Bonus Tax Calculator
What a bonus actually deposits: federal withholding at the flat supplemental rate, plus Social Security and Medicare — with the wage-base cap handled correctly if you tell it your year-to-date pay.
Bonus withholding
Example: $10,000 bonus, 2026 → about $7,035 after withholding.
The example bonus, dissected
A $10,000 bonus in 2026, paid separately from wages: federal withholding takes 22% ($2,200), Social Security 6.2% ($620), and Medicare 1.45% ($145) — depositing about $7,035. Remember the distinction: this is what's withheld, not your final tax. If your real marginal rate is below the flat rate, the difference returns at filing time; above it, you may owe more. Every figure is computed by the same tested engine as the calculator above.
Planning around a bonus
Because withholding is flat but tax is marginal, a bonus is a natural moment to check your whole-year picture: run your total income (salary + bonus) through the Tax Bracket Calculator to see your true marginal rate, and compare it with the 22% withheld here. Large gaps in either direction are worth adjusting for — via your W-4, an estimated payment, or simply an informed expectation for April.
Frequently asked questions
Are bonuses taxed at a higher rate?
No — that is withholding, not tax. Bonuses paid separately from wages are typically WITHHELD at a flat federal supplemental rate, which can be above or below your real marginal rate. At filing time the bonus is just ordinary income; if the flat rate over-withheld, the difference comes back in your refund.
What is the supplemental withholding rate?
A flat federal rate on supplemental wages (bonuses, commissions, severance) paid separately from regular pay — with a higher top-bracket rate applying once supplemental wages for the year pass $1 million. FICA (Social Security and Medicare) applies on top, like any wages.
Why does the calculator ask for year-to-date wages?
Social Security stops at an annual wage base. If your salary has already used up most of it, part of the bonus escapes the 6.2% — and the calculator credits that correctly. Year-to-date wages also determine whether the 0.9% additional Medicare surtax kicks in.
Can I reduce the tax on a bonus?
The withholding is largely fixed, but the ultimate tax follows your ordinary situation — so the standard levers apply: a 401(k) contribution from the bonus (if your plan allows), HSA contributions, or timing income across years. What you cannot do is make a bonus taxable at less than ordinary-income rates.
Not tax advice: a withholding estimate for a bonus paid separately from regular wages (the percentage method). Employers may instead use the aggregate method, state withholding is excluded, and the $1 million threshold counts ALL supplemental wages for the year — if earlier bonuses already crossed it, the top rate applies from this bonus's first dollar. Your final tax is settled on your return — consult a tax professional. Values are processed locally in your browser and never transmitted. See the methodology page.