The Mega Millions jackpot increases to $579 million – that’s how much the winner can take home after taxes

If a winner emerges in the next drawing, they can choose between receiving the jackpot of $579 million, spread over 30 annual payouts, or a flat cash prize of $276.6 million – often the popular choice .

If this option is chosen, the lump sum payout drops to $210.2 million after a mandatory 24% federal tax withholding is applied.

The winner could then face a federal marginal tax rate of up to 37% depending on their taxable income, which would further reduce their winnings to $174.26 Million.

If the winner chooses to pay in installments, their annual payments would drop from about $19.3 million to $12.16 million when the federal marginal interest rate of 37% is applied.

The winner may also have to pay additional taxes from their state of residence, as some states such as New York tax lottery winnings at 10.9%, while others such as Texas, Florida and California do not.