Lottery syndicates

For the purpose of this guide, the word ticket and line are used interchangeably.

Lottery syndicates have been around for as long as lottery games themselves. Early lottery players started by splitting the cost of a ticket. Each member of this group, or “syndicate” member, would buy a share in a single ticket. If their joint ticket won, they’d split the winnings. Players soon discovered that when they purchased more tickets, they won more often. Buying 100 tickets for every draw was expensive and not an option for most players. But, by gathering friends, family, and co-workers to split the cost of tickets and winnings evenly, the lottery experience became less costly and more exciting. The modern-day lottery syndicate was born.

“We fight as a single, impenetrable unit. That is the source of our strength.”
- King Leonidas in 300

It’s common practice for people to team up and buy in bulk for the purpose of a discount. Lottery syndicates are exactly the same, but instead of a discount, you’re getting better odds of winning. It’s simple: the more tickets you buy, the higher the likelihood of winning. The basic principle of the lottery syndicate is this: share the cost, share the winnings.

Syndicate odds look good

Assuming a syndicate buys several tickets with unique combinations of numbers, the more tickets purchased, the better the odds of matching the winning numbers. As an example, the table below illustrates the odds of winning the Powerball jackpot if you were to buy 1, 50, 100, 150, 200, 300, 400, 500, 1,000, and 2,000 tickets.

Different formats of lottery syndicates

There are three main syndicate types, each with unique benefits.

Pool syndicate

A pool syndicate is the most common format for office, school, and friends who often meet face-to-face. It’s simple to understand and easy to manage, especially if you play in real life and not online.

Format

Before each draw, syndicate members agree on the amount of money they will each equally contribute to buying tickets. The minimum contribution must be the price of a single lottery ticket or multiples of that number. For example, if the price of a single ticket is $2, members might agree to contribute $2, $4, $6, $8 or $10 dollars. The tickets are then purchased by a trusted syndicate member.

Picking numbers

Quick picks, which are random selections of numbers, are best suited to a pool syndicate. For more information on selecting numbers, check out our syndicate number selection formats section below.

Winning

Prizes are distributed equally to each member after each successful draw.

Key points

• Every syndicate member contributes the same amount.
• Contributions must be multiples of one ticket price.
• All winnings are split evenly amongst the members.

What we think

Pool syndicates are the most common and simple format. This format is best when the number of syndicate members changes often per draw. The downside is that as the number of members changes, it’s hard to stick to a syndicate agreement. This leaves a pool syndicate open to claims, fraud, and cheating. Co-workers and friends are great, but a $1 billion jackpot can change all that quickly.

Fixed-share syndicate

A fixed-share syndicate gives members the chance to buy shares from a fixed pool of shares. This is by far the most adaptable, safe format for online or real-life lottery syndicates.

Format

Controlling members agree on the number of shares the syndicate will allot. This will already be decided by the site for online syndicates. Typically, shares will range from 10 to more than 200 depending on the size of the membership base, the online ticket service, and/or the amount of money members are willing to contribute.

Before each draw, members buy shares and send the funds to the online service or the syndicate administrator. The money collected by selling the shares is used to purchase tickets. Winnings are then distributed to all members according to the number of shares they purchase.

For example, let’s say there are 20 shares in the syndicate. Each share costs $2. This means the syndicate can buy $40 worth of tickets. A member buys 3 shares (15%) at a total cost of $6. The syndicate wins a $1,000 prize in the draw, so the member is paid $150 - equal to 15% of the $1,000 prize.

In the above example, there are 20 shares in a small fixed-share syndicate. The first member (red) decides to buy 10 shares (50% of total shares), the second member (blue) decides to buy 3 shares (15% of total shares), the third member (green) buys two shares (10% of total shares) and the last member (purple) decides to buy five shares (25% of total shares). They buy $40 worth of tickets, and one of those tickets wins $1,000. The $1,000 is distributed to each member based on the percentage of shares they purchased. The first member-owned 50% of the shares, so they were paid $500, and so on.

Fixed-share syndicates are very popular in online play because there will always be someone willing to buy shares. If you are running your fixed-share syndicate in the real world, you may wish to reduce the number of shares.

Picking numbers

The most popular way to pick numbers in a fixed-share syndicate is by using quick picks, which are randomly-selected numbers followed by a selection format called “Guaranteed win.” We explain more about this in our syndicate number selection formats section below.

Winning

Winnings are divided based on the number of shares purchased by syndicate members.

Key points

• A fixed-share syndicate is great if you have members with different budgets who wish to spend different amounts.
• It’s important that all shares are sold, or it can become problematic when distributing winnings.

What we think

The fixed share-share syndicate is by far the most popular syndicate format for online players. When it’s played online, all the admin is handled by the ticket platform. All you have to do is pay. The downside is you’ll never know who else is in your syndicate. If that’s important to you, and you don’t mind handling the bookkeeping, why not run your own real-life fixed share syndicate? Be sure to read our section on syndicate administration.

Syndicate number selection formats

In this section, we show you how syndicates select their numbers and get to know the most popular draw syndicate draw methods for players.

Guaranteed-win

The guaranteed-win format means that a syndicate will buy enough tickets to guarantee a minimum win.

For example, in a guaranteed win, Powerball numbers from 1-26 are purchased by the syndicate. This means there’s a guaranteed win of $4 for matching the Powerball. But at $2 minimum for a ticket, this will cost the syndicate a minimum of $52. The syndicate must assess whether a guaranteed win format is worth it.

Repeat number selection

Here, the same numbers are selected for each draw. Members may choose the numbers based on their own gut feeling or preference. This is a popular format for picking numbers. The most obvious benefit is that everyone in the syndicate knows the numbers, and they can check them immediately after the draw. It’s the perfect option if you have regular syndicate players.

Quickpick (random number selection)

For each draw, a fresh batch of numbers is randomly created - often called a ‘quick pick’. Each member is notified of the new numbers purchased prior to the draw. This is probably the most popular and fair number-selection format.

Online and real-life syndicates

There are some key differences between playing a lottery syndicate online and in real life. Here’s a look at both options.

Syndicate administration

We prefer to call this the ‘get-things-right-before-they-go-wrong’ section.

Banking

If you’re playing in real life, set up a bank account in the name of the syndicate. All winnings can be paid into it, and all syndicate payments can be made into it.

Appoint a syndicate manager

Someone has to know what’s going on. A responsible syndicate manager should be appointed. They ensure that tickets are purchased, check results, distribute winnings, and make sure everyone pays the correct amount per share. A deputy manager should also be appointed in case the syndicate manager is unavailable.

Make the shares affordable

There’s no point in having shares priced at $50 if most syndicate members can’t afford it. You’re better off setting shares at the price of one or two tickets and having more shares.

Syndicate agreement

Verbal agreements are binding, but they’re very hard to enforce. If you’re playing in real life and you’re serious about your lottery syndicate, it’s important to get a syndicate agreement drafted. The agreement may cover:

• Weekly/monthly contributions by members
• The number of shares in the syndicate
• What happens if members miss a draw
• What happens if a syndicate member dies and still owns shares
• How the syndicate manager and deputy manager are appointed

We have created a syndicate agreement here that you can use for your own syndicate. The agreement is tailored to real-life syndicates.

Major syndicate winners

Yes, there have been major syndicate winners in the past. Here are some of the big ones.

Syndicate Glossary

Line

The term ‘line’ is used more online. It’s sometimes used interchangeably with the word ‘ticket’.

Contribution

The amount of money each syndicate member pays to the group.

Ticket

In real life, a physical ticket contains lines and is purchased from a lottery retailer. Online, the use of the word is decreasing.

Share

This is used to describe the syndicate members" share of any prizes the syndicate wins. A member’s share is based on the amount the member has contributed to the syndicate as a percentage.

Split

See share.

A no show

A syndicate member who fails to participate in a draw.

Dud draw

A draw the syndicate has played that wins no prizes.

Syndicate manager/administrator/coordinator

The person or persons responsible for the day-to-day running of the syndicate.

Lottery syndicate

A group of individuals who combine funds to buy lottery tickets. They divide any prizes among themselves based on the format of the syndicate and the size of each member"s monetary contribution.

Lottery pool

This is another way to describe a lottery syndicate.

Lottery club

This is another way to describe a lottery syndicate.