What is exactly the difference between the Powerball and Mega Millions jackpot?
The Powerball jackpots start at $40 million, while the Mega Million jackpot begins at $15 million. Both games allow jackpot their winners to receive the money as pure cash or as an annuity. The cash money option in the lottery is an one-time payment of all the money available in the jackpot prize pool. This amount is determined by sales, both for Mega Millions and Powerball. 32 cents of each $1 will go into the jackpot prize pool. When a jackpot winner decides to receive an annuity, the lottery will use the money in the jackpot prize pool to provide the winner with payments over a period of time. However, the annuity options of Mega Millions and Powerball are slightly different. This is because the method of funding the annuity is different for Powerball and Mega Millions. This means that each game gets a different rate of return for its investment.
Powerball and mega millions winners
A Powerball jackpot winner who selects the annuity option will receive 30 graduated payments, which means the payments will increase over time. A Mega Millions jackpot winner who selects the annuity option will receive 26 equal annual payments. Essentially, this means that Powerball is able to purchase a relatively larger annuity with a smaller jackpot prize pool. A player needs to keep in mind that all advertised jackpots are estimates based on project sales. These are occasionally revised before a drawing.