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Old 02-15-2018, 06:42 AM
  #21  
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Originally Posted by Flying Ninja View Post
You're right, I just looked it up. It's not 40%, it's 25% or more depending on the method executed by the employer.

https://blog.turbotax.intuit.com/inc...-the-irs-8003/

Either way, it's not life changing money. Certainly it's not enough to attract a career changer that's making over six figures.
You really need to try and understand the difference between withheld and taxed. Bonus money is taxed as ordinary income at whatever rate the individual ends up being taxed at. Effective 1 Jan 18 bonus money is WITHELD at 22%.
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Old 02-15-2018, 01:10 PM
  #22  
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Originally Posted by sailingfun View Post
You really need to try and understand the difference between withheld and taxed. Bonus money is taxed as ordinary income at whatever rate the individual ends up being taxed at. Effective 1 Jan 18 bonus money is WITHELD at 22%.
Absolutely right. The number of pilots who buy all those old wives takes about taxes astounds me.
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Old 02-21-2018, 02:27 AM
  #23  
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Also, like to point out that some regionals (RAH) like to talk bonuses but then deduct the cost of things from your bonus (like flight training when they hire a pilot under the 1500t). Knew a few guys in class a while back that only got $20 for their sign on bonus after deductions and taxes.
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Old 02-23-2018, 05:50 AM
  #24  
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Originally Posted by DarkSideMoon View Post
Absolutely right. The number of pilots who buy all those old wives takes about taxes astounds me.
Perhaps it's because CFIs make so damn little they have never really paid much in the way of taxes?

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