Va. Lottery
There are 12 jurisdictions that have Mega Millions, while 32 others, including the District of Columbia, and the US Virgin Islands, offer Powerball, Mega Millions' main competitor. There are some differences in playing Mega Millions among its jurisdictions (details below).
Since May 2002, Mega Millions advertised jackpots have started at US $12 million paid over 26 years, increasing when there is no jackpot winner. Reflecting common practice among American lotteries, the jackpot is advertised as a nominal value of annual installments.
A lump sum (cash value) option, when chosen by a jackpot winner (see below), pays the approximate present value of the installments.
Mega Millions is drawn every Tuesday and Friday, including all holidays.
History
The Big Game logo prior to the Mega Millions name change.
Tickets went on sale in Georgia, Illinois, Maryland, Massachusetts, Michigan and Virginia on August 31, 1996, for the new lottery then known as The Big Game. Drawings were held weekly on Fridays until its first Tuesday drawing was added on February 10, 1998.
Beginning in January 1999, jackpot winners had the choice to claim the prize in cash. In May 1999, New Jersey joined The Big Game, the only jurisdiction to do so before the change to Mega Millions.
New York and Ohio joined The Big Game on May 15, 2002.
This was when the game was changed to its second name, The Big Game Mega Millions, temporarily retaining the old name, and its "gold ball" logo. Also, the "Big Money Ball" changed its name to the "Mega Ball." After the game's name was altered, the yellow ball in the logo of the Mega Millions read "The Big Game." The first (The Big Game) Mega Millions drawing was held on May 17, 2002.
Three more states later joined: Washington (September 2002), Texas (2003), and California (2005).
On March 6, 2007, two winners split a record jackpot worth $233 million before taxes. The advertised jackpot totaled $390 million, representing a nominal sum of 26 annual installments before taxes and unadjusted for inflation or interest.
Playing the game
Since June 2005, a player picks, or allows the Mega Millions computer to pick, five different numbers from 1 to 56 (white balls) and one number from 1 to 46 (the Mega Ball number, a gold-colored ball). The Mega Ball number is drawn from a separate machine, so it can be a duplicate of one of the white ball numbers. In Georgia, New Jersey, New York, and Texas, players must also choose, in advance, whether they wish to collect a jackpot in lump sum or annuity.
Georgia and New Jersey winners can change an annuity ticket to cash; however, the choice is binding in New York and Texas. Tickets may be obtained from either retail locations, or by mail in select states (currently, only Illinois, Maryland, Massachusetts, New Jersey, New York and Virginia offer subscriptions by mail).
Previous incarnations of The Big Game and Mega Millions have had different matrices:
Texas Megaplier
Mega Millions players within Texas also have the option to activate a multiplier, should they win a non-jackpot prize; for $2, a selection of five white numbers and a Mega Ball can win a double, triple, or quadruple prize (up to $1 million cash) with the Megaplier.
Unlike the actual Mega Millions game, the Megaplier is drawn using a random number generator (RNG).
Rules and taxes
Tickets can be purchased until 15 minutes prior to the drawing (usually 11:00 PM Eastern time), accounting for local time zone differences.
Laws and regulations vary slightly and are governed by the applicable laws in the state where the ticket is sold, and the winner's home state (e.g. if a New Jersey resident buys a winning ticket near their workplace in Manhattan.) Mega Millions winnings are generally exempt from state income tax in California; Texas and Washington have no state income tax.
On the other hand, residents of New York City and Yonkers, New York pay city tax in addition to state and federal taxes.
Winning and odds
As of 2009, a player wins a prize according to the following chart:
Currently, Mega Millions has better jackpot odds than Powerball (1:195 million).
The Mega Ball number cannot cross over to be used for matching a white ball number, or vice versa.
Machines used
Like most games that use power or bonus balls, two machines are used. The model used is the Criterion II, manufactured by Smartplay International of Edgewater Park, New Jersey.
The balls are moved around by means of counter-rotating arms which mix the balls in a random fashion. One by one, the winning numbers drop through a hole in the bottom of the mixing drum.
To show the difference between which numbers are which, the balls in the first machine are white; the Mega Balls are gold.
The draw
Drawings are usually held at WSB-TV in Atlanta at 11:00 PM Eastern time on Tuesdays and Fridays. Now, most drawings are hosted by the new full-time host of the Georgia Lottery drawings, John Crow, with Courtney Cason subbing on occasion.
For larger jackpots in excess of $200 million, the drawing is sometimes moved to Times Square in New York City, with New York Lottery announcer Yolanda Vega hosting the draw.
On June 24, 2005, to commemorate California joining Mega Millions, the drawing was held in Hollywood, with Carrie Underwood assisting Glenn Burns for the draw.
Record jackpots
Participating states
U.S. New Jersey is the only state to be added prior to the Mega Millions era.
Virgin Islands, have committed to Powerball.
As of 2008, the minimum age to purchase a Mega Millions ticket is 18, regardless of participating state. In most of these states (an exception is Virginia), minors can win on tickets received as gifts; the rules according to each state vary for minors receiving prizes.
The game-wide cash option started after federal regulations signed by then-President Bill Clinton no longer required the choice to be made when playing (although some states still require a choice to be made in advance.) An Illinois winner, in late 1998, was allowed to take the winnings in cash, even though the cash option was not officially available in The Big Game until January 1999.
Mega Millions winners have either 180 days (California non-jackpot prizes only) or one year to claim prizes, including the jackpot (although in some states winners lose the right to collect a jackpot in cash if they wait more than 60 days after the drawing).
Unclaimed prizes
If a jackpot prize is not claimed within the required time limit, each of the participating Mega Millions member states get back all the money they contributed to that jackpot.
The 12 jurisdictions use unclaimed prizes for different purposes, usually, an unclaimed Mega Millions jackpot prize is distributed to education.
In 2007, a $31 million prize went unclaimed in New York. Secondary prizes of $250,000 are unclaimed in many states, including several in Michigan for 2007 drawings.
Possible changes
With Florida joining Powerball on January 4, 2009, the Mega Millions group is considering major changes to its game. One proposal would keep the matrixes at 5/56 + 1/46; however, the ticket cost would become $2.
The lower-tier prizes would be increased, and a $2 (break-even) prize would be introduced for a 2+0 match. Shortly after New Jersey announced its desire to sell both games, discussions were revealed about possibly allowing each U.S.
Both states opted to join the then-Big Game (on May 15, 2002) and its seven members. The added populations of the two new states, in turn, led to a larger double matrix (actually, the first machine continued to hold 52 balls, while 16 gold balls were added in the second, meaning there were 52 numbers to pick from in each part of a $1 game.) At this time, the game was renamed Mega Millions.
In 2005, Mega Millions was the target of a mailing scam.
A scam letter bearing the Mega Millions logo was used in a string of lottery scams designed to trick people into providing personal financial information by cashing bogus checks. If the check was cashed, it bounced, but not before the bank stamped it with a routing number and personal account information, and sent it back to the fraudulent organization, providing them with the recipients financial information.
A budget impasse in New Jersey in June 2006 led to the temporary shutdown of less-important state agencies on July 1, 2006.
Not only were the in-state games (such as New Jersey Pick 6) not drawn for about a week, but all its lottery terminals were shut down, meaning Mega Millions could not be played in the Garden State, even though Mega Millions was drawn as usual.
Elecia Battle made national headlines in January 2004 when she claimed that she had lost the winning ticket in the Mega Millions lottery drawing of December 30, 2003. She then filed a lawsuit against the woman who had come forward with the ticket, Rebecca Jemison. Several days later, when confronted with contradictory evidence, she admitted that she had lied. She was charged with filing a false police report the following day.
Winners have one year to collect the jackpot; for other prizes, the deadline also is one year, except in California, where it is 180 days. Other than in New York and Texas (see above), a jackpot winner has 60 days from the drawing, or in some states, 60 days after claiming, to choose cash or annuity.
Relative value of a prize paid in lump sum fluctuates, and is roughly 60% of the annuity amount. http:query.nytimes.com/gst/fullpage.html?res=940DE4D81F31F93AA35752C0A9629C8B63.