Win a lottery jackpot and the IRS takes a big cut before you see a dime. This free calculator estimates your 2026 federal tax using the actual IRS brackets, adds a state tax estimate for your state of residence, and shows your net take-home — so there are no surprises at claim time.
Lottery Tax Estimator
Estimate federal and state taxes on lottery winnings using 2026 tax figures.
- Federal tax uses the actual IRS 2026 brackets (Rev. Proc. 2025-32): 10%, 12%, 22%, 24%, 32%, 35%, 37%. The 2026 standard deduction ($16,100 single / $32,200 joint) is subtracted first.
- State tax is an estimate applying the state’s verified 2026 top marginal income-tax rate to the full winnings — a reasonable approximation for large jackpots.
- Local/city income taxes, the alternative minimum tax, and state deductions or credits are not included.
- Winnings are treated as your only income for the year. In reality, winnings stack on top of your other income.
Frequently Asked Questions
How is federal tax on lottery winnings calculated in 2026?
Lottery winnings are taxed as ordinary income. This calculator applies the actual IRS 2026 federal brackets from Rev. Proc. 2025-32 (10%, 12%, 22%, 24%, 32%, 35%, 37%) after subtracting the 2026 standard deduction ($16,100 single / $32,200 married filing jointly). Note that 24% federal withholding is taken when you claim a prize, but your final tax bill depends on your bracket — for large jackpots it is usually higher. Read our full guide to lottery winnings taxes for the details.
Which states don’t tax lottery winnings?
Nine states have no personal income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington (lottery winnings are exempt there — Washington taxes capital gains only) and Wyoming. If you live in one of these states, the calculator shows no state tax on your winnings.
Is the state tax figure exact?
No — it is a planning estimate. The calculator applies the state’s verified 2026 top marginal income-tax rate to your full winnings, which is a reasonable approximation for large jackpots. It does not include local or city income taxes, the alternative minimum tax, or state deductions and credits.
Should I enter the annuity jackpot or the cash value?
Enter the cash value — the amount you would actually receive as a lump sum. The advertised annuity jackpot is the total of 30 graduated payments; the cash value is the lower one-time payout, and that is the amount the tax estimate should be based on. Still weighing your options? Compare both with our annuity vs lump sum calculator.
Is this calculator tax advice?
No. It gives a rough planning estimate only. Lottery tax rules vary by state and situation, and winnings stack on top of your other income. Always consult a qualified tax professional before you claim a lottery prize.