Bonus calculator
Enter the bonus as it will be paid — on its own check. The calculator applies the federal flat rate or the aggregate method, FICA with the year's Social Security cap, and your state's own supplemental-wage rule.
Result — California — bonus of $5,000.00 — federal flat rate 22% — every two weeks — single
| Line | On this bonus | Annual |
|---|---|---|
Bonus (supplemental wages)Why this line?The bonus itself — a supplemental wage payment: pay in addition to regular wages, such as a bonus, commission or severance payment (IRS Publication 15, section 7). This page computes the withholding on this payment alone, as if it were paid on its own check. Why this rate: Not a rate — the payment is classified as a supplemental wage because it is paid in addition to regular wages, and that classification is what selects the withholding rules used below. What changes it: The amount your employer approves. Everything below is computed from this figure and the wages you enter around it. Source: IRS Publication 15 (2026), section 7 — Supplemental Wages; Treas. Reg. section 31.3402(g)-1 — verified 2026-10-26. | $5,000.00 | $5,000.00 |
Federal income tax — flat rate 22%Why this line?Federal income tax withheld at the optional flat rate for supplemental wages: 22% of the bonus (IRS Publication 15 (2026), section 7; Treas. Reg. section 31.3402(g)-1(a)(7)). If your supplemental wages from this employer pass $1,000,000 in the calendar year, the part above $1,000,000 is withheld at 37% — that part is mandatory, whatever your Form W-4 says (Reg. section 31.3402(g)-1(a)(2)). Why this rate: Congress and the IRS give employers two ways to withhold on supplemental wages; the flat rate is the simpler one and the one most bonus checks use. What changes it: Only the bonus amount and the $1,000,000 cumulative threshold. Your filing status, dependents and W-4 entries do not change the flat-rate line — they matter under the aggregate method instead. Withholding is not the final tax: any difference is settled on your annual return. Source: IRS Publication 15 (2026), section 7 — Supplemental Wages; Treas. Reg. section 31.3402(g)-1 — verified 2026-10-26. | $1,100.00 | $1,100.00 |
Social Security (FICA)Why this line?Your Social Security (FICA) contribution: 6.2% of wages, but only on the first $184,500 earned in 2026. It funds Social Security retirement and disability benefits. Why this rate: Set by Congress (IRC §3101): 6.2% employee + 6.2% employer. The $184,500 wage base for 2026 is announced by the Social Security Administration and rises with national wage growth. What changes it: It stops mid-year once cumulative wages (all employers combined, in this engine's liability view) reach the $184,500 wage base; the base is re-set by the SSA every October. Source: SSA 2026 wage base + IRC §3101/3111 rates; cross-checked in J1 correction (IRS/SSA) — verified 2026-10-22. | $310.00 | $310.00 |
Medicare (FICA)Why this line?Your Medicare (FICA) contribution: 1.45% of every dollar of wages, with no cap. It funds Medicare health insurance for people 65 and over. Why this rate: Set by Congress (IRC §3101): 1.45% employee + 1.45% employer. There has never been a Medicare wage cap. What changes it: Nothing caps it — it grows dollar-for-dollar with pay. Only the wage amount changes it. Source: IRC §3101/3111 — no wage cap — verified 2026-10-22. | $72.50 | $72.50 |
California income tax — supplemental rate 10.23%Why this line?State income tax withheld on the bonus. States split two ways: a published supplemental-wage rate (shown in the line's label and listed, with its official source, in the table under this calculator), or no special rate — then the bonus is withheld by the state's regular method, the difference the bonus makes to the regular withholding. Why this rate: Each state sets its own treatment in its withholding statute or employer guide; where a state publishes no supplemental rate, its regular formula is the applicable method — this tool never substitutes an invented percentage. What changes it: The state, the bonus amount, and — for the regular method and for banded rates such as Wisconsin's — your regular wages. Local taxes on bonuses (for example New York City) are not included; the result says so when that applies. Source: California EDD, California Employer's Guide (DE 44) — verified 2026-10-26. | $511.50 | $511.50 |
California SDI (State Disability Insurance)Why this line?California State Disability Insurance (SDI): an employee-paid 1.3% of wages with no cap since 2024, funding short-term disability and Paid Family Leave benefits. Why this rate: Set under the California Unemployment Insurance Code; the EDD publishes the rate each year (1.3% for 2026). What changes it: The rate is set annually by the EDD; it applies to all wages (no ceiling since SB 951 removed the cap). Source: California EDD — 2026 employee SDI rate 1.3%, no wage cap (SB 951 removed the cap) — verified 2026-10-23. | $65.00 | $65.00 |
Total withheldWhy this line?Everything withheld from this bonus payment: federal income tax, Social Security, Medicare (plus the Additional Medicare Tax when it applies), state income tax and any state payroll-program lines. Why this rate: Not a rate — the sum of the withholding lines above it. What changes it: Every line above it. Source: IRS Publication 15 (2026), section 7 — Supplemental Wages; Treas. Reg. section 31.3402(g)-1 — verified 2026-10-26. | $2,059.00 | $2,059.00 |
Net bonusWhy this line?What is left of the bonus after all withholding on this payment — the amount that lands in your bank account from the bonus check. Why this rate: Not a rate — what remains of the payment after every withholding line above it. What changes it: Pre-tax contributions taken out of the bonus itself (a 401(k) deferral elected on bonuses, for example) are NOT modeled here: this is withholding only. If your plan takes a percentage of bonuses, your net will be lower by that amount. Source: IRS Publication 15 (2026), section 7 — Supplemental Wages; Treas. Reg. section 31.3402(g)-1 — verified 2026-10-26. | $2,941.00 | $2,941.00 |
Compare scenarios
Same bonus, aggregate method (net)
$2,874.69
The other federal method, same inputs — the employer picks the method, not the employee.
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Methodology, limits and sources
Rates verified on 2026-10-26 (primary sources listed per line).
Federal: IRS Publication 15 (2026), section 7, and Treas. Reg. §31.3402(g)-1 — optional flat rate 22%; mandatory 37% on cumulative supplemental wages above $1,000,000; the aggregate procedure of (g)-1(a)(6) figures Pub. 15-T withholding on regular wages plus bonus, minus the withholding on the regular wages alone. FICA is computed on the bonus as ordinary wages against your year-to-date wages (2026 Social Security wage base: $184,500). States: each state's treatment is encoded in the page's data from the primary publication named in the table below, read on 2026-10-26; where no supplemental rate is published, the state's regular method applies (the difference the bonus makes to the regular withholding). Declared limits: Maryland's line is the state part (6.50%) of its lump-sum rule — the county local addition is not included; New York City (4.25%) and Yonkers local withholding are not included; Wisconsin's band is chosen on regular wages annualized plus the bonus, as its Publication 166 prescribes; Vermont's 30% of the federal withholding is applied to whichever federal method you pick; Iowa's published sources conflict (its rule still prints a 6% flat option while its tax is a flat 3.8%) — the regular method is used and neither flat figure is applied. Pre-tax contributions and Form W-4 entries ride on the regular wage (the aggregate method); a 401(k) deferral elected on the bonus itself is not modeled.
How a bonus is taxed, in one paragraph
A bonus is a supplemental wage. For federal withholding, your employer either withholds at the flat 22% rate or uses the aggregate procedure (bonus added to your regular pay, withholding figured on the total, minus the withholding on the regular pay alone). Social Security and Medicare apply exactly as on regular wages — including the $184,500 Social Security wage base for 2026, which is why the wages you have already been paid this year matter. On top of that, each state takes its own approach, listed in the table below the calculator. Withholding is not the final tax: if 22% withheld more than your actual marginal rate, the difference comes back in your refund.
Worked example — the IRS's own
Example 3 in IRS Publication 15 (2026), section 7: an employer pays a $1,000 bonus separately from regular wages and withholds at the flat rate — 22% of $1,000 = $220.00 of federal income tax. Run this calculator with a $1,000 bonus in a state with no wage tax and no other wages this year: the federal line reads exactly $220.00, and FICA adds $62.00 of Social Security and $14.50 of Medicare, for a net bonus of $703.50.
The $1,000,000 rule
Once your supplemental wages from one employer pass $1,000,000 in a calendar year, withholding on the excess is mandatory at 37% — the top individual rate — whatever your Form W-4 says (Treas. Reg. §31.3402(g)-1(a)(2)). Enter your year-to-date supplemental wages in the form and the calculator splits the bonus across the threshold exactly.
Related tools
Supplemental-wage withholding by state — 2026
Every state's treatment below was read in the state's own 2026 withholding publication on 2026-10-26 (the source named in each row) and is encoded in this page's data file with that citation. Where a state publishes no supplemental rate, this calculator withholds the bonus by the state's regular method and says so — no percentage is ever invented.
| State | Treatment | Rate | Primary source |
|---|---|---|---|
| Alaska | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Alabama | Published supplemental rate | 5% flat | Alabama Department of Revenue, Withholding Tax Tables booklet (Rev. 1-26) and Ala. Admin. Code r. 810-3-71-.02(2)(c): employers may withhold at 5% on bonuses and other supplemental wage payments. |
| Arkansas | Published supplemental rate | 3.9% flat | Arkansas DFA, 2026 Withholding Tax Instructions, 'Supplemental Wages': deduct 3.9% of the bonus or commission. |
| Arizona | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Arizona withholding is a percentage of gross taxable wages elected by the employee on Form A-4 (Arizona Department of Revenue); no separate supplemental-wage rate is published, so the bonus is withheld at the same elected percentage the engine applies to regular wages. |
| California | Published supplemental rate | 10.23% flat on bonuses and stock options; 6.6% on other supplemental wages | California EDD, California Employer's Guide (DE 44): bonuses and stock options are withheld at 10.23%; other supplemental wages at 6.6%. This tool computes bonuses, so the 10.23% rate applies. |
| Colorado | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Colorado Department of Revenue (DR 1098): no separate supplemental-wage rate is published; the regular method applies (Colorado's income tax is a flat rate). |
| Connecticut | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Connecticut Department of Revenue Services, Employer's Tax Guide (IP 2026(1)) and TPG-211 withholding calculation rules: no flat supplemental rate — supplemental wages are combined with regular wages and the tax on the total, minus the tax on the regular wages, is withheld (the regular method). |
| District of Columbia | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | District of Columbia Office of Tax and Revenue employer withholding guidance (FR-900 series): no supplemental-wage rate is published for wage payments; the regular method applies. |
| Delaware | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Delaware Division of Revenue employer withholding guidance: no separate supplemental-wage rate is published for bonuses; the regular method applies. (Delaware's 5% figure in its FAQ concerns deferred compensation, not bonuses.) |
| Florida | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Georgia | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Georgia Department of Revenue, 2026 Employer's Tax Guide: bonuses and other supplemental pay are withheld at the flat rate in effect on the day they are paid — Georgia's single income-tax rate — which is exactly what the regular (difference) method produces for a flat-rate state. |
| Hawaii | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Hawaii Department of Taxation, Booklet A (Employer's Tax Guide) and Hawaii Administrative Rules section 18-235-61-05: supplemental wages are withheld by aggregation only; no flat rate is published. |
| Iowa | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | CONFLICT DECLARED: Iowa Admin. Code r. 701-307.2(1)c still prints a 6 percent flat-rate option keyed to federal flat-rate withholding, while Iowa's income tax itself has been a flat 3.8% since 2025 and current secondary guides cite 3.8%. The same rule's first prescription is the regular tables/formulas, so this tool uses the regular (difference) method for Iowa and applies neither flat figure. |
| Idaho | Published supplemental rate | 5.3% flat | Idaho State Tax Commission, 'Income you must withhold on': multiply the separately issued supplemental payment by 5.3 percent (Idaho's flat income-tax rate). |
| Illinois | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Illinois Department of Revenue (IL-700-T): no separate supplemental-wage rate is published; the regular method applies (Illinois' income tax is a flat rate). |
| Indiana | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Indiana Department of Revenue employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies (Indiana's income tax is a flat rate; county taxes, where they apply, follow the paycheck's local-module rules and are not added by this tool). |
| Kansas | Published supplemental rate | 5% flat | Kansas Department of Revenue, KW-100 Kansas Withholding Tax Guide: when the supplemental wage is stated separately and federal withholding is a percentage, Kansas withholding is 5% of the gross payment. |
| Kentucky | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Kentucky Department of Revenue employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies (Kentucky's income tax is a flat rate). |
| Louisiana | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Louisiana Department of Revenue employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies (Louisiana's income tax is a flat rate). |
| Massachusetts | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Massachusetts Department of Revenue employer withholding guidance (Circular M): no separate supplemental-wage rate is published; the regular method applies. |
| Maryland | Published supplemental rate | 6.5% flat | Comptroller of Maryland, Maryland Employer Withholding Guide: a lump-sum annual bonus is withheld at the highest state tax rate plus the local rate for the county of residence. The highest state rate is 6.50% for 2026 (Comptroller formula change effective pay period 17, 2025). This tool applies the 6.50% STATE part only; add your county's local rate for the full Maryland amount — the tool says so wherever the Maryland line appears. |
| Maine | Published supplemental rate | 5% flat | Maine Revenue Services, Withholding Tables booklet: if supplemental wages are paid separately, the payer may withhold a flat five percent (rate confirmed unchanged for 2026 in the MRS Tax Alert, November 2025). |
| Michigan | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Michigan Department of Treasury employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies (Michigan's income tax is a flat rate). |
| Minnesota | Published supplemental rate | 6.25% flat | Minnesota Statutes section 290.92, subd. 3, and Minnesota Department of Revenue supplemental-payments guidance: flat 6.25% on supplemental wages paid separately. |
| Missouri | Published supplemental rate | 4.7% flat | Missouri Department of Revenue, 2026 Missouri Withholding Tax Formula, 'Supplemental Pay Withholding': a flat percentage rate of 4.7 percent of the supplemental wages (12 CSR 10-2.015 sets the flat rate at the highest individual rate under section 143.011, RSMo). |
| Mississippi | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Mississippi Department of Revenue employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies. |
| Montana | Published supplemental rate | 5% flat | Montana Department of Revenue, Montana Employer and Information Agent Guide: for supplemental wages paid separately the employer may withhold a flat 5 percent of the supplemental wage. |
| North Carolina | Published supplemental rate | 4.09% flat | 17 NCAC 06C .0117 (North Carolina Administrative Code): the rate in G.S. 105-153.7(a) plus one-tenth of one percent — 3.99% + 0.10% = 4.09% for 2026. |
| North Dakota | Published supplemental rate | 1.5% flat | North Dakota Office of State Tax Commissioner, Income Tax Withholding Rates and Instructions booklet: Option 1 — multiply the supplemental wages by 1.50%. |
| Nebraska | Published supplemental rate | 3.5% flat | Nebraska Department of Revenue, 2026 Nebraska Circular EN: the employer may elect to withhold on supplemental wages using a flat 3.5% withholding rate (316 Neb. Admin. Code ch. 21 section 004.02 leaves the rate to the Circular EN). |
| New Hampshire | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| New Jersey | No rate: withheld by the regular formula with the NJ-W4 exemption allowances removed, as NJ-WT prescribes | — | New Jersey Division of Taxation, NJ-WT (September 2025), 'Withholding on Supplemental Wage Payments': when supplemental wages are paid at a different time, withhold from the supplemental wages without any exemption allowances the employee takes on the NJ-W4. This tool runs the bonus through New Jersey's withholding formula on its own with the exemption allowances set to zero. |
| New Mexico | Published supplemental rate | 5.9% flat | New Mexico Taxation and Revenue Department, FYI-104: if the federal withholding is calculated using a flat percent, a flat 5.9% of the supplemental wage should be withheld for state tax purposes. |
| Nevada | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| New York | Published supplemental rate | 11.7% flat | New York State Department of Taxation and Finance, NYS-50-T-NYS (Rev. 1/26), p. 4: supplemental wage rate 11.70% effective January 1, 2026. New York City and Yonkers local withholding on supplemental wages is not part of this sweep (see the tool's limits). |
| Ohio | Published supplemental rate | 2.75% flat | Ohio Admin. Code 5703-7-10(B)(2), as amended effective January 1, 2026 (Register of Ohio, certified December 12, 2025): supplemental compensation is withheld at the highest rate in R.C. 5747.02(A)(3) for the taxable year — 2.75% for 2026, Ohio's single nonbusiness rate. The former 'at least 3.5%' text was struck by the same amendment. |
| Oklahoma | Published supplemental rate | 4.5% flat | Oklahoma Admin. Code 710:90-1-6 and the Oklahoma Tax Commission 2026 withholding tables: withhold at the highest rate in 68 O.S. section 2355(B)(1) for the year — 4.5% for 2026 (HB 2764). |
| Oregon | Published supplemental rate | 8% flat | Oregon Department of Revenue (Forms 150-206-436 and 150-206-430): employers may withhold a flat 8% on supplemental wages paid at a different time than the regular payday. |
| Pennsylvania | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Pennsylvania Department of Revenue employer withholding guide: no separate supplemental-wage rate is published; the regular method applies (Pennsylvania's income tax is a flat 3.07%). |
| Rhode Island | Published supplemental rate | 5.99% flat | Rhode Island Division of Taxation, Withholding Tax Booklet, 'Supplemental wages': the supplemental withholding rate is 5.99%. |
| South Carolina | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | South Carolina Department of Revenue employer withholding guidance: no separate supplemental-wage rate is published; the regular method applies. |
| South Dakota | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Tennessee | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Texas | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Utah | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | Utah State Tax Commission employer withholding guide (Publication 14): no separate supplemental-wage rate is published; the regular method applies (Utah's income tax is a flat rate). |
| Virginia | Published supplemental rate | 5.75% flat | 23VAC10-140 (Virginia Administrative Code): if supplemental wages are paid and tax has been withheld from regular wages, the employer may use a flat percentage rate of 5.75%, without allowance for exemption. |
| Vermont | Published percentage-of-federal rule | 30% of the federal withholding on the payment | Vermont Department of Taxes, withholding instructions for annuities, supplemental payments and deferred compensation: for nonperiodic payments, Vermont withholding can be estimated at 30% of the federal withholding. (Payments under a non-qualified deferred compensation plan use 6% of the payment instead — not modeled here.) |
| Washington | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
| Wisconsin | Published banded supplemental rate | 3.54% / 4.65% / 5.30% / 7.65% by estimated annual gross wages (see Publication 166) | Wisconsin Department of Revenue, Publication 166 (Withholding Tax Guide), January 2026, 'Supplemental Wage Payments — Approved Flat Percentages': the percentage is set by the employee's estimated annual gross salary. |
| West Virginia | No published supplemental rate — the state's regular method applies (declared, never an invented rate) | — | West Virginia Tax Division employer withholding instructions (IT-100 series): no current supplemental-wage rate schedule is published (the banded schedule in older secondary compilations tracks West Virginia's pre-2023 rates); the regular method applies. |
| Wyoming | No state income tax on wages | — | No state income tax on wages (state data file, has_wage_income_tax = false). |
Frequently asked questions
Is a bonus taxed at 22%?
22% is the federal WITHHOLDING rate employers may use on supplemental wages paid separately — it is not a special tax rate on bonuses. Your bonus is taxed as ordinary income on your annual return; if the withholding overshoots your real marginal rate, the difference is refunded.
Why is my bonus check smaller than I expected?
Three layers stack on a bonus: federal withholding (22% flat, or more under the aggregate method), FICA (7.65% until the Social Security cap), and your state's supplemental rate — 10.23% in California, 11.70% in New York. A $5,000 California bonus at the flat rate keeps about $3,000.
What is the aggregate method?
The bonus is added to your regular wages, Pub. 15-T withholding is figured on the total, and the withholding on the regular wages alone is subtracted. Reg. §31.3402(g)-1(a)(6) prescribes it when the bonus is paid together with regular wages or no tax was withheld from them.
Are bonuses subject to Social Security and Medicare?
Yes — supplemental wages are FICA wages like any others. Social Security (6.2%) stops at the $184,500 wage base for 2026, so a late-year bonus may owe little or no Social Security tax; Medicare (1.45%) has no cap, and the 0.9% Additional Medicare Tax withholding starts at $200,000 of wages in the year.
Do all states have a flat bonus tax rate?
No. Twenty states publish a supplemental rate, Wisconsin publishes a banded one, Vermont takes 30% of the federal withholding, New Jersey prescribes its regular formula without the W-4 exemption allowances, and the rest apply their regular method. The table on this page lists every state with its primary source.