Ask Experts Questions for FREE Help!
 
Free Answers in 3 Easy Steps

Register Now		 3 Steps
 
Ask QuestionsprogressAnswer QuestionsprogressBuild ReputationprogressBecome an Expert
 
At Ask Me Help Desk you can ask questions in any topic and have them answered for free by our experts. To ask questions or participate in answering them you must register for a free account. By registering you will be able to:
  • Get free answers from experts in any of our 300+ topics.
  • Accept money for answers that you provide.
  • Communicate privately with other members (PM).
  • See fewer ads.
  Answer this Question    Ask about Taxes    Ask about another Subject  
 
PDA

lovedarain
May 3, 2006, 09:43 PM
i currently live and work in nyc and am considering taking a position with a company in new jersey. they are offering me a sign-on bonus and i was curious what percentage i would need to pay in taxes and if that would be deducted up-front. is a sign-on bonus treated the same as a "regular" bonus and taxed heavily? any help you can provide would be greatly appreciated.
AtlantaTaxExpert
May 4, 2006, 08:38 AM
Any bonus is considered a part of your normal salary and will be taxed at your marginal tax rate.

Normally, the company withholds 30% of the bonus for income taxes, plus the normal withholding for Social Security (6.2%) and Medicare (1.45%), plus whatever is the norm for your state income tax withholding.