Bonus Tax Calculator — Calculate Tax on Your Bonus
Calculate how much of your bonus you actually take home after federal and state taxes. Understand the percentage and aggregate withholding methods.
Bonuses in the US are subject to a flat 22% federal supplemental withholding rate (37% for bonuses exceeding $1 million). This is often different from your actual tax rate and many people either overpay or underpay taxes on bonuses. Your employer chooses between the percentage method (flat 22%) or the aggregate method (combined with regular pay) which can result in very different withholding amounts.
Calculate Now
Key Information
| Parameter | Details |
|---|---|
| Federal Supplemental Rate | 22% flat withholding |
| Bonuses Over $1 Million | 37% withholding rate |
| Social Security Tax | 6.2% (up to $168600 total) |
| Medicare Tax | 1.45% (+ 0.9% above $200000) |
Calculate your bonus take-home
Get accurate results instantly — 100% free, no signup required
Use Calculator NowFrequently Asked Questions
How much tax on a $10000 bonus?
On a $10000 bonus using the percentage method: federal withholding 22% ($2200) plus Social Security 6.2% ($620) plus Medicare 1.45% ($145) = $2965 in federal taxes. Your take-home is approximately $7035 before state taxes. In California add approximately 9.3% ($930) making take-home $6105. In Texas (no state tax) you keep $7035.
Are bonuses taxed more than salary?
Bonuses are not taxed at a higher rate but are often withheld at a higher rate creating confusion. The 22% flat withholding may be more or less than your actual marginal rate. If your marginal rate is 12% the excess withholding comes back as a tax refund. If your marginal rate is 32% you may owe additional tax at filing. Your actual tax rate on the bonus equals your marginal rate not 22%.
How to reduce tax on a bonus?
Increase your 401k contribution to shelter bonus income (contribute extra in the bonus pay period). Ask your employer to defer part of the bonus to January to split income across tax years. If you expect a large bonus increase W-4 allowances to reduce regular pay withholding and offset higher bonus withholding. Charitable donations of appreciated stock can offset bonus income.
Related Calculators
Last updated: March 2026