Bonus Tax Calculator
See what you actually keep from your bonus.
Bonuses count as "supplemental wages," and employers usually withhold federal income tax on them at a flat 22% rate (37% on the portion of your supplemental wages above $1,000,000 for the year). Social Security and Medicare come out too, and many states add their own supplemental rate. Enter your bonus to see what's left after all of it.
Frequently asked questions
How is federal tax on a bonus calculated?
Under the flat-rate (percentage) method, employers withhold a flat 22% federal income tax on supplemental wages such as bonuses. Once your year-to-date supplemental wages pass $1,000,000, the excess is withheld at a mandatory 37%.
Why might my employer's number differ?
Employers may instead use the aggregate method: they add the bonus to a regular paycheck and withhold as if it were one larger payment, using your W-4. That can produce a different withholding than the flat 22% shown here. Either way it's withholding, and your final tax is settled on your return.
Do Social Security and Medicare apply to bonuses?
Yes. Social Security (6.2%, up to the annual wage base) and Medicare (1.45%, plus an extra 0.9% on wages over $200,000) are withheld on bonuses. If your year-to-date wages already reached the wage base, no more Social Security is taken.
Does my state tax my bonus?
It depends. Some states apply a flat supplemental rate to bonuses, some (like Vermont) take a percentage of the federal supplemental tax, and no-income-tax states withhold nothing. States without a set rate generally use the aggregate method.
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Source: IRS Pub 15 supplemental wages; state supplemental rates, year-versioned in our data.