to offer. Wow ! I bought 5 tickets

12/17/2013 07:26 - clarence m.

pay me? please pay me please??????????????Clarence???

12/17/2013 07:19 - Joseph S.

Hope this jackpot gets into the billions!

12/17/2013 07:17 - robert c.

IF I WIN I'M GONNA GET MY OLD TRUCK REPAINTED. THEN I'M GONNA GET MOM'S WARSHER MACHINE FIXED. THEN I GUESS I'LL JUST PUT THE MONEY IN THE LOCAL BANK AND EARN US SOME INTEREST. THAT'S ABOUT ALL I CAN FIGURE FOR NOW. MERRY CHRISTMAS TO EVERYONE.

12/17/2013 07:14 - Brandon B.

Hey lucke-zone if that last winner doesn't want htheir ps4 I would be more than happy have it. Haha

12/17/2013 07:07 - Lisa P.

Cash out . . . plain & simple.

12/17/2013 07:00 - Calvin G.

If I can't handle the money in a Godly way, then I don't want it.

12/17/2013 06:44 - Susan C.

Have to be in it to win it. So I've invested a grand total of $5. The odds are not in my favor but I figure someone has to win it so why not me! To my church-we can burn our mortgage! A house for my 82 year old mother next to me. A the letter to all my family. Hi, Guess you heard I hit the lottery. Here's my deal to you. Please submit your bills you want paid. I will pay up to 100K or you can take a one time cash payment of 50K. Please DO NOT ask me for anything after that amount. I love you - oh and yeah I need to at least recognize you as a relative o:) The rest will secure my grandsons future and their grandchildren's future o:) Doesn't cost anything to dream.

12/17/2013 06:32 - stephen j.

Shaw University Get ready for that new athletic Complex.

12/17/2013 06:28 - Betty K.

I would first give to my church. Then I would take care of my family. And I would donate to charity. And I would Bless a lot of people who need Help. It's better to give than to received. When God BLESS you .You should Bless others.

12/17/2013 06:18 - michael e.

Chose the annual payments this is the best way?

12/17/2013 05:54 - Mike S.

The first thing I would do is meet the lottery commission's minimum requirements on publicity, then disappear for a couple of months. Only one person would be able to contact me and I would change cell numbers every week.

12/17/2013 05:50 - Carol G.

I would take it over a period of 30 years probably. I Would be very thankful to God . I would give 10 % to church and charities. Then My family , wife , kids and grands would live good for the rest of our time.

12/17/2013 05:45 - flecia s.

If I HIT BIG I WILL BUY ME AND MY FAMILY A dream Home AND A TRUCK AND THEN I WILL HELP MY CHURCH FAMILY. I PRAY TO MY HEAVENLY FATHER THAT I WIN I WILL HELP SO MANY PEOPLE THAT NEED HELP!!!this is my pray to my almighty God this is my Pray that I WIN. Good luck to everyone!!!

12/17/2013 05:11 - mary d.

this is not related to the mega drawing i have been playing the lucke drawing games for more than four months and have not seen a winner posted from durham as of yeti beleive i am not the only one from durham playing the lucke draw games what is up with that.

12/17/2013 04:56 - Kristin W.

Wow! Golly gee willakerrs! $656 is more than me and family 100 years from now can spend. I pray to The Heavenly Father that I win! I would help so many people and create great legacies. Good luck to everyone!

12/17/2013 04:53 - Lorry C.

I would take the cash payout, as my age won't allow me to wait! I wish everyone the best of luck tonight!

12/17/2013 04:48 - Jeff B.

taking the payments and moving to a state with no income taxes

12/17/2013 04:28 - queen .

First i will give thanks to God which all blessings flow. Iwold like to bless my family and friends. I would love to pay my totes

12/17/2013 04:24 - johnnie p.

good luck to everybody

12/17/2013 04:17 - charles h.

If I win it will be huge payday for me and a few worthy charities!!

12/17/2013 04:03 - Edward W.

Its 2013!

12/17/2013 03:34 - david m.

MORE MONEY MORE PROBLEMS BUT IF LUCK FALLS MY WAY I HAVE NO CHOICE BUT TO TAKE THE MONEY & THE PROBLEMS!!!!!!

12/17/2013 03:19 - shaking c.

im hit big

12/17/2013 02:58 - Willie B.

st.Jude(children's hospital in Memphis Tenn) is waiting for my donation !!!

12/17/2013 02:54 - Christine B.

This would be an awesome Christmas present!

12/17/2013 02:49 - LEON B.

what a great piece of change for someone all the new so called friends who want to know you to.

12/17/2013 02:03 - Ramil A.

that is a very hard decision - now i only need to win the jackpot... :)

12/17/2013 02:02 - Rosalind H.

Be Able To BLESS a lot of People and Put an END to Financial Struggles & Stresses with Either Choice!! But with all the Gov "Shut Downs" and Issue's. I believe I would take the 1 Time Pay Out!!

12/17/2013 01:33 - Ronald D.

Decisions, decisions...

12/17/2013 12:52 - Michael M.

i think the 30 would be the best, my yearly salary would be way way way beyond what it is now, so that would be way way way way more than I could think about. good luck every one!!!!

12/17/2013 12:03 - Roland K.

Why would any sane person not take the cash payout? Even after taxes are taken out, wise investments could earn much,much more than the annuity paid out over 30 years! It's a no brainer!

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Mega Millions jackpot annuity vs. cash option

December 17, 2013 Posted by NC Lottery at 11:21 AM