Winner of $1.35 billion lottery is getting less than $500 million

State officials have revealed a Mega Millions jackpot winner will only receive a fraction of their billion-dollar win.

I mean, it's still enough money to set you, your kids, your grandkids, and your grandkids' children up for life, so it's hardly anything to cry about.

However, if I'd won $1.35 billion (£1.12 billion) and only received $498 million (£412 million), I would definitely be slightly confused and irked as to why the jackpot sum was actually significantly less than the Mega Millions sign said.

But where is $852 million (£706 million) of the jackpot disappearing to?

karenfoleyphotography / Alamy Stock Photo

On Wednesday, state officials confirmed someone had come forward to claim the $1.35 billion Mega Millions jackpot - the fourth-largest in US history - through limited liability company LaKoma Island Investments LLC.

The lottery winner - who overcame odds of one in 302.6 million and who wishes to remain anonymous - purchased the 13 January draw Mega Millions jackpot ticket at Hometown Gas & Grill in Lebanon, Maine.

Instead of collecting their winnings in instalments, the soon-to-be multi-millionaire has chosen to receive the entirety of the jackpot in one lump-sum of cash, which officials say results in them receiving $723,564,144 (£599,617,606) prior to tax.

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However, after $173.6 million ($144 million) goes to the government and $51 million (£42 million) to the state in taxes, the winner will take home over a fraction of the full amount - but certainly nothing to lose sleep over.

If the winner had decided to receive the jackpot amount in instalments, they would've received nearer to the full jackpot.

The money would have been handed out to the winner across a period of 29 years, divided up into 30 individual payments.

Mehmet Çetin / Alamy Stock Photo

The owner of Hometown Gas & Grill, Fred Cotreau, has speculated whether or not the lottery winner is local.

He told the Associated Press: "Who knows? Sometimes they come to the store and say thank you, but I’m not going to lose any sleep over it."

Deputy director of Maine Bureau of Alcoholic Beverages & Lottery Operation Michael Boardman confirmed the transfer of the winnings will take place by the end of the week.

Boardman added: "I understand why someone would want to remain anonymous with this kind of money. We wish them well and hope they do good things with it."

A representative of the winner said: "The winner is thoughtfully considering the best uses of the life-changing prize."

Topics: US News, Money

Poppy Bilderbeck

Poppy Bilderbeck is a Senior Journalist at LADbible Group. She graduated from The University of Manchester in 2021 with a First in English Literature and Drama, where alongside her studies she was Editor-in-Chief of The Tab Manchester. Poppy is most comfortable when chatting about all things mental health, is proving a drama degree is far from useless by watching and reviewing as many TV shows and films as possible and is such a crisp fanatic the office has been forced to release them in batches.