Current:Home > ScamsHere's where your money goes when you buy a ticket from a state-run lottery -Wealth Impact Academy
Here's where your money goes when you buy a ticket from a state-run lottery
View
Date:2025-04-14 06:46:08
After several weeks of no winners, the Mega Millions jackpot has increased to an estimated $1.35 billion — the second-largest jackpot in the game's history, according to Mega Millions officials.
But it's not just you who could benefit from buying a ticket. Lotteries also benefit some states.
Though specific systems differ between each state, each of the 45 states (along with the District of Columbia, Puerto Rico and the U.S. Virgin Islands) that offer lotteries donates a certain percentage of the revenue generated from ticket sales to specific state causes.
(Five states — Alabama, Utah, Alaska, Hawaii and Nevada — don't sell lottery tickets.)
Research shows that approximately 60% of the revenue from state lotteries goes directly to winners, as the states keep the remaining cash after paying out the prize money and paying certain costs such as advertisements.
For larger lotteries, like Mega Millions or Powerball, half of the ticket revenue goes toward the lottery's prize pool. The remaining half goes toward costs including lottery administration and retailer commissions, in addition to other beneficiaries, a Mega Millions spokesperson told ABC News.
Here's a breakdown of each U.S. state lottery and the beneficiaries each one supports, according to the North American Association of State and Provincial Lotteries:
Arizona
- Heritage Fund
- Commerce Authority Arizona Competes Fund
- Mass Transit
- Healthy Arizona
- State of Arizona General Fund
- Court Appointed Special Advocate Fund (Unclaimed prizes)
- Homeless Shelters
- Department of Gaming
- University Bond Fund
- Internet Crimes Against Children Victims
- Tribal College Dual Enrollment Program
Arkansas
- Educational Trust Fund
California
- Education
Colorado
- Division of Parks and Wildlife
- Conservation Trust Fund
- Great Outdoors Colorado Trust Fund
- School Fund
Connecticut
- General Fund (which, as with other states, benefits the state's education, roads, health and hospitals and public safety)
Delaware
- General Fund
- Health & Social Services-Problem Gambler Programs
District of Columbia
- General Fund
Florida
- Education Enhancement Trust Fund
Georgia
- Lottery for Education Account
Idaho
- Public Schools (K-12)
- Public Buildings
Illinois
- Illinois Common School Fund (K-12)
- Illinois Veterans Assistance Fund
- Ticket For The Cure Fund
- Quality of Life Endowment Fund
- Multiple Sclerosis Research Fund
- Special Olympics Fund
Indiana
- Build Indiana Fund
- Teachers Pension Fund
- Police & Firefighters Pension Fund
Iowa
- General Fund
- Veterans Trust Fund
Kansas
- Transfers back to the State
Kentucky
- Post-Secondary & College Scholarships
- Literacy Programs & Early Childhood Reading
Louisiana
- Transfers to State
- Problem Gambling
Maine
- General Fund
- Maine Outdoor Heritage Fund
Maryland
- Maryland General Fund - Lottery Profit
- Baltimore City Schools - Lottery Profit
- Maryland Stadium Authority - Lottery Profit
- Education Trust Fund - Video Lottery Terminal (VLT) and Table Game Proceeds
- Local Impact Grants - VLT Proceeds
- Horse Racing Industry - VLT Proceeds
- Small, Minority, and Women-Owned Businesses - VLT Proceeds
- Responsible Gaming - VLT and Table Game Assessments
Massachusetts
- Cities and Towns
- Arts Council
- General Fund
- Compulsive Gamblers
Michigan
- Education (K-12)
- Health and Human Services
- General Fund
Minnesota
- General Fund
- Environmental and Natural Resources Trust Fund
- Game & Fish Fund
- Natural Resources Fund
- Compulsive Gambling
Mississippi
- State Highway Fund
- Education Enhancement Fund
Missouri
- Public Education in Missouri
Montana
- State of Montana General Fund
Nebraska
- Compulsive Gamblers Assistance Fund
- Education Innovation Fund
- Environmental Trust Fund
- State Fair Support & Improvement Fund
- Nebraska Opportunity Grant Fund
New Hampshire
- Education
New Jersey
- Education and Institutions
New Mexico
- Lottery Tuition Fund
New York
- Education
North Carolina
- Education
- Alcohol Law Enforcement
- NC Problem Gambling
North Dakota
- Compulsive Gambling Fund
- State General Fund
- Drug Task Force
Ohio
- Education
Oklahoma
- Education
- Mental Health
Oregon
- Economic Development
- Public Education
- Parks and Natural Resource Programs
- Gambling Addiction Prevention & Treatment Programs
Pennsylvania
- Programs for older Pennsylvanians
Rhode Island
- General Fund
South Carolina
- Education Lottery Fund
South Dakota
- General Fund
- Capital Construction Fund
- Grant to Human Services
Tennessee
- Lottery for Education Account
- After School Program
Texas
- Foundation School Fund
- Multicategorical Teaching Hospital
- Texas Veterans Commission (Veterans Assistance Fund)
Vermont
- Education Fund
Virginia
- Direct aid to Public Education K-12
Washington
- Washington Opportunity Pathways Account
- King County Stadium and Exhibition Center (Qwest Field)
- Economic Development Strategic Reserve
- Problem Gambling
- General Fund
West Virginia
- Education
- Senior Citizens
- Tourism
Wisconsin
- Public Benefit - Total Available for Property Tax Relief
Wyoming
- Wyoming cities, towns, and counties
veryGood! (4811)
Related
- Federal court filings allege official committed perjury in lawsuit tied to Louisiana grain terminal
- New Hampshire GOP House candidates debate restoring trust in Congress
- A parent's guide to 'Beetlejuice Beetlejuice': Is it appropriate for kids?
- Workers take their quest to ban smoking in Atlantic City casinos to a higher court
- The Grammy nominee you need to hear: Esperanza Spalding
- Parents sue Boy Scouts of America for $10M after jet ski accident kills 10-year-old boy
- Detroit Lions host Los Angeles Rams in first Sunday Night Football game of 2024 NFL season
- Kate Middleton Shares Rare Statement Amid Cancer Diagnosis
- Are Instagram, Facebook and WhatsApp down? Meta says most issues resolved after outages
- Beyoncé and Jay-Z Put in Their Love on Top in Rare Birthday Vacation Photos
Ranking
- Man can't find second winning lottery ticket, sues over $394 million jackpot, lawsuit says
- The Daily Money: Some shoppers still feel the pinch
- Kane Brown to Receive Country Champion Award at the 2024 People’s Choice Country Awards
- Noah Cyrus Channels Sister Miley Cyrus With Must-See New Look
- Juan Soto to be introduced by Mets at Citi Field after striking record $765 million, 15
- Small plane crash-lands and bursts into flames on Los Angeles-area street
- Autopsy performed on rapper Rich Homie Quan, but cause not yet revealed
- 15-year-old detained in Georgia for threats about 'finishing the job' after school shooting
Recommendation
Bill Belichick's salary at North Carolina: School releases football coach's contract details
Jessica Pegula comes back in wild three-setter to advance to US Open final
Donald Trump might make the Oscar cut – but with Sebastian Stan playing him
AP Decision Notes: What to expect in Delaware’s state primaries
Civic engagement nonprofits say democracy needs support in between big elections. Do funders agree?
Delinquent student loan borrowers face credit score risks as ‘on-ramp’ ends September 30
Michigan judge loses docket after she’s recorded insulting gays and Black people
You’ll Want to Add These 2024 Fall Book Releases to Your TBR Pile