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Bonuses are not taxed differently from your regular income.
Employers have more than one option for withholding on supplemental wages. But the tax rate is the tax rate (plus state taxes). Most recently for me, I got a sign on bonus of 100k in NYC and that translated to a check for 56k.
For federal taxes, the withholding rates stayed the same at 0%, 10%, 12%, 22%, 24%, 32%, 35%, or 37%. The brackets were adjusted to account for inflation. The math also depends on state taxes and where your total compensation lands in tax brackets.
Tax man is taking a big cut
Beyond actual tax rates, it’ll be withheld at a flat rate of 22% federal (plus 4.4% NYS plus social security / medicare). If your marginal rate is over 22%, just note you’ll owe more at tax time.
That’s exactly how my advisor explained it.
Mine was taxed at 46% as a first and second year
Withheld maybe, but not taxed.