Choosing the cash option means the initial amount will be subject to a mandatory federal tax withholding of 24%, bringing the total down to approximately $291.5 million.

Further taxing at a federal marginal rate that could peak at 37%, depending on the winner’s overall taxable income, would reduce the amount even further to around $241.6 million.

State taxes could also impact the final take-home amount, varying by where the winner resides. States like New York impose a tax rate of 10.9% on lottery winnings, while states such as Texas, Florida, and California do not tax lottery earnings at all.

Depending on their state of residence, the winner could face additional taxes, as some states, such as New York, tax lottery winnings at 10.9%, while others, such as Texas, Florida, and California, don’t.