A Visual Guide to Taxing Bonuses [Infographic]

Income and Investments

With end of year tax planning on everyone’s agenda, those that are lucky enough to get a bonus this year are wondering,  “How bonuses are taxed?”.  Since this a common question we are seeing at this time, we thought it would be helpful to show how bonuses are taxed in an infographic.

Embed the above image on your site using the code below:

Comments (4) Leave your comment

  1. Is the supplemental wage amount itemized & reported to the IRS separately from regular wages? If not, then this makes absolutely no difference which method your employer uses in the end – as long as you don’t mind giving uncle sam a temporary interest free loan, but It will all even out with your tax return. Someone please confirm that this is true.

  2. Just concerned about why bonus is taxed- not clear whether bonus is supposed to be taxed. if you receive your bonus not taxed, will it affect your monthly income tax

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s