{
  "id": "bonus-tax",
  "version": "2efcbcc287be",
  "status": "published",
  "name": "Bonus Tax Calculator",
  "question": "How much bonus tax will I pay?",
  "summary": "Computes the federal income tax withheld from a bonus (flat 22% or the aggregate method, 37% over $1 million), Social Security, Medicare, and state tax, and the bonus you take home.",
  "category": "finance",
  "subcategory": "tax-and-pay",
  "url": "https://www.acalculator.org/finance/bonus-tax-calculator",
  "markdown": "https://www.acalculator.org/finance/bonus-tax-calculator.md",
  "kind": "function",
  "method": "Flat: federal = 22% × the bonus, and 37% on the part that takes the year’s supplemental wages over $1,000,000. Aggregate: federal = Pub 15-T withholding on (regular wages + bonus) − withholding on the regular wages alone. Social Security = 6.2% of the bonus up to the $184,500 wage base; Medicare = 1.45%, plus 0.9% on wages over $200,000 in the year. State = bonus × state rate. Take-home = bonus − all of them.",
  "assumptions": [
    "An estimate, not tax advice. Withholding is not the final tax: the bonus is taxed with the rest of your income on your return.",
    "The flat 22% applies only when the bonus is paid separately or shown apart from regular wages and income tax was withheld from your regular wages this year or last year.",
    "The aggregate method here adds the bonus to one regular paycheck and uses the 2026 percentage method for a 2020 or later Form W-4.",
    "State tax is a single rate you type: states set their own supplemental rates, and some tax bonuses as regular pay. Local taxes, 401(k) deferrals from the bonus, and the Additional Medicare Tax owed on a joint return are not modelled."
  ],
  "inputs": {
    "$schema": "https://json-schema.org/draft/2020-12/schema",
    "type": "object",
    "properties": {
      "bonus": {
        "title": "Bonus",
        "description": "The gross bonus, commission, or other supplemental pay.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "method": {
        "title": "Withholding method",
        "description": "Flat: 22% of the bonus, used when the bonus is paid separately. Aggregate: the bonus is added to a regular paycheck and withheld as one payment.",
        "type": "string",
        "enum": [
          "flat",
          "aggregate"
        ]
      },
      "wages": {
        "title": "Regular taxable wages a paycheck",
        "description": "Taxable wages of the regular paycheck the bonus is added to (aggregate method).",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 10000000
      },
      "freq": {
        "title": "Pay frequency",
        "description": "How often you are paid (aggregate method).",
        "type": "string",
        "enum": [
          "weekly",
          "biweekly",
          "semimonthly",
          "monthly"
        ]
      },
      "status": {
        "title": "Filing status (W-4)",
        "description": "The filing status on your Form W-4 (aggregate method).",
        "type": "string",
        "enum": [
          "single",
          "mfj",
          "hoh"
        ]
      },
      "twoJobs": {
        "title": "W-4 Step 2 box checked",
        "description": "The two-jobs box in Step 2 of your Form W-4 is checked (aggregate method).",
        "type": "boolean"
      },
      "step3": {
        "title": "W-4 Step 3 amount",
        "description": "The Step 3 dependents total on your Form W-4 (aggregate method).",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000
      },
      "stateRate": {
        "title": "State tax rate on bonuses",
        "description": "Your state’s income tax rate on supplemental pay, as a percent (0 in states with no income tax).",
        "type": "number",
        "x-unit": "percent",
        "minimum": 0,
        "maximum": 20
      },
      "ytd": {
        "title": "Wages paid so far this year",
        "description": "All wages this employer paid you this year before the bonus, for the Social Security wage base and the Additional Medicare threshold.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "ytdBonus": {
        "title": "Bonuses paid so far this year",
        "description": "Supplemental wages this employer paid you this year before this bonus, for the $1 million rule.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 100000000
      },
      "date": {
        "title": "Pay date",
        "description": "The date the bonus is paid: its year picks the tax rates.",
        "type": "string",
        "format": "date"
      }
    }
  },
  "outputs": {
    "net": {
      "label": "Bonus after tax",
      "description": "The bonus less all taxes withheld.",
      "format": "money"
    },
    "federal": {
      "label": "Federal income tax",
      "description": "Federal income tax withheld from the bonus.",
      "format": "money"
    },
    "socialSecurity": {
      "label": "Social Security",
      "description": "6.2% of the bonus, up to the year’s wage base.",
      "format": "money"
    },
    "medicare": {
      "label": "Medicare",
      "description": "1.45% of the bonus, plus 0.9% of the part that takes the year’s wages over $200,000.",
      "format": "money"
    },
    "state": {
      "label": "State tax",
      "description": "The bonus times the state rate typed.",
      "format": "money"
    },
    "taxes": {
      "label": "Total taxes",
      "description": "All taxes withheld from the bonus.",
      "format": "money"
    },
    "share": {
      "label": "Share withheld",
      "description": "Total taxes as a percent of the bonus.",
      "format": "percent"
    },
    "rates": {
      "label": "Tax year",
      "description": "The tax year of the rates used.",
      "format": "text"
    }
  },
  "defaultAnswer": {
    "inputs": {
      "bonus": 5000,
      "method": "flat",
      "wages": 2000,
      "freq": "biweekly",
      "status": "single",
      "twoJobs": false,
      "step3": 0,
      "stateRate": 0,
      "ytd": 0,
      "ytdBonus": 0,
      "date": "2026-09-30"
    },
    "outputs": {
      "net": 3517.5,
      "federal": 1100,
      "socialSecurity": 310,
      "medicare": 72.5,
      "state": 0,
      "taxes": 1482.5,
      "share": 29.65,
      "rates": "2026 federal rates"
    },
    "text": "On a $5,000.00 bonus, you take home $3,517.50 after $1,482.50 of taxes."
  },
  "examples": [
    {
      "given": {
        "bonus": 5000,
        "method": "flat",
        "date": "2026-12-15"
      },
      "expect": {
        "federal": 1100,
        "socialSecurity": 310,
        "medicare": 72.5,
        "taxes": 1482.5,
        "net": 3517.5
      },
      "source": "IRS Pub 15 (2026) section 7 (22% flat rate) and section 9 (6.2% and 1.45%); hand calculation in content.mdx"
    },
    {
      "given": {
        "bonus": 1500000,
        "method": "flat",
        "ytd": 200000,
        "date": "2026-12-15"
      },
      "expect": {
        "federal": 405000,
        "socialSecurity": 0,
        "medicare": 35250,
        "net": 1059750
      },
      "source": "IRS Pub 15 (2026) section 7: 37% mandatory on supplemental wages over $1,000,000; section 9: no Social Security above $184,500, 0.9% Additional Medicare over $200,000; hand calculation in content.mdx"
    },
    {
      "given": {
        "bonus": 3000,
        "method": "aggregate",
        "wages": 2000,
        "freq": "biweekly",
        "status": "single",
        "stateRate": 5,
        "date": "2026-12-15"
      },
      "expect": {
        "federal": 610.5384615384615,
        "socialSecurity": 186,
        "medicare": 43.5,
        "state": 150,
        "net": 2009.9615384615386
      },
      "source": "IRS Pub 15 (2026) section 7 aggregate procedure with Pub 15-T (2026) Worksheet 1A; hand calculation in content.mdx"
    },
    {
      "given": {
        "bonus": 10000,
        "method": "flat",
        "ytd": 180000,
        "ytdBonus": 995000,
        "date": "2026-12-15"
      },
      "expect": {
        "federal": 2950,
        "socialSecurity": 279,
        "medicare": 145,
        "net": 6626
      },
      "source": "IRS Pub 15 (2026) sections 7 and 9: $5,000 at 22% and $5,000 over $1,000,000 at 37%; Social Security on the $4,500 left under $184,500; hand calculation in content.mdx"
    }
  ],
  "sources": [
    "IRS, Publication 15 (2026), (Circular E), Employer’s Tax Guide, section 7 \"Supplemental Wages\" (22% optional flat rate; 37% mandatory over $1,000,000; aggregate procedure) and section 9 (Social Security 6.2% to $184,500, Medicare 1.45%, Additional Medicare 0.9% over $200,000). https://www.irs.gov/pub/irs-pdf/p15.pdf",
    "IRS, Publication 15-T (2026), Worksheet 1A and the Annual Percentage Method tables (aggregate method). https://www.irs.gov/pub/irs-pdf/p15t.pdf"
  ],
  "related": [
    "paycheck",
    "federal-withholding",
    "payroll-tax"
  ],
  "changelog": []
}