How Much Money Do Survivor Winners Get After Taxes?

For individuals who achieve the title of Sole Survivor on the popular reality television show, the initial excitement of securing the grand prize is great. It is important to understand, however, that the announced prize amount is not the final sum a winner ultimately receives. A significant portion of these winnings will be subject to various tax obligations, reducing the net amount considerably.

The Stated Prize

The winner of the show “Survivor” receives a grand prize of $1 million. This substantial sum is typically awarded as a lump-sum payment to the victorious contestant. This foundational figure serves as the starting point for calculating the actual take-home amount after accounting for tax liabilities.

Federal Income Tax Rules

Large prize winnings, such as the grand prize from “Survivor,” are treated as ordinary income by the Internal Revenue Service (IRS). This means the winnings are subject to the same progressive federal income tax rates that apply to wages and salaries.

The United States federal income tax system features multiple tax brackets, with higher portions of income taxed at increasing rates. For a single filer in 2024, the tax brackets range from 10% on the lowest income tiers up to 37% for the highest income. A $1 million prize will push a winner’s taxable income into the highest marginal federal income tax bracket.

The IRS generally requires immediate withholding of 24% of large prize winnings. However, this initial withholding often does not cover the full federal tax liability, meaning the winner may owe a substantial additional amount when filing their tax return.

State and Local Income Tax Rules

State income tax obligations for prize winnings vary significantly across the United States.

Some states do not impose an income tax at all, which can be advantageous for a winner residing there. These states include:
Alaska
Florida
Nevada
New Hampshire (effective 2025)
South Dakota
Tennessee
Texas
Wyoming

Other states implement a flat income tax rate, where all taxable income is taxed at a single percentage. Examples of states with flat tax structures include Arizona (2.50%), Illinois (4.95%), Pennsylvania (3.07%), and Colorado (4.40%).

Conversely, many states utilize a progressive income tax system, similar to the federal structure, with rates that increase as income rises. States such as California (up to 13.3%), Hawaii (up to 11%), and New York (up to 10.9%) have progressive tax systems with high top marginal rates.

While “Survivor” is typically filmed in California, a state with its own income tax, the primary state tax liability for a winner is generally to their state of residence. If a non-resident wins, they might owe tax to California on the income earned within the state. However, their home state usually provides a tax credit for taxes paid to another state, ensuring the winner is not double-taxed but effectively pays the higher of the two state tax rates on that income.

Local income taxes are less common for prize winnings but can exist in certain municipalities.

Determining the Final Amount

To understand the actual take-home amount, consider the combined impact of federal and state taxes. The $1,000,000 prize is subject to federal income tax based on the progressive bracket system.

After federal taxes, a significant portion of the winnings is paid. Then, state income taxes are applied based on the winner’s state of residence. For instance, a winner residing in a state with no income tax would save a considerable amount compared to someone in a state like California, which has a top marginal rate of 13.3%.

If the winner lives in a state with a flat tax, such as Illinois with a 4.95% rate, that percentage would apply to their taxable winnings after federal adjustments. The combined effect of these federal and state tax obligations means the initial $1 million prize typically reduces to a net amount between approximately $550,000 and $700,000, depending heavily on the winner’s state of residence.