Bonus Tax Calculator
Estimate how much of your bonus is withheld for taxes and what you'll actually receive.
Your Details
Breakdown
Visual split of the key components
- Net Bonus3900
- Tax Withheld1100
Sensitivity
How the result changes across a range
How It Works
- Enter the values on the left.
- Press Calculate to see your results and charts.
- Use Reset to start over from the defaults.
Formula Used
In the U.S., the federal supplemental wage withholding rate is commonly 22% for bonuses under $1 million.
Good to Know
- • The withholding rate isn't always your final tax rate — you may get some back at tax filing.
- • Large bonuses can push withholding to a higher flat rate above certain thresholds.
Important Notes
- • State supplemental tax rates are separate and vary by state.
- • Actual withholding depends on your employer's payroll method.
Why Bonuses Are Withheld Differently
Bonuses and other supplemental wages are often withheld at a flat rate rather than run through the same graduated withholding tables as regular pay — in the U.S., a common flat federal rate is 22% for amounts under $1 million. This withholding is an estimate, not necessarily your final tax rate; if your actual marginal rate is lower, you may get some of that withholding back as a refund at tax time.
The 'Bonus Feels Smaller' Effect
A common frustration is a bonus feeling much smaller than expected once it hits a bank account — that's usually the supplemental withholding rate at work, not necessarily a sign that more tax is ultimately owed than on regular income. The true tax owed on a bonus depends on your total annual income and marginal bracket, calculated at filing time.
Making Sense of the Terms
- Supplemental wages — bonuses and similar pay, often withheld at a flat rate rather than regular payroll tables.
Example Scenario: A $5,000 Bonus
Net bonus = $5,000 − $1,100 = $3,900
The withheld amount ($1,100) is an estimate, not necessarily the final tax owed — if your actual marginal tax rate is below 22%, some of that withholding may come back as part of your tax refund.
Withholding Rate Comparison Table
$5,000 bonus:
| Withholding Rate | Net Bonus |
|---|---|
| 12% | $4,400 |
| 22% | $3,900 |
| 37% (large bonus) | $3,150 |
Watch Out For These About Bonus Taxation
- Thinking the withheld amount is the final tax — it's often just an estimate reconciled at filing.
- Not planning for the "smaller than expected" feeling — flat withholding often surprises first-time bonus recipients.