Lotto America Prizes
There are nine prize tiers on offer in every Lotto America draw (or more with the All Star Bonus option), from $2 for just matching the Star Ball, all the way up to the jackpot (also known as the ‘Grand Prize’), which is won by matching all five regular balls and the Star Ball.
The jackpot starts at $2 million, and if it is not won in any given draw, it will roll over to the next one. There is no jackpot cap, so it will continue to roll over until it is won.
The table below details the different prizes on offer in Lotto America and the odds of winning each one:
|Match||Odds of Winning||Prize|
|Match 5 + Star Ball||1 in 25,989,600||Jackpot|
|Match 5||1 in 2,887,733||$20,000|
|Match 4 + Star Ball||1 in 110,594||$1,000|
|Match 4||1 in 12,288||$100|
|Match 3 + Star Ball||1 in 2,404||$20|
|Match 3||1 in 267||$5|
|Match 2 + Star Ball||1 in 160||$5|
|Match 1 + Star Ball||1 in 29||$2|
|Match 0 + Star Ball||1 in 17||$2|
|Overall chances of winning: 1 in 9.6|
All Star Bonus
In addition to playing the main Lotto America game, you have the opportunity to opt in to the All Star Bonus for an additional $1 stake. The All Star Bonus multiplies non-jackpot prizes by up to five times their starting value.
On the night of each draw, the All Star Bonus is also randomly selected, applying either a 2x, 3x, 4x, or 5x multiplier to all non-jackpot prizes won by players who opted to play. The All Star Bonus is the same for all players, and is available in all states that offer Lotto America.
Note: You must choose whether or not to play the All Star Bonus when you purchase your Lotto America ticket. You cannot opt in once your ticket has been printed.
The table below shows the prizes on offer when you play the All Star Bonus:
|Match 5 + Star Ball||Jackpot||Jackpot||Jackpot||Jackpot||Jackpot|
|Match 4 + Star Ball||$1,000||$2,000||$3,000||$4,000||$5,000|
|Match 3 + Star Ball||$20||$40||$60||$80||$100|
|Match 2 + Star Ball||$5||$10||$15||$20||$25|
|Match 1 + Star Ball||$2||$4||$6||$8||$10|
|Match Star Ball||$2||$4||$6||$8||$10|
The Jackpot Prize
If the Lotto America jackpot was won in the previous draw, it resets to its starting value of $2 million. If no player matches all seven balls in any given draw, the jackpot rolls over to the next draw, where it will be increased by at least $50,000. If ticket sales are particularly high, the jackpot value may increase by an even larger amount.
Cash vs Annuity
If you win the jackpot, you have the option of receiving your winnings as either a cash lump sum, or an annuity payment.
The annuity option entitles you to the full advertised jackpot amount (minus taxes), in 30 payments over 29 years. The first payment will be made immediately. The benefits of annuity payments are that you receive the full jackpot amount, as opposed to a reduced cash value (see below), and you have the security of receiving a steady income for the foreseeable future.
Many winners choose to receive the jackpot as a one-off cash lump sum. However, the value of a lump sum payout is always less than it would be for the annuity option. This is because the cash prize represents the actual funds in the jackpot pool at the time of the draw, while the annuity value is based on the lottery’s expected return from investing the cash sum over 29 years. The annuity sum is guaranteed to the player and they receive the full amount even if the lottery makes investments that do not achieve the expected return.
If an annuity winner dies before receiving all of their payments, the prize transfers to their estate or to a beneficiary designated by them. Different states have different rules on whether the estate receives annual payments or the balance of the award:
|State||Lump Sum or Continued Payments?|
|Minnesota||Payments (estate can request the lump sum)|
|New Mexico||Payments (estate can request the lump sum)|
|North Dakota||Lump sum|
|South Dakota||Payments (estate can request the lump sum)|
|West Virginia||Payments (estate can request the lump sum)|
Lotto America prizes must be claimed in the state where the tickets were purchased. Each state has its own rules about when prizes must be claimed and it is the responsibility of the player to come forward in time. Visit the How to Claim page for more information.
Winning tickets must be checked and validated by the lottery operator in the state where the ticket was bought, or by an agent of the operator, such as an authorized retailer, before prizes can be paid out.
Taxes on Lottery Prizes
Anyone who wins a large prize must pay federal taxes in the US, regardless of whether or not they are a resident. This is set at a rate depending on your total annual income (including money from lottery winnings). The lottery makes an immediate 25 percent federal withholding on prizes of more than $5,000, and most states levy a local withholding, although Tennessee and South Dakota do not. The state withholdings are as follows:
|State||State Tax Withholding|
Use the Tax Calculator to find out the value of a Lotto America prize after federal and state taxes in your jurisdiction have been deducted.