Texas Lottery

TXLottery Powerball Jackpot Analysis

The Powerball jackpot for the draw on Wed Oct 21, 2026 is estimated to be $635 Million, with a cash option of 267.5 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. The good news is that if you're a resident of Texas, you won't owe any state tax on 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.

Texas Powerball Jackpot/Cash Option for Wed Oct 21, 2026

Draw Date	Jackpot	Cash Option
Wed Oct 21, 2026	$635,000,000	$267,500,000

Lumpsum Option Taxes and Payment

Category	Amount
Cash Gross Payment	$267,500,000
Federal Tax(24%)	$64,200,000
Additional Federal Tax	$34,735,330
State Tax(0%)	$0
Net Lumpsum Payment	$168,564,670

Annuity Payment in 30 Installations

Year	Gross Payment	Fed/State Tax	Net Payment
1	$9,557,385	-$3,496,563 -$0	$6,060,822
2	$10,035,540	-$3,673,480 -$0	$6,362,060
3	$10,537,190	-$3,859,091 -$0	$6,678,099
4	$11,064,240	-$4,054,099 -$0	$7,010,141
5	$11,617,325	-$4,258,741 -$0	$7,358,584
6	$12,198,350	-$4,473,720 -$0	$7,724,630
7	$12,807,950	-$4,699,272 -$0	$8,108,678
8	$13,448,665	-$4,936,336 -$0	$8,512,329
9	$14,121,130	-$5,185,148 -$0	$8,935,982
10	$14,827,250	-$5,446,413 -$0	$9,380,837
11	$15,568,295	-$5,720,600 -$0	$9,847,695
12	$16,346,805	-$6,008,648 -$0	$10,338,157
13	$17,164,050	-$6,311,029 -$0	$10,853,021
14	$18,022,570	-$6,628,681 -$0	$11,393,889
15	$18,923,635	-$6,962,075 -$0	$11,961,560
16	$19,869,785	-$7,312,151 -$0	$12,557,634
17	$20,862,925	-$7,679,613 -$0	$13,183,312
18	$21,906,230	-$8,065,635 -$0	$13,840,595
19	$23,001,605	-$8,470,924 -$0	$14,530,681
20	$24,151,590	-$8,896,419 -$0	$15,255,171
21	$25,359,360	-$9,343,294 -$0	$16,016,066
22	$26,627,455	-$9,812,489 -$0	$16,814,966
23	$27,958,415	-$10,304,944 -$0	$17,653,471
24	$29,356,685	-$10,822,304 -$0	$18,534,381
25	$30,824,170	-$11,365,273 -$0	$19,458,897
26	$32,365,950	-$11,935,732 -$0	$20,430,218
27	$33,983,930	-$12,534,384 -$0	$21,449,546
28	$35,683,190	-$13,163,111 -$0	$22,520,079
29	$37,467,540	-$13,823,320 -$0	$23,644,220
30	$39,340,790	-$14,516,423 -$0	$24,824,367