Can a $2 Powerball ticket make you a billionaire? So far, no. But one man was close.
In September, two tickets from Texas and Missouri won big in the $1.787 billion Powerball lottery, splitting the prize. Both winners received one-time prizes, which were significantly less than Powerball’s nearly $1.8 billion prize, but still a lot of money.
During the 2025 Christmas Eve holiday, a lottery ticket from Arkansas won a Powerball total of $1.817 billion. When the winner comes forward, if he or she takes the money in one lump sum, the after-tax amount will be significantly less than $1 billion. However, winners of the September and December Powerball draws are credited with becoming ticket holders of billion-dollar lottery jackpots.
Here’s how much the $1.787 billion Powerball winner took home after taxes, information about Arkansas’ $1.817 billion Powerball winner, and a look back at how a $2 Powerball ticket almost made someone a billionaire.
RECORD WINS: Who wins America’s biggest jackpot after Texas, Missouri wins $1.8 billion Powerball jackpot?
Who wins the $1.787 billion Powerball drawing in Missouri and Texas on September 6, 2025?
The $1.787 billion Powerball lottery numbers for Saturday, September 6, 2025 were 11-23-44-61-62 and the Powerball number was 17.
The winning Powerball tickets were sold at the QuikTrip gas station and convenience store in St. Louis, Missouri, and the Big’s 103 gas station and convenience store in Fredericksburg, Texas. With two winners, the $1.787 billion prize was split into $893.5 million or a one-time bonus of $410.3 million, both before taxes.
Two weeks after the drawing, the Missouri Lottery announced that winners in the state came forward to claim $893.5 million in prizes, including $410.3 million in cash prizes. The organization said the Missouri Powerball player, who set the record and collected the largest jackpot ever won by a Missouri Lottery player, “plans to take some time off and enjoy the experience.”
The Texas Lottery announced that the winner of the state’s $1.787 billion Powerball jackpot chose cash value (players must select a lump sum or annuity when purchasing the ticket) and will also receive $410.3 million, or $410,324,470.28 before taxes.
On the Powerball website, the two winners of the $1.787 billion Powerball drawing on September 6, 2025 – an anonymous player in St. Louis, Missouri, and the Seven Bridges Revocable Trust Company in Fredericksburg, Texas – show a cash prize option allocation of $820.6 million.
How much money will the winner of Missouri’s $1.787 billion Powerball jackpot take home after taxes?
The Missouri winner opted for a one-time payment of approximately $410.3 million. By law, the Missouri Lottery cannot release the name of a lottery jackpot winner without prior consent. Effective August 28, 2021, pursuant to HB 402, the Missouri Lottery will release the name of the winner only if the winner provides written consent.
The Missouri Lottery states that all lottery prizes are subject to federal and state taxes, and the Missouri Lottery is “required to withhold 4% Missouri state tax on prizes of $600.01 or more and 24% federal tax on prizes over $5,000. Winners may be required to pay additional taxes on their prizes or may receive a refund, depending on their income.”
Using this formula, 24% of $410.3 million equals $98.47 million and 4% of $410.3 million equals $16.41 million. Add those two values ​​and then subtract $114.88 million from $410.3 million, and the Missouri state champion’s prize is $295.42 million.
How much money will Texas’ $1.787 billion Powerball jackpot winner take home after taxes?
According to the Texas Lottery, “Prizes over $5,000 are subject to federal income tax withholding. For lottery winnings over $5,000, less the amount wagered, the withholding rate is 24%.”
Some states, such as Texas, do not pay taxes on lottery winnings to state income.
“Only a handful of states — California, Florida, New Hampshire, South Dakota, Tennessee, Texas, Washington and Wyoming — do not impose state taxes on lottery winnings. Keep in mind that while residing in these states may exempt your winnings from state tax, federal withholding and taxes still apply,” says financial website NerdWallet.
The Texas winners of the $1.8 billion Powerball jackpot chose cash when purchasing their tickets, so their share of the prize was the same as the Missouri winners, $410.3 million before taxes. The total prize money is $98.47 million, or 24% federal tax, and the winner will receive $311.83 million.
However, the lump sum payment is subject to a federal tax rate of up to 37%. That means an additional $53.34 million will be paid on top of the $98.47 million the Texas Lottery withheld. The Powerball winnings will become part of Texas winners’ 2025 federal income tax returns, leaving them with $258.49 million in the end, assuming no other deductions.
Who won the $1.817 billion Powerball in Arkansas on Christmas Eve, Wednesday, December 24, 2025?
After the record-setting Powerball drawing, Powerball officials and the Arkansas Scholarship Lottery reported the ticket was purchased in the Natural State. Murphy’s American Gas Station, 208 S. Rockwood Drive, Cabot, Arkansas, sold tickets that matched all five numbers along with the Powerball in the Wednesday, Dec. 24, 2025, or Christmas Eve Powerball drawing, winning the then-$1.7 billion jackpot. Final ticket sales pushed the jackpot total to $1.817 billion.
As of Friday, December 26, 2025, it was unclear who the winner of the $1.817 billion Powerball jackpot was. According to organizations like the California Lottery, the review process typically takes several weeks.
How much will the winner of Arkansas’ $1.817 billion Christmas Eve Powerball jackpot take home after taxes?
The sole jackpot winner can collect $1.817 billion annually or a one-time prize worth $834.9 million. “Both prizes are pre-tax. If the winner chooses the annuity option, they will receive an immediate payment, followed by 29 annual payments, increasing by 5% each year,” Powerball.com said.
According to a report published by Forbes magazine shortly after the Powerball winner was announced, “If a cash prize is selected, the prize will first be reduced to approximately $634.5 million after the mandatory 24% federal withholding tax.” In addition, the winner may face a “37% federal marginal tax rate, depending on his or her taxable income,” which would reduce the prize again to approximately $526 million (from $1.817 billion).
The Arkansas Scholarship Lottery states online that there will be an additional “3.9% tax on prizes over $5,000.”
Who is Edwin Castro? Who won the $2.04 billion Powerball drawing?
Edwin Castro of Altadena, Calif., the lone winner of the $2.04 billion Powerball drawing on Nov. 7, 2022, chose to take a lump sum of his prize, which is nearly $1 billion, according to the California Lottery. Castro purchased the ticket that matched all five numbers, as well as the Powerball, from Joe’s Service Center in Altadena, California.
Castro, who refused to appear on camera, claimed his prize at a press conference on February 14, 2023 (Valentine’s Day) and received a check for $997.6 million from the California Lottery. In California, it’s public record to know who won the Powerball, Mega Millions or California Lottery jackpot and where the winning ticket was sold. The rules are different in other states, such as Florida, where who wins the lottery jackpot is a public record, although winners in that state can claim the jackpot through a trust or LLC.
Like Texas, California imposes no state tax on lottery winnings. After taxes, Castro could walk away with $628.5 million, according to USA Today.
Contributor: George Petras and Javier Zarracina, USA Today
Sangalang is chief digital producer at USA TODAY Network. follow her twitter or Instagram @byjensangalang. Support local journalism. Consider a Florida newspaper subscription.
This article originally appeared in the Fort Myers News: Missouri-Texas Powerball winners split $1.7 billion in one-time payment
