On Bonus Checks Are Taxes Taken Out as in Regular Payroll?

by Irma
(Texas)

When giving bonus checks, do you do as you do regular payroll? Do you take out taxes or just write check in bonus amount?

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Subtract Taxes For Bonus Checks
by: Best Business Payroll

Yes, you should subtract taxes just as you do for regular paychecks. Your employees will owe taxes on the bonus money paid, and if you do not take the taxes out now, they may be unpleasantly surprised at tax time that they owe extra money. Your employees will thank you for saving them that headache (and wallet ache, too).

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