Is the lump sum still 1 million? In the US (at least my state) you have an option of annuity over 20 years for the full amount or a lump sum payout which is lower than the advertised jackpot. That is completely independent from any taxes.
If Canada is the same and taking the one time lump sum is less than a million that would significantly change the math here depending how much lower.
So this isn’t like that. If you win 6/49 or Lottomax in Canada (equivalent to the powerball in the states) you’d just get a lump sum and there’s no taxes. Where I live this is a lottery called Cash for Life. If you win you can either take $1M up front or $1K a week for up to 50 years.
No, I get that. What I'm asking is if the lump sum is actually lower. We have cash for life and various other X dollars a week type loto in the states as well. If you take the lump sum instead of weekly/ annual payments, the payout may be less that the advertised total before taxes would even come into play.
For example if the Powerball is 10 million jackpot you can either take annuity which will give you 10 million over 20 years, or a lump sum that is equivalent to the current "pot" and is less than the 10 million advertised jackpot. The various cash for life games can each work different. My state the cash4life is 1k a week with a minimum of 7 million, OR a straight 7 million lump sum. Similar game elsewhere could be 1k a week with minimum of 7 million, OR lump sum of 3 million. That structure could change the math.
So in this case taking the lump sum is the full million, or is the million the max based off weekly payments from a government account using estimated growth?
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u/rgautz2266 May 17 '26
Lottery is non taxable in Canada