Colorado Lottery

COLottery Powerball Jackpot Analysis

The Powerball jackpot for the draw on Wed Jan 7, 2026 is estimated to be $105 Million, with a cash option of 47.4 Million. If you win the Powerball jackpot, the IRS will withhold 24% of your prize money upfront, and you may owe up to an additional 13% in federal taxes when the tax is due. Additionally, if you are a resident of Colorado, your state will take 4% of your lottery winnings.

Please note that the calculation of the Powerball jackpot prizes and taxes below is based on FEDERAL INCOME TAX BRACKETS FOR 2023.

Colorado Powerball Jackpot/Cash Option for Wed Jan 7, 2026

Draw Date	Jackpot	Cash Option
Wed Jan 7, 2026	$105,000,000	$47,400,000

Lumpsum Option Taxes and Payment

Category	Amount
Cash Gross Payment	$47,400,000
Federal Tax(24%)	$11,376,000
Additional Federal Tax	$6,122,330
State Tax(4%)	$1,896,000
Net Lumpsum Payment	$28,005,670

Annuity Payment in 30 Installations

Year	Gross Payment	Fed/State Tax	Net Payment
1	$1,580,355	-$545,062 -$63,214	$972,079
2	$1,659,420	-$574,316 -$66,377	$1,018,727
3	$1,742,370	-$605,007 -$69,695	$1,067,668
4	$1,829,520	-$637,253 -$73,181	$1,119,086
5	$1,920,975	-$671,091 -$76,839	$1,173,045
6	$2,017,050	-$706,639 -$80,682	$1,229,729
7	$2,117,850	-$743,935 -$84,714	$1,289,201
8	$2,223,795	-$783,135 -$88,952	$1,351,708
9	$2,334,990	-$824,277 -$93,400	$1,417,313
10	$2,451,750	-$867,478 -$98,070	$1,486,202
11	$2,574,285	-$912,816 -$102,971	$1,558,498
12	$2,703,015	-$960,446 -$108,121	$1,634,448
13	$2,838,150	-$1,010,446 -$113,526	$1,714,178
14	$2,980,110	-$1,062,971 -$119,204	$1,797,935
15	$3,129,105	-$1,118,099 -$125,164	$1,885,842
16	$3,285,555	-$1,175,986 -$131,422	$1,978,147
17	$3,449,775	-$1,236,747 -$137,991	$2,075,037
18	$3,622,290	-$1,300,578 -$144,892	$2,176,820
19	$3,803,415	-$1,367,594 -$152,137	$2,283,684
20	$3,993,570	-$1,437,951 -$159,743	$2,395,876
21	$4,193,280	-$1,511,844 -$167,731	$2,513,705
22	$4,402,965	-$1,589,427 -$176,119	$2,637,419
23	$4,623,045	-$1,670,857 -$184,922	$2,767,266
24	$4,854,255	-$1,756,405 -$194,170	$2,903,680
25	$5,096,910	-$1,846,187 -$203,876	$3,046,847
26	$5,351,850	-$1,940,515 -$214,074	$3,197,261
27	$5,619,390	-$2,039,505 -$224,776	$3,355,109
28	$5,900,370	-$2,143,467 -$236,015	$3,520,888
29	$6,195,420	-$2,252,636 -$247,817	$3,694,967
30	$6,505,170	-$2,367,243 -$260,207	$3,877,720