The Traderszone Network

Published in TZ Latest News 7 December, 2016 by The TZ Newswire Staff

How Are Bonuses Taxed?

Getting a bonus at work is always a reason to celebrate — especially if you’re looking at a nice chunk of extra money. But unfortunately, your ultimate payout may not end up being nearly as high as you’d expect. The problem with bonuses is that they’re subject to a special federal income tax rate that can ultimately lower the amount you take home as actual pay. Furthermore, if your bonus payment is tacked on to your regular income, you might lose an even greater amount, depending on your tax bracket.

read more