Bonus Tax Calculator 2026
See how much of your bonus is withheld at the 22% federal supplemental rate and your state's rate, what your bonus check comes to, and how that compares with the tax you will actually owe on it when you file.
Estimate for a bonus paid separately from regular wages, using IRS Publication 15 (2026) and state withholding rules where we have an official source. Your employer may use a different method. It is not tax advice.
Your bonus
Only matters above $1,000,000, where federal withholding jumps to 37%.
Your bonus check after withholding
$3,006.00
$1,994 withheld from a $5,000 bonus
- Federal income tax (22% flat)
- $1,100.00
- Social Security (6.2%)
- $310.00
- Medicare (1.45%)
- $72.50
- California bonus withholding (10.23%)
- $511.50
- Total withheld
- $1,994.00
Tax you will actually owe on this bonus
- Federal income tax (your 22% bracket)
- $1,100.00
- Social Security and Medicare
- $382.50
- California income tax
- $422.57
- Bonus you keep
- $3,094.93
About $89 of the withholding should come back as a refund when you file.
What is the bonus tax rate in 2026?
The IRS treats a bonus as supplemental wages. When your employer pays it separately from regular pay, federal income tax is usually withheld at a flat 22%. Once your bonuses and other supplemental wages for the calendar year pass $1,000,000, the excess must be withheld at 37%, whatever your Form W-4 says.
Social Security (6.2% up to the $184,500 wage base) and Medicare (1.45%) apply on top, so the federal share of a typical bonus check is about 29.65%. Most states then take their own cut, either at a special supplemental rate or through their regular withholding tables.
Why a bonus looks overtaxed, and when you get it back
The 22% rate is withholding, not a separate tax. On your return the bonus is simply added to your wages and taxed at your normal brackets. If your top bracket is 10% or 12%, the flat rate over-withholds and the difference comes back in your refund. If you are in the 24% bracket or higher, the flat rate under-withholds and you may owe a little at tax time.
| Your federal bracket | Withheld per $1,000 | Tax owed per $1,000 | At filing |
|---|---|---|---|
| 10% | $220 | $100 | $120 back |
| 12% | $220 | $120 | $100 back |
| 22% | $220 | $220 | Even |
| 24% | $220 | $240 | $20 owed |
| 32% | $220 | $320 | $100 owed |
| 35% | $220 | $350 | $130 owed |
| 37% | $220 | $370 | $150 owed |
Federal income tax only, for bonuses under $1,000,000 a year that stay within one bracket.
Worked example: a $5,000 bonus on a $60,000 salary
- The bonus check has $1,100 of federal withholding, $310 of Social Security and $73 of Medicare taken out, leaving $3,518 in Texas, which has no state income tax.
- On the return, the bonus raises taxable income for a single filer, and the extra federal tax is $600, because this salary sits in the 12% bracket.
- So about $500 of the withholding comes back as a refund, and the bonus kept is $4,018.
Percentage method vs. aggregate method
Publication 15 gives employers two ways to withhold on a bonus paid separately. With the percentage method they take a flat 22%. With the aggregate method they add the bonus to your regular pay for the period, figure withholding on the total from the normal tables, and subtract what was already withheld from the regular pay.
The IRS example: an employee paid $2,000 a month, with $65 withheld, receives a $1,000 bonus. The aggregate method withholds $114 from the bonus; the flat rate withholds $220. Either way, the final tax on the bonus is settled on the return. If your employer pays the bonus in the same check as regular wages without separating the two, the whole check is withheld as ordinary pay, which can look high because the tables treat that pay period as if it were your normal pay for the whole year.
State bonus tax rates for 2026
State withholding on a separately paid bonus, from each state's official 2026 withholding instructions. States not listed have no state income tax or no special bonus rate we could confirm; for those, the calculator estimates state tax from the 2026 brackets.
| State | Bonus withholding | Rule |
|---|---|---|
| Alabama | 5% | Employers may use 5% on bonuses and other supplemental wages. |
| Arkansas | 3.9% | 3.9% of a bonus or commission paid with regular wages. |
| California | 10.23% | 10.23% for bonuses and stock options paid separately; 6.6% for other supplemental wages. |
| Connecticut | Regular tables | No flat rate: tax is figured on the bonus plus regular wages, minus tax already withheld. |
| Delaware | Regular tables | No flat rate: annualize regular wages, add the bonus and withhold the difference in tax. |
| Georgia | 4.99% | 4.99% for bonuses paid from May 11, 2026; 5.19% before that date. |
| Hawaii | Regular tables | No flat rate: the bonus is added to regular wages for the period. |
| Idaho | 5.3% | 5.3% on a separately issued supplemental payment. |
| Illinois | 4.95% | 4.95% on all wages, bonuses included. |
| Indiana | 2.95% | 2.95% state with no exemptions for a one-time bonus, plus your county rate. |
| Iowa | 3.8% | 3.8% when federal tax is withheld at the flat rate. |
| Maine | 5% | Employers may use 5% when the bonus is paid separately. |
| Maryland | 6.5% | Lump-sum annual bonus: the top state rate, 6.5%, plus your county's rate. |
| Massachusetts | 5% | 5%; 9% on the part of annualized wages above $1,107,750. |
| Michigan | 4.25% | 4.25% on bonuses paid separately from regular payroll. |
| Minnesota | 6.25% | 6.25% on supplemental payments made separately from regular wages. |
| Mississippi | Regular tables | No flat rate: the bonus is combined with regular wages. |
| Missouri | 4.7% | Employers may use 4.7% when the bonus is paid separately. |
| Montana | 5% | Employers may use 5% when the bonus is paid separately. |
| Nebraska | 3.5% | Employers may use 3.5% when the bonus is paid separately. |
| New Mexico | 5.9% | 5.9% when federal tax on the bonus is withheld at a flat rate. |
| New York | 11.7% | 11.70% New York State rate when paid separately; New York City residents add 4.25%. |
| North Carolina | 4.09% | Employers may use 4.09% when the bonus is paid separately. |
| North Dakota | 1.5% | Employers may use 1.5% when the bonus is paid separately. |
| Oklahoma | 4.5% | The highest 2026 rate, 4.5%, when the bonus is paid separately. |
| Oregon | 8% | Employers may use 8% when the bonus is paid on a different day from regular pay. |
| Pennsylvania | 3.07% | 3.07% on all compensation, bonuses included. |
| Rhode Island | 5.99% | Supplemental withholding rate of 5.99%. |
| Virginia | 5.75% | Employers may use 5.75% when the bonus is paid separately. |
| Wisconsin | 3.54% – 7.65% | Optional flat rate by annual salary: 3.54%, 4.65%, 5.30% or 7.65%. |
Sources and limitations
Federal rules come from IRS Publication 15 (2026), section 7, Supplemental Wages. State rates link to their official sources in the table above. The "actual tax" figures compare 2026 tax on your salary with and without the bonus using the brackets and standard deductions on our methodology page, including the default county in states where we model local income tax. Pre-tax deductions, credits and other income are not included.
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Frequently asked questions
Are bonuses taxed at 22% in 2026?
Federal income tax withholding on a bonus paid separately from your regular wages is usually a flat 22%, and 37% on bonuses and other supplemental wages above $1,000,000 for the year. That is withholding, not your final tax: the bonus is added to your income and taxed at your normal brackets when you file.
Why was so much tax taken out of my bonus?
A bonus check has federal withholding of 22%, Social Security of 6.2% and Medicare of 1.45%, plus state tax in most states, so about 30% or more can come out before you see it. If your federal bracket is 10% or 12%, part of the 22% comes back as a refund when you file.
Do bonuses have a different tax rate than salary?
No. Bonuses are wages, and on your tax return they are taxed exactly like salary. Only the withholding method differs: employers may use a flat supplemental rate for the bonus instead of the regular withholding tables.
Is Social Security taken out of a bonus?
Yes. Bonuses are subject to Social Security (6.2%) until your wages for the year reach the $184,500 wage base, and to Medicare (1.45%) with no limit. Employers also withhold an extra 0.9% Additional Medicare Tax on wages above $200,000 in a calendar year.
Can I lower the tax on my bonus?
If your employer's 401(k) plan lets you contribute from a bonus, the elective deferral is generally not subject to federal income tax withholding, within the annual limit, though Social Security and Medicare still apply. Otherwise the tax itself does not change; only the timing of withholding versus your refund does.