LANSING, MI – The Michigan Lottery’s annual contribution to K-12 education reached more than $1 billion for the seventh time in a row in 2025, according to the state.
The amount at $1.16 billion makes up roughly 5-6% of the state’s School Aid Fund, which has exceeded $20 billion in recent years.
It peaked in 2021 at $1.4 billion, according to the state budget office, marking a 78.4% increase in six years at the time. The reported portion for 2025 marks a slight decrease when compared to the previous five years.
In a release on Wednesday, Jan. 7, the state reported the total Lottery contribution had reached more than $30 billion since it began in 1972 and $8.7 billion within a seven-year span.
“In (2025), Lottery retailers earned more than $300 million in commissions for the sixth straight year,” Acting Lottery Commissioner Joe Froehlich said in a statement. “The support the Lottery provides to public education and to businesses throughout the state is critical and far-reaching.”
Gov. Gretchen Whitmer’s office utilized Wednesday’s announcement to recap the current state investment in K-12 schools based on the budget deal lawmakers green-lit in October three months after the current fiscal year was already underway.
That includes a 4.6% hike to $10,050 per student, $201.6 million to maintain a free universal meals program that Whitmer said saves “parents almost $1,000 a year per kid,” and a series of investments geared toward boosting literacy skills.
“This year’s lottery contributions will help build on that progress and make a difference for students, educators and schools across Michigan,” the governor said in a statement.
Other budget highlights included hundreds of millions in grants to reduce class sizes and school infrastructure, as well as for career-technical education and English-language learners.
Additionally, there was another $258.7 million boost to $1.3 billion for at-risk student supports and $321 million to support mental health and school safety initiatives ― the latter including a waiver requirement that spurred litigation from schools against the state in late 2025.
According to the Michigan Lottery, participating retailers earned more than $330 million in commissions for the 2025 fiscal year. Since 2019, when the Lottery’s streak of billion-dollar contributions to the School Aid Fund began, the state reported more than $2.3 billion in commissions.
Lottery products are sold at more than 10,000 locations across the state, and over 700 retailers sold $1 million or more last year in Lottery games.
Michigan residents took home more than $2.8 billion in prizes in 2025 and over $58 billion since the Lottery began.
According to the state, roughly 25 cents went to the School Aid Fund from every dollar spent on a Michigan Lottery Ticket, while 63 cents went to players as prizes, 9 cents to vendor commissions and 3 cents to the Lottery’s operations.