Does anyone know the approximate percentage that comes out as tax?
From previous history it appears to be around 45%.... just wondering if anyone knew for sure or of any websites.
Thanks!
2007-12-17 11:38:26 · 4 answers · asked by NoTurningBackNow 5 in Business & Finance ➔ Taxes ➔ United States
It's taxed as ordinary income so the ultimate tax liability will depend upon your total income. However bonuses and other irregular payments are subject to withholding at a statutory rate of 25%, regardless of what your usual rate would be. That could be too high or too low, depending upon your tax bracket. You'll settle up when you file your return, as usual.
Of course, SS and Med will be withheld as well as state tax (possibly at a statutory rate there as well) so it could run as high as 45% in some states.
2007-12-17 11:51:37 · answer #1 · answered by Bostonian In MO 7 · 1⤊ 0⤋
Its ordinary income so it will be taxed at the normal rate for your tax bracket. However, they may withhold at a higher rate.
2007-12-17 12:05:53 · answer #2 · answered by Anonymous · 0⤊ 0⤋
It's the same percentage as they take from your paycheck. Look at your pay stub, and figure out what percentage you pay in taxes.
2007-12-17 11:51:41 · answer #3 · answered by Anonymous · 0⤊ 1⤋
If they use a flat percentage for withholding, it's often 25% for federal, 7.65% for FICA/MC and something for state....
2007-12-17 11:42:00 · answer #4 · answered by Anonymous · 0⤊ 0⤋