Someone in US just won $1.08 billion Powerball lottery. How much money will they take home?

In the realm of luck, there are those who are fortunate, and then there are those who are exceptionally fortunate, and then we have this incredible person from California who defied the odds of 1 in 292.2 million and won a staggering $1.08 billion Powerball lottery.

A ticket sold in California emerged as the winner of the record-breaking $1.08 billion Powerball jackpot during Wednesday (July 19) night's drawing, marking it as the third-largest win in the history of the Powerball game, as stated on Powerball's website. The winning numbers were 7, 13, 10, 24, and 11, with the Powerball number being 24.

As of now, we don't know much else about the winner, except that they are from California, and the lucky ticket was sold in Los Angeles at Las Palmitas Mini Market.

Now, the question arises: How much will the winner take home?

The Powerball offers two options for the winner: They can either choose the total jackpot paid out in yearly increments for 20+ years or opt for a one-time lump sum of $558.1 million before taxes.

While California generally doesn't impose state taxes on lottery prizes, the winner may still be liable for federal taxes, which, as of 2023, stand at a substantial 24%. The specific tax implications will depend on the winner's choice of how to receive their prize money.

[READ MORE: A $640 million US lottery has no winners. What now?]

Looking back at previous winners, the last Powerball jackpot was won on April 19, 2023, for a top prize of nearly $253 million. Since then, there had been no grand prize winners, until now, when the Powerball has been reset to $20 million.

The largest-ever Powerball prize of $2.04 billion was won in California on November 7 last year. The winner, Edwin Castro, claimed his $2 billion winning Powerball ticket and chose a single lump-sum payment of $997.6 million.

With this immense amount of money, Castro made a substantial purchase in March – a luxurious Hollywood Hills mansion worth $25.5 million, boasting an array of amenities, including seven bedrooms and an impressive infinity pool.

Here are the top 5 Powerball jackpots to date:

1. $2.04 Billion – Nov. 7, 2022 – California 
2. $1.586 Billion – Jan. 13, 2016 – Three winners from: California, Florida and Tennessee 
3. $1.08 Billion- July 19, 2023- California
4. $768.4 Million – March 27, 2019 – Wisconsin 
5. $758.7 Million – Aug. 23, 2017 – Massachusetts

[READ MORE: A person from California just won the $2 billion Powerball jackpot. How much money will they take home?]

What on earth is a Powerball lottery?

• For those unfamiliar with the Powerball lottery, it is an interstate lottery system played across 45 American states, the District of Columbia, Puerto Rico, and the US Virgin Islands. With a ticket price of just 2-3 dollars (approximately Rs 165), players have the opportunity to win big from anywhere.

• The game starts with a base value of $20 million, and if no winner emerges, the jackpot increases by $10 million in each subsequent draw. Powerball operates using two drums filled with balls—one for the white balls and another for the red "Power" ball, with drawings taking place on Monday, Wednesday, and Saturday.

• Winning numbers are announced through television broadcasts, the Powerball website, newspapers, and online platforms.