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The 22% withholding amount does not account for the precise earnings bracket, And that's why it feels so substantial as compared to all the things else you’re taxed on.
The IRS considers any form of added payment to the wages for a bonus. And Sure, In addition they consider bonuses taxable.
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Meanwhile, bonuses are classified as supplemental wages, an entirely distinct classification of wage that makes use of a flat 22% withholding price, that's most certainly better than your personal tax bracket.