Playing Powerball in North Carolina: A Guide to Rules and Payouts

Powerball is a multi-state lottery game offered in 45 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. The game’s objective is to match numbers drawn from two separate pools.

How to Play

A standard Powerball ticket in North Carolina costs $2. To play, participants select five numbers from a pool of 69 white balls (representing the main numbers) and one number from a pool of 26 red balls (the Powerball).

• Manual Selection: Players can choose their own numbers by marking them on a play slip.
• Quick Pick: For convenience, players can opt for “Quick Pick,” allowing the lottery terminal to randomly generate their numbers.
• Power Play®: For an additional $1 per play, participants can add the “Power Play” option. This multiplies non-jackpot winnings by 2, 3, 4, 5, or even 10 times, depending on the multiplier drawn. The 10x multiplier is only available when the advertised jackpot annuity is $150 million or less. The Power Play option does not affect the jackpot prize.
• Double Play®: North Carolina introduced Double Play in August 2021. For an extra $1, players can use their Powerball numbers for a separate drawing with a top cash prize of $10 million. This drawing occurs immediately after the main Powerball drawing.

Drawings for Powerball are held three times a week: every Monday, Wednesday, and Saturday at 10:59 PM ET. Ticket sales cease shortly before the drawing, typically at 9:59 PM ET in North Carolina.

The Powerball offers nine different ways to win, with prizes ranging from $4 up to the multi-million-dollar jackpot. Understanding the prize tiers and the approximate odds of winning each is essential.

Prize Tiers and Odds of Winning

| Match | Prize (Standard) | Odds of Winning (approx.) | Prize with Power Play (Multiplier) | | :———————- | :————— | :———————— | :——————————— | | 5 White Balls + Powerball | Jackpot | 1 in 292,201,338 | Jackpot (not multiplied) | | 5 White Balls only | $1,000,000 | 1 in 11,688,054 | $2,000,000 (fixed) | | 4 White Balls + Powerball | $50,000 | 1 in 913,129 | $100,000 – $500,000 | | 4 White Balls only | $100 | 1 in 36,525 | $200 – $1,000 | | 3 White Balls + Powerball | $100 | 1 in 14,494 | $200 – $1,000 | | 3 White Balls only | $7 | 1 in 579 | $14 – $70 | | 2 White Balls + Powerball | $7 | 1 in 693 | $14 – $70 | | 1 White Ball + Powerball | $4 | 1 in 92 | $8 – $40 | | Powerball only | $4 | 1 in 38 | $8 – $40 |

Note: The Power Play multiplier (x2, x3, x4, x5, x10) is randomly drawn. The 10x multiplier is only active when the jackpot annuity is $150 million or less. The $2,000,000 prize for matching 5 white balls with Power Play is fixed, regardless of the multiplier drawn.

The Jackpot: Annuity vs. Cash Option

When a player wins the Powerball jackpot, they are presented with two payment options:

1. Annuity Option: The advertised jackpot amount is paid out in 30 graduated payments over 29 years. Each annual payment is larger than the previous one, increasing by 5%. This option provides a stable, long-term income stream.
2. Cash Option: The winner can choose to receive a one-time, lump-sum payment of the jackpot’s estimated cash value. This cash value is always less than the advertised annuity jackpot, as it represents the present value of the annuity. The cash option is a significantly smaller figure than the headline jackpot number but provides immediate access to funds. Most jackpot winners opt for the cash option.

It’s crucial to understand that both options are subject to significant federal and state income taxes.

Winning a Powerball prize in North Carolina involves specific procedures depending on the amount won.

• Prizes up to $599: Can be redeemed at any authorized NC Education Lottery retailer.
• Prizes between $600 and $99,999: Can be claimed at regional NCEL offices or by mail.
• Prizes of $100,000 or more (including jackpots): Must be claimed in person at the NC Education Lottery headquarters in Raleigh.

Important Notes on Claiming:

• Ticket Security: Sign the back of your ticket immediately upon purchase. This establishes ownership.
• Claim Period: Winners have 180 days from the drawing date to claim their prize.
• Anonymity (or lack thereof): North Carolina law dictates that lottery winners’ names, cities, and prize amounts are public record. While winners can request to have certain identifying information withheld for privacy (such as their precise street address) for security reasons, complete anonymity is generally not granted for major wins.
• Taxes: All lottery winnings are considered taxable income. For prizes over $5,000, federal tax (24%) and North Carolina state tax (currently 5.25%) are automatically withheld by the NCEL. Winners should consult with financial and tax professionals, especially for large prizes.

While the excitement of Powerball is undeniable, the NC Education Lottery strongly advocates for responsible play. Lottery games are a form of entertainment, and players should only spend what they can comfortably afford to lose. Resources for problem gambling assistance are readily available through the NCEL website and through the North Carolina Problem Gambling Program.

Playing Powerball in North Carolina offers the enticing possibility of massive winnings, while simultaneously contributing to education in the state. By understanding the rules, payout structures, and responsible play guidelines, participants can enjoy the game with a clear perspective on the odds and potential outcomes.