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Giveaway, sweepstakes or contest: what's the difference in the US?

"Giveaway" is the everyday word, and US law sorts it into two kinds. A sweepstakes picks the winner by chance and must be free to enter. A contest picks the winner by skill, like the best photo. Mix a prize, chance and a required purchase and you're running an illegal lottery.

Updated

Write official rules for your sweepstakes

A template, not legal advice. Check the rules where you run it.

The giveaway
Sponsor
Dates
Who can enter
United States
Exclude states
How to enter

Everyone needs a way in without a purchase or a social account.

Picking winners
Platforms and privacy

Running it on social? We add the platform release.

[Giveaway title] Official Rules

NO PURCHASE NECESSARY. A PURCHASE WILL NOT INCREASE YOUR CHANCES OF WINNING.

VOID WHERE PROHIBITED.

1. Eligibility

[Giveaway title] (the "Giveaway") is open only to legal residents of the fifty (50) United States and the District of Columbia, who are at least eighteen (18) years old at the time of entry. Employees, officers and directors of [Sponsor name], its affiliates and agencies, and their immediate family members and people living in the same household, are not eligible. The Giveaway is subject to all applicable federal, state and local laws and regulations.

2. Entry period

The Giveaway begins on [start date and time] and ends on [end date and time] (the "Entry Period"). Entries received outside the Entry Period will not be accepted. Sponsor's clock is the official timekeeper.

3. How to enter

To enter for free during the Entry Period, follow these steps:

  • [how to enter, one step per line]

Alternate method of entry: To enter without using social media, email [contact email] with the subject line "[Giveaway title] Entry" and include your full name, mailing address, email address and date of birth. Alternate entries have the same chance of winning as all other entries.

Limit one (1) entry per person, regardless of entry method. Entries generated by script, bot or other automated means are void.

4. Winner selection and notification

On or about [drawing date], Sponsor will select one (1) potential winner in a random drawing from all eligible entries received. Sponsor's decisions are final and binding on all matters relating to the Giveaway.

Potential winners will be notified by email or direct message on the platform used to enter within three (3) days of the drawing. A potential winner must respond within seven (7) days of notification and may be required to sign and return an affidavit of eligibility, a liability release and, where lawful, a publicity release. If a potential winner does not respond in time, cannot accept the prize or is found ineligible, the prize may be forfeited and an alternate winner selected.

5. Prizes and approximate retail value

Approximate retail value ("ARV") of all prizes: [total prize value]. Prizes are not transferable, and no cash or other substitution is allowed, except that Sponsor may substitute a prize of equal or greater value if a prize becomes unavailable. Winners are responsible for any taxes on their prize. A winner in the United States whose prizes are valued at $600 or more will receive an IRS Form 1099.

  • [prize, one per line]

6. Odds

Odds of winning depend on the number of eligible entries received during the Entry Period.

7. General conditions

Sponsor may disqualify anyone who tampers with the entry process or the operation of the Giveaway, or who acts in violation of these Official Rules. If the Giveaway cannot run as planned because of fraud, technical failure or any other cause beyond Sponsor's control, Sponsor may cancel, end or modify the Giveaway and select winners from eligible entries received before the action was taken. Except where prohibited, by accepting a prize a winner agrees that Sponsor may use their name, city, state and likeness for promotional purposes without further payment.

8. Release and limitation of liability

By entering, entrants agree to release and hold harmless [Sponsor name] and its affiliates, officers, directors, employees and agents from any claims, losses or damages arising from participation in the Giveaway or the acceptance, use or misuse of any prize. Sponsor is not responsible for lost, late, incomplete or misdirected entries, or for technical failures of any kind.

9. Privacy

Sponsor will use information collected from entrants to administer the Giveaway and award prizes. Sponsor will not use it for other purposes unless an entrant agrees.

10. Governing law

These Official Rules are governed by the laws of [Sponsor's state], without regard to its conflict of law rules.

11. Sponsor

The Sponsor of the Giveaway is [Sponsor name], [Sponsor mailing address]. Questions can be sent to [contact email]. For a list of winners, email [contact email] with the subject line "Winners List" within thirty (30) days after the Entry Period ends.

11 blanks left to fill

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Sweepstakes, contest and lottery, side by side

A lottery has three parts: a prize, chance and consideration (paying or buying to enter). Take one away and it isn't a lottery.

  1. Sweepstakes: prize and chance, free to enter

    The winner is picked at random. Anyone must be able to enter without buying, and buying can't improve the odds. Most comment-to-win posts on Instagram, TikTok and Facebook are sweepstakes.

  2. Contest: prize and skill

    The winner is judged on merit against criteria you publish up front, like creativity or the best caption. Chance plays no part. Because skill decides, some contests can ask for a purchase, but state rules vary.

  3. Lottery: prize, chance and payment

    Pick a winner at random from people who had to pay or buy to get in, and it's a lottery. Outside state-run lotteries and some licensed charity games, that's illegal.

  4. Giveaway: the word people use for either

    "Giveaway" isn't a legal category. Decide whether yours is picked by chance or by judging, then follow the rules for that one.

Which one are you running?

  • "Comment to enter, we'll pick one at random": a sweepstakes.
  • "Post your best photo, we'll pick our favorite": a contest. Name the judges and the criteria in the rules.
  • "Every order this week is entered into the draw": a sweepstakes only if people can also enter free with the same chance. Without a free way in, it's a lottery.
  • "Spin the wheel when you buy": the same test. If buying is the only way to spin, add a free way to play.

How to keep a sweepstakes legal

General information, not legal advice. Laws vary by state, so ask a lawyer about big prizes.

  • No purchase necessary, said plainly in the post and the rules, with a real free way to enter.
  • Buying doesn't add entries or better odds unless free entrants can get the same.
  • Official rules with who can enter, the start and end date and time zone, the prize and its value, and how the winner is picked and notified.
  • Pick the winner at random from every valid entry, and keep a record of the draw.
  • On Facebook, say the promotion isn't sponsored, endorsed or administered by Facebook, and don't make sharing on a personal timeline or tagging friends the way to enter.

Big prizes: New York and Florida want a filing

If the prizes in a chance-based promotion total more than $5,000, two states ask for paperwork before you start.

New York: register the game of chance with the Department of State, pay a $100 filing fee, post a surety bond or certificate of deposit for the full prize value, and file a list of winners of prizes over $25 within 90 days of the end.

Florida: file the rules and prize list with the Department of Agriculture and Consumer Services at least 7 days before the start, with a $100 fee, plus a trust account or surety bond covering the total prize value.

Most small-business giveaways come in well under $5,000, so neither filing applies. If yours doesn't, check the current forms on each state's site before you launch.

Sources

New York Department of State, Games of Chance Registration (dos.ny.gov/games-chance-registration). Florida Department of Agriculture and Consumer Services, Game Promotions/Sweepstakes (fdacs.gov), and Florida Statutes section 849.094. Facebook, Pages, Groups and Events Policies (facebook.com/policies/pages_groups_events). Checked November 1, 2026.

Questions people ask

Is a giveaway the same as a sweepstakes?

Usually, yes. A giveaway where the winner is picked at random is a sweepstakes in US law, so it needs to be free to enter. If you judge entries on merit instead, it's a contest.

Can I make people buy something to enter my giveaway?

Not if the winner is picked by chance. A prize, chance and a required purchase together make an illegal lottery, so offer a free way to enter with the same odds. This is general information, not legal advice.

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

Chance picks a sweepstakes winner. Skill picks a contest winner, judged against criteria you publish before entries open. A contest that's really picked at random is a sweepstakes.

Is a spin-the-wheel game a sweepstakes?

If chance decides who wins, yes. Let anyone spin for free, not only people who buy, and list the prizes in your rules. Then it's a sweepstakes, not a lottery.

Does asking people to follow me count as a purchase?

Following, liking or commenting is the usual free way to enter a social giveaway, because nobody pays anything. Check the platform's own promotion rules too, since Facebook, for example, bans tag-your-friends-to-enter.

Do I need to register my giveaway?

Only for big prizes in some states. New York and Florida ask for a filing and a bond or trust account when a chance-based promotion's prizes total more than $5,000. Most small-business giveaways are well under that.

Do I need official rules for a sweepstakes?

Write them for every giveaway. Rules that cover who can enter, the end date and time zone, the prize value and how you pick the winner answer most questions before they're asked. The free rules generator on this page writes them in a minute.

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