Michigan Lottery

MILottery 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 Michigan, your state will take 4.25% 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.

Michigan 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(4.25%)	$1,649,000
Net Lumpsum Payment	$22,834,670

Annuity Payment in 30 Installations

Year	Gross Payment	Fed/State Tax	Net Payment
1	$1,294,386	-$439,253 -$55,011	$800,122
2	$1,359,144	-$463,214 -$57,764	$838,166
3	$1,427,084	-$488,351 -$60,651	$878,082
4	$1,498,464	-$514,762 -$63,685	$920,017
5	$1,573,370	-$542,477 -$66,868	$964,025
6	$1,652,060	-$571,593 -$70,213	$1,010,254
7	$1,734,620	-$602,140 -$73,721	$1,058,759
8	$1,821,394	-$634,246 -$77,409	$1,109,739
9	$1,912,468	-$667,944 -$81,280	$1,163,244
10	$2,008,100	-$703,327 -$85,344	$1,219,429
11	$2,108,462	-$740,461 -$89,610	$1,278,391
12	$2,213,898	-$779,473 -$94,091	$1,340,334
13	$2,324,580	-$820,425 -$98,795	$1,405,360
14	$2,440,852	-$863,446 -$103,736	$1,473,670
15	$2,562,886	-$908,598 -$108,923	$1,545,365
16	$2,691,026	-$956,010 -$114,369	$1,620,647
17	$2,825,530	-$1,005,776 -$120,085	$1,699,669
18	$2,966,828	-$1,058,057 -$126,090	$1,782,681
19	$3,115,178	-$1,112,946 -$132,395	$1,869,837
20	$3,270,924	-$1,170,572 -$139,014	$1,961,338
21	$3,434,496	-$1,231,094 -$145,966	$2,057,436
22	$3,606,238	-$1,294,638 -$153,265	$2,158,335
23	$3,786,494	-$1,361,333 -$160,926	$2,264,235
24	$3,975,866	-$1,431,401 -$168,974	$2,375,491
25	$4,174,612	-$1,504,937 -$177,421	$2,492,254
26	$4,383,420	-$1,582,196 -$186,295	$2,614,929
27	$4,602,548	-$1,663,273 -$195,608	$2,743,667
28	$4,832,684	-$1,748,423 -$205,389	$2,878,872
29	$5,074,344	-$1,837,838 -$215,660	$3,020,846
30	$5,328,044	-$1,931,707 -$226,442	$3,169,895