Sweepstakes and contest administration in all 50 states

Frequently asked questions

Answers to common questions about sweepstakes, contests and working with Wynning Promotions.

General

What does a third-party administrator do?

We handle the operational and compliance side of your promotion: rules, filings, entries, winner selection, verification, prize delivery and tax reporting. Using an independent administrator also shows entrants and regulators that winners were chosen fairly.

Why not run the promotion ourselves?

You can, but it takes legal knowledge, careful record keeping and a lot of staff time. An independent administrator lowers your risk, and having an outside party select winners makes the results more credible.

What's the difference between a sweepstakes and a contest?

In a sweepstakes, winners are chosen at random and entry must be free. In a contest, winners are chosen based on skill, such as the best photo or essay, and judged against criteria published in the rules.

Rules and compliance

Do I need to register my sweepstakes?

If total prizes are worth more than $5,000 and residents of New York or Florida can enter, yes. Both states require registration and a bond. We'll confirm exactly what applies to your promotion during the consultation.

What is a free method of entry?

A way to enter without buying anything, such as a mail-in entry or an online form. Every sweepstakes needs one, and free entries must have the same chance of winning as any other entry.

Can we require a purchase to enter?

Not for a sweepstakes. A promotion that requires a purchase and picks winners by chance is a lottery. You can offer entries with a purchase as long as there is an equal free way to enter.

Can we limit the promotion to certain states?

Yes. The rules can limit who is eligible. Some sponsors exclude certain states to avoid extra requirements, and we can explain the trade-offs.

Winners and prizes

Who pays taxes on prizes?

Winners pay taxes based on the prize's approximate retail value. Sponsors are responsible for issuing tax forms when a prize meets the IRS reporting threshold, and we prepare and file those forms for you.

What happens if a winner doesn't respond?

The rules set a deadline for winners to respond and return their documents. If a winner misses it or isn't eligible, we move to the alternate winner selected during the drawing.

Can a winner take cash instead of the prize?

Only if the official rules allow it. Whether to offer a cash option is the sponsor's decision, and it should be decided before the rules are published.

Working with us

How far in advance should we contact you?

At least six weeks before launch. New York requires filing 30 days before the start date, and the official rules have to be final before we can file.

How much does it cost?

It depends on what you need, from writing rules only to running the whole promotion. The consultation is free, and we'll send a quote once we understand the promotion.

Can you take over a promotion that's already running?

Yes. We'll review the rules and what has happened so far, then take on the remaining steps. In some cases the rules may need an amendment.

Can you run a giveaway on social media?

Yes. We write rules that follow each platform's promotion policies, set up a compliant way to enter, and handle winner selection and verification like any other sweepstakes.

Winner notices

I was told I won a prize. How do I know it's real?

Wynning Promotions never asks winners to pay a fee, make a purchase, or send gift cards to claim a prize. If you aren't sure a message came from us, verify the notice before you reply to it.