Have you turned down a retention bonus before? It’s $5K and it looks like I might not be able to get the income taxes back from the IRS if I had to pay it back to Accenture and it was less than $3K… which is probably the amount I’ll owe as I will start earning 1/12th of this monthly ?

likefunny
Posting as :
works at
You are currently posting as works at

How is $5K a retention incentive? A compelling retention bonus should be at least 10 if not 20% of your annual base. Ask your PL.

likefunny

Oh yeah - super scummy! That’s why I’m trying to leave lol.

You will get the taxes back when you file your 2022 taxes if you have to pay it back. But refusing retention bonuses can be seen as red flag 🚩

likesmart

Change your withholdings to get some back in each paycheck. No need to wait for the tax return

My understanding is if you receive the retention bonus and then leave in the same CY, your company is responsible for settling up on taxes with the IRA. If you leave in a different CY, then you have to pay the full (or pro rated depending on the bonus terms) amount back to your company and then you settle up on taxes with the IRS.

Agreed on turning one down being a red flag. My suggestion is to accept it, don’t spend it, and if you’re planning to leave, try to do that before Dec 31.

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