Of course, your bonus counts as income.
When you earn money, you almost always have to save some of it for Uncle Sam.
But how much, exactly?
Is Your Paycheck Not Going As Far As It Used To?
We get it.Everythingis more expensive than it used to be, but your paycheck hasnt kept up.
When money is tight,these resourceswill help nearly everyone.
What Qualifies as a Bonus?
In that case, your employer can use a couple of different methods to calculate the tax withholding.
Your employer cant use the aggregate method.
However, other perks youve gotten might be taxable.
These taxable fringe benefits are taxed at their fair market value.
Tuition reimbursement, however, is a special case.
Tuition reimbursement is tax-free up to $5,250.
Need Some Quick Cash?
If youre looking to boost your income this month, weve got just the thing for you.
No matter how its taxed, a bonus is basically free money you may not have expected.
