Old 09-06-2021 | 08:09 PM
  #51  
kevin18
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Originally Posted by DarkSideMoon
Everyone knows you pay more in taxes on bonuses. They teach you that in indoc during the finance section. It’s right after virology and just before relationship counseling.
No, you don’t. The withholding is higher. That’s it. At the end of the year your gross income is what determines the tax rate. If the bonus put you in a different tax bracket then yeah, it’s taxed slightly higher. However, if you are sitting below 80k gross your effective tax rate will be around 18%ish. So, that’s what you’re taxed at. None of us in the regionals with the single regional income will be in high tax brackets where you wouldn’t get some of that withholding back.
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