Kentucky Lottery

KYLottery Powerball Jackpot Analysis

The Powerball jackpot for the draw on Mon Jan 5, 2026 is estimated to be $86 Million, with a cash option of 38.8 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 Kentucky, your state will take 4.5% 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.

Kentucky Powerball Jackpot/Cash Option for Mon Jan 5, 2026

Draw Date	Jackpot	Cash Option
Mon Jan 5, 2026	$86,000,000	$38,800,000

Lumpsum Option Taxes and Payment

Category	Amount
Cash Gross Payment	$38,800,000
Federal Tax(24%)	$9,312,000
Additional Federal Tax	$5,004,330
State Tax(4.5%)	$1,746,000
Net Lumpsum Payment	$22,737,670

Annuity Payment in 30 Installations

Year	Gross Payment	Fed/State Tax	Net Payment
1	$1,294,386	-$439,253 -$58,247	$796,886
2	$1,359,144	-$463,214 -$61,161	$834,769
3	$1,427,084	-$488,351 -$64,219	$874,514
4	$1,498,464	-$514,762 -$67,431	$916,271
5	$1,573,370	-$542,477 -$70,802	$960,091
6	$1,652,060	-$571,593 -$74,343	$1,006,124
7	$1,734,620	-$602,140 -$78,058	$1,054,422
8	$1,821,394	-$634,246 -$81,963	$1,105,185
9	$1,912,468	-$667,944 -$86,061	$1,158,463
10	$2,008,100	-$703,327 -$90,365	$1,214,408
11	$2,108,462	-$740,461 -$94,881	$1,273,120
12	$2,213,898	-$779,473 -$99,625	$1,334,800
13	$2,324,580	-$820,425 -$104,606	$1,399,549
14	$2,440,852	-$863,446 -$109,838	$1,467,568
15	$2,562,886	-$908,598 -$115,330	$1,538,958
16	$2,691,026	-$956,010 -$121,096	$1,613,920
17	$2,825,530	-$1,005,776 -$127,149	$1,692,605
18	$2,966,828	-$1,058,057 -$133,507	$1,775,264
19	$3,115,178	-$1,112,946 -$140,183	$1,862,049
20	$3,270,924	-$1,170,572 -$147,192	$1,953,160
21	$3,434,496	-$1,231,094 -$154,552	$2,048,850
22	$3,606,238	-$1,294,638 -$162,281	$2,149,319
23	$3,786,494	-$1,361,333 -$170,392	$2,254,769
24	$3,975,866	-$1,431,401 -$178,914	$2,365,551
25	$4,174,612	-$1,504,937 -$187,858	$2,481,817
26	$4,383,420	-$1,582,196 -$197,254	$2,603,970
27	$4,602,548	-$1,663,273 -$207,115	$2,732,160
28	$4,832,684	-$1,748,423 -$217,471	$2,866,790
29	$5,074,344	-$1,837,838 -$228,345	$3,008,161
30	$5,328,044	-$1,931,707 -$239,762	$3,156,575