Current:Home > StocksHere's where your money goes when you buy a ticket from a state-run lottery -Trailblazer Capital Learning
Here's where your money goes when you buy a ticket from a state-run lottery
View
Date:2025-04-17 01:48:07
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! (7653)
Related
- Woman dies after Singapore family of 3 gets into accident in Taiwan
- Venezuela’s government and US-backed faction of the opposition agree to work on electoral conditions
- UK national, South African and local guide killed in an attack near a Ugandan national park
- Is Choice buying Wyndham? Hotel operator offers nearly $8B for buyout
- DoorDash steps up driver ID checks after traffic safety complaints
- 'Good weekend' for Cowboys: Dallas survives 'must-win' game after losses by 49ers, Eagles
- Destruction at Gaza hospital increases stakes for Biden’s trip to Israel and Jordan
- Guatemala Cabinet minister steps down after criticism for not acting forcefully against protesters
- Senate begins final push to expand Social Security benefits for millions of people
- Appeals court allows Alex Murdaugh to argue for new trial because of possible jury tampering
Ranking
- Toyota to invest $922 million to build a new paint facility at its Kentucky complex
- Former Wisconsin Senate clerk resigned amid sexual misconduct investigation, report shows
- Georgia deputy fatally shoots 'kind' man who served 16 years for wrongful conviction
- Tyga files for sole custody of his son with Blac Chyna, King Cairo
- Jamie Foxx gets stitches after a glass is thrown at him during dinner in Beverly Hills
- Teen Mom's Kailyn Lowry Shows Off Her Placenta Smoothie After Welcoming Baby No. 5
- South Carolina teen elected first Black homecoming queen in school's 155 years of existence
- Lionel Messi scores 2 in Argentina’s World Cup qualifying win over Peru; Brazil’s Neymar injured
Recommendation
2 killed, 3 injured in shooting at makeshift club in Houston
Former Austrian chancellor to go on trial over alleged false statements to parliamentary inquiry
Britney Spears Says She Was Pregnant With Justin Timberlake's Baby Before They Decided to Get Abortion
Nikki Haley nabs fundraiser from GOP donor who previously supported DeSantis: Sources
Gen. Mark Milley's security detail and security clearance revoked, Pentagon says
Aces starters Chelsea Gray and Kiah Stokes out for Game 4 of WNBA Finals vs. Liberty
After 37 years, DNA points to a neighbor in Florida woman's 1986 murder
Brawl in Houston courtroom as murdered girl’s family tries to attack her killer after guilty plea