Warren Buffett’s annual March Madness bracket challenge has finally produced a $1 million winner after years without a grand prize recipient. The competition, which is exclusively open to employees of Berkshire Hathaway (NYSE:BRK.A) and its subsidiaries, has been a recurring event since 2016. Although no participant has ever claimed the ultimate prize—a lifetime payout of $1 million per year for correctly predicting the first 48 games—Buffett modified the rules this year to increase the chances of a payout. This adjustment allowed participants to win a one-time $1 million reward by correctly predicting at least 30 of the first 32 tournament games.
Buffett has long experimented with high-stakes bracket challenges. A decade ago, Berkshire Hathaway teamed up with Quicken Loans to offer a $1 billion prize for a perfect NCAA tournament bracket, a feat that has never been achieved due to the astronomical odds. His internal company contest has followed a different path, focusing on rewarding employees who can navigate the unpredictable nature of the tournament. This year’s change in the rules ensured that at least one participant would walk away with a substantial reward.
Who Won the $1 Million Prize?
A FlightSafety International employee secured the $1 million prize after correctly predicting 31 out of 32 first-round games, only missing the matchup between the Xavier Musketeers and Illinois Fighting Illini. While multiple employees reached the 31-game mark, the winner was determined based on the longest consecutive streak of correct picks. In addition to the grand prize, 11 other participants who also got 31 games right received a runner-up reward of $100,000 each.
What Makes This Bracket Challenge So Difficult?
Predicting the outcomes of NCAA tournament games with high accuracy remains an extremely difficult task. The odds of filling out a perfect bracket for the entire tournament are estimated to be as low as 1 in 9.2 quintillion. Even narrowing the scope to the first 48 games has proven nearly impossible, with only one recorded instance of such accuracy in NCAA history. Buffett’s original grand prize, which requires predicting those 48 games correctly, remains unclaimed for another year.
Buffett has also maintained a special provision in his contest, pledging to double the annual grand prize if one of two Nebraska-based teams—the Creighton Bluejays or Omaha Mavericks—reaches the championship game. Despite this added incentive, no employee has come close to winning the lifetime payout.
Berkshire Hathaway employees from various subsidiaries have won consolation prizes in past years. In 2018, multiple contestants from companies like General Reinsurance, BNSF Railway, and Nebraska Furniture Mart shared a $100,000 prize. Buffett has expressed his appreciation for the contest, stating that it fosters a sense of unity among employees.
“We like doing it because we often act as separate companies and this brings us all together,”
he said in a prior interview.
Buffett’s decision to modify the contest shows a shift in approach, ensuring that the event results in at least one major payout. While the challenge remains difficult, introducing a lower threshold for winning has made it more accessible. The structure of the contest may continue to evolve, particularly as Buffett considers the practical aspects of awarding long-term prizes. Nevertheless, the event has reinforced employee engagement within Berkshire Hathaway and will likely continue as an annual tradition.
