Powerball is one of the most popular lottery games in the United States. It is coordinated by the Multi-State Lottery Association and available in 45 states, as well as Washington D.C., Puerto Rico and the US Virgin Islands. Powerball holds the record for the largest lottery jackpot in US history at $1.586 billion dollars. This record jackpot was split between 3 ticket holders on January 13, 2016.
How Powerball Works
Powerball is a multi-state lottery game that holds drawings twice a week on Wednesdays and Saturdays. To play, participants select 5 white ball numbers from 1 to 69, and 1 red Powerball number from 1 to 26. The order of the numbers does not matter. Tickets cost $2 each. Players also have the option to multiply non-jackpot prizes with the Power Play feature for an additional $1 per play.
During the drawing, 5 white balls are drawn from one drum and the red Powerball is drawn from a second drum. If a player matches all 5 white balls in any order and the red Powerball, they win the jackpot prize. Lesser prizes are awarded for matching some or none of the white balls along with the red Powerball. The odds of winning the jackpot are approximately 1 in 292 million.
Largest Powerball Jackpots
Here is a table of the top 10 largest Powerball jackpots to date:
| Drawing Date | Jackpot | Winning Tickets | Payout per Ticket |
|---|---|---|---|
| January 13, 2016 | $1.586 billion | 3 | $528.8 million |
| January 20, 2021 | $731.1 million | 1 | $731.1 million |
| October 4, 2021 | $699.8 million | 1 | $699.8 million |
| November 28, 2012 | $587.5 million | 2 | $293.7 million |
| November 2, 2022 | $502.9 million | 1 | $502.9 million |
| February 11, 2015 | $487 million | 3 | $162.3 million |
| May 18, 2013 | $590.5 million | 1 | $590.5 million |
| August 23, 2017 | $758.7 million | 1 | $758.7 million |
| March 27, 2019 | $768.4 million | 1 | $768.4 million |
| January 5, 2022 | $632.6 million | 2 | $316.3 million |
As the table shows, the current record Powerball jackpot of $1.586 billion was drawn on January 13, 2016. This jackpot was split between 3 winning tickets, with each ticket getting a payout of $528.8 million before taxes.
The second largest Powerball jackpot was $731.1 million, won by a single ticket on January 20, 2021. The third largest was $699.8 million, again won by a single ticket on October 4, 2021.
January 13, 2016 $1.586 Billion Powerball Drawing
The January 13, 2016 Powerball drawing made history for yielding the largest lottery jackpot ever in the United States. The winning numbers were 4, 8, 19, 27, 34 and Powerball 10.
The jackpot had been rolling over since November 4, 2015. By January 13, the jackpot had climbed to an astounding $1.586 billion, with a cash value option of $983.5 million.
An unbelievable frenzy surrounded the long-running jackpot. 202.5 million Powerball tickets were sold for the January 13 draw. Americans spent an estimated $1.5 billion on Powerball tickets, as people who had never played the lottery tried their luck. Ticket sales reached 300,000 per minute in the hours before the draw.
Three lucky tickets matched all 6 numbers to split the record $1.586 billion jackpot equally. The locations that sold the winning tickets and the winners were:
- Melbourne Beach, Florida – John and Lisa Robinson
- Munford, Tennessee – Maureen Smith and David Kaltschmidt
- Chino Hills, California – Marvin and Mae Acosta
Each ticket was worth $528.8 million in annuity payments paid over 29 years, or a $327.8 million lump sum cash option. After federal and jurisdictional taxes, the cash payout for each winner came to around $188 million.
The Robinson and Smith/Kaltschmidt winners both chose to remain anonymous and have no released public statements. Marvin and Mae Acosta held a press conference to discuss their windfall. When interviewed, John Robinson simply stated “We are grateful that we get to help so many people.” The Acostas plan to use their portion of the jackpot to travel and support charitable causes.
This epic Powerball jackpot run generated significant excitement and lottery revenue for all participating states. Powerball sales during the roll over period topped $4 billion just for this jackpot sequence alone. $200 million in commissions were paid to ticket retailers. Education initiatives received $306 million in earmarked lottery profits. Each state also gained millions in tax revenue from the winning tickets sold.
Why the Jackpot Grew So Large
Several key factors contributed to the Powerball jackpot reaching the unprecedented amount of $1.586 billion:
- Long roll over streak – The jackpot rolled over 19 times over the course of 16 weeks without anyone matching all 6 numbers. This allowed the already huge jackpot to continue compounding to astronomic levels.
- Improved odds – Powerball changed from 5/59 + 1/39 to 5/69 + 1/26 in October 2015. The overall odds of winning any prize improved from 1 in 175 million to 1 in 24.87. The jackpot odds lengthened to 1 in 292.2 million.
- Lottery frenzy – As the jackpot climbed, lottery fever swept the nation. Millions of first time players bought tickets, significantly increasing lottery sales.
- Holidays – The long roll over coincided with the holiday season from Thanksgiving to early January. Holiday celebrations likely fueled higher ticket sales.
The ultra-high jackpot caught the public imagination and became a headline story across the world. Lottery venues struggled to keep up with the insane demand. Many retailers reported selling hundreds of tickets per second at peak times with lines out the door.
Ultimately, the stars aligned for the perfect jackpot storm. A lengthy roll over combined with lottery newcomers drawn in by Powerball fever resulted in an unprecedented $1.586 billion dollar world record jackpot.
Changes After the Record Jackpot
In the wake of the massive jackpot, the Multi-State Lottery Association implemented new rules in June 2016 to control jackpot creep in Powerball:
- Jackpots starting at $40 million – Previously the reset jackpot was $15 million minimum.
- Extra draws allowed – Rollovers used to be limited to 26 consecutive draws.
- Upped percentage bumps – Each roll over now increases the jackpot by at least 7%, up from the previous 5% bump.
These changes have resulted in faster growing jackpots. While no prize has approached the otherworldly 1.6 billion dollar record, Powerball has still seen several jackpots over $500 million. Top prizes since the new rules include:
- $699.8 million on October 4, 2021
- $731.1 million on January 20, 2021
- $758.7 million on August 23, 2017
However, some industry experts argue that overly large jackpots end up decreasing the overall amount spent on lottery tickets. When the advertised top prize becomes absurdly high, the general public starts to see Powerball purchases as a low probability proposition. This leads casual players to sit out drawings until the jackpot resets down to more reasonable levels. The Multi-State Lottery Association continues to monitor data to optimize both jackpot size and overall ticket sales.
Taxes on Powerball Winnings
For the lump sum cash option, federal taxes are mandatory at 24% for lottery winnings. States also apply tax which varies based on jurisdiction:
| State | Tax Rate on Lottery Winnings |
|---|---|
| California | None |
| Florida | None |
| Tennessee | None |
| Pennsylvania | 3.07% |
| Michigan | 4.25% |
| New York | 8.82% |
For the January 2016 Powerball winners, the federal taxes of 24% were mandatory. The Robinson winners in Florida and Smith/Kaltschmidt winners in Tennessee owed no state tax. The Acostas in California also avoided state tax but were subject to an additional 13.3% federal tax for the highest income bracket.
After all taxes, estimates indicate the lump sum payout resulted in take home cash around $187 million for each winning ticket holder. While still an astounding amount of money, the IRS and state government took over 40% combined in taxes on the Powerball prize.
Record Powerball Winners – Where Are They Now?
Very little is known publicly about the lives of the Powerball winners after their epic $1.6 billion lottery win 7 years ago. Here are the latest updates:
John and Lisa Robinson
- Have kept an extremely low profile according to Florida reporters
- No confirmed public sightings since their 2016 lottery press conference
- Retired immediately from their jobs upon winning
- Have stated plans to help certain charities and their community
Maureen Smith and David Kaltschmidt
- Also chose to remain anonymous and avoid public appearances
- Were 70 and 54 years old respectively when they won in 2016
- Were described as “good people who will put the money to great use” by Tennessee lottery officials
- No other updates available; they appear to be maintaining a low profile
Marvin and Mae Acosta
- Held a press event but otherwise have avoided media opportunities
- Purchased a new home in Southern California for $2 million
- Donated to local charities and their church
- Adopted a lower public profile after the initial media attention
Based on all available information, the three Powerball jackpot winners have maintained a relatively low profile. Besides some initial media interviews, the winners have avoided public sightings and not taken any elaborate actions that brought attention. They appear content to enjoy their monster lottery winnings in private.
Chances of Winning Powerball
The odds make it clear that winning the lottery Powerball jackpot is exceedingly unlikely. Here are the statistical chances:
- Overall odds to win any prize: 1 in 24.87
- Odds to win $1 million prize: 1 in 11,688,053.52
- Odds to match first 5 numbers: 1 in 11,238,513
- Odds to match first 4 numbers: 1 in 913,129.18
- Odds to win Powerball jackpot: 1 in 292,201,338
To put this in perspective, you are about 50x more likely to be killed by a meteorite strike than to hit the Powerball jackpot. The odds are further reduced if multiple players happen to pick the same numbers. Given the extremely low probabilities involved, buying a Powerball ticket is essentially just paying for a minute chance to dream big.
Strategies to Improve Odds
While winning Powerball is overwhelmingly unlikely, there are some basic strategies players can use to mildly improve the miniscule odds:
- Buy more tickets – Each added Powerball ticket represents one more chance to win
- Avoid popular numbers – Picking less common numbers means fewer people will share the prize if you get lucky
- Use quick pick – Random number selection avoids biased numbers
- Join a pool – Combining money with others means you need to match fewer numbers to win
- Avoid consecutive numbers – Lucky number sequences are chosen by more people
Players should keep perspective and only use entertainment funds for lottery tickets. That said, following these tips can marginally increase your slim chances of winning a Powerball prize.
Conclusion
The January 13, 2016 Powerball drawing made lottery history at a staggering $1.586 billion jackpot. Exactly 3 lucky tickets matched all 5 white balls and the Powerball to split the world record top prize. Changes made to Powerball since have aimed to produce higher jackpots more frequently.
While the $1.6 billion prize is exceptionally unlikely to ever be exceeded, Powerball continues to captivate casual punters and fanatics alike with its talks of instant enormous riches. Dreaming of hitting it big will keep Americans eagerly purchasing Powerball tickets twice every week. But behind the hype, rationally assessing the true 1 in 292 million odds highlights how remote anyone’s chances of matching the magic numbers really are.