 |
|
| Browse | Ask | Answer | Search | Join/Login |
|
|
||||
|
Tax implication on pay package
I am receiving a sign-on of 25K, a 75K relo (net lump sum) and a 200K annual salary in NJ. What tax would I have to pay on the sign-on, I assume the company is paying the tax on the relocation (due to the net lump sum position) and are there any witholdings I should be aware of? I am a single, no dependents filer (and US citzen). Thanks
|
||||
|
||||
|
Both the sign-on bonus and relocation payment will be added to your income for tax purposes. You should plan on having to pay about 33% to the IRS and 6.4% to NJ. Your employer should automatically withhold 25% from both the sign-on bonus and relo payment for the IRS; whether that amount is sufficient depends on your specific tax situation. |
||||
| Question Tools | Search this Question |
Add your answer here.
Check out some similar questions!
Dear Friends I am working with an Indian bank and as part of my renumeration the bank offers me a personal loan of 5 Lac at 2% interest rate. The bank includes the prospective benefit as my earning to increase the CTC. Assuming 12% as prevailing personal loan rate, the difference (12% - 2% =...
Hi - I am on H1B visa working in USA for last 6 years and am planning to relocate to india over the summer (May-June 2010) and I have few questions around the tax implications I would have from my relocation: Facts: 1. I have 3 dependents (Wife is India citizen and has no income, 2 children...
Hi, My fiancé is working in California on H1B. I am planning to get married and move with him on H4. I also have an option with me to take up a job myself and move on H1B visa. I wanted to understand the tax implications on both of our salaries in case I am on H4 or on H1. Request your...
What is the tax implication for an early withdrawal of 401K funds?
View more questions Search
|
