Originally Posted by
BigZ
Bonus taxes are withheld at a higher rate. If you leave, you pay back the check, plus the taxes and get issued an amended w2. Some genius figured it'll help with retention, genius, due to pilots not being able/willing to pay back 20k with the 9.5-13k (depending on the state) check they received.
Withheld, but not taxed. You get a nice chunk of it back next time you file your taxes.
The end result is +/- 0, you just have to make up the difference if you leave between tax day and when you cash the check. With a 12 month payment plan, you're not even out of pocket. Makes no sense not to take it.