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Bonus Calculator
See how much of your work bonus you actually keep after federal, state and FICA withholding. Enter your bonus and rates, then press Calculate.
Written by TopicDrill Editorial Team·Updated June 2026
Where your bonus goes
Net bonus 65.3%Federal tax 22.0%State tax 5.0%Social Security 6.2%Medicare 1.5%
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How the bonus calculator works
A bonus is treated as supplemental wages, which employers usually tax using a flat method. Federal tax is withheld at 22% on bonuses up to one million dollars, then state income tax and FICA are taken on top. This tool applies those layers so you can see your net amount before it hits your account.
Remember that withholding is an estimate, not your final tax bill. If your actual tax rate for the year ends up lower than the amount withheld, the extra comes back as a refund when you file.
A quick example
On a $5,000 bonus with 22% federal, 5% state and FICA, withholding is about $1,100 federal, $250 state, $310 Social Security and $72.50 Medicare. That leaves roughly $3,267.50 in take-home pay, an effective rate near 34.7%.
Things to keep in mind
Some employers instead use the aggregate method, which lumps the bonus with your regular pay and can withhold more. Rates vary by state, and a few states have no income tax. For official rules on supplemental wages, see the IRS. Explore more with our other free calculators.
Frequently asked questions
How is tax on a bonus calculated?
Most employers use the IRS flat supplemental wage method, withholding federal tax at a flat 22% on bonuses up to one million dollars. State tax and FICA (Social Security and Medicare) are then withheld on top. This calculator follows that flat method.
Why does my bonus feel so heavily taxed?
Withholding is not the same as your final tax. The flat 22% federal rate plus state and FICA can take a big bite up front, but if your real tax rate is lower, you get the difference back as a refund when you file your return.
What is the 22% bonus rate?
For supplemental wages such as bonuses up to one million dollars in a year, the IRS sets a flat federal withholding rate of 22%. Amounts above one million dollars are withheld at 37%. You can adjust the federal rate in the calculator if your situation differs.
Does FICA apply to bonuses?
Yes. Bonuses are wages, so Social Security at 6.2% and Medicare at 1.45% normally apply, just like on a regular paycheck. You can turn FICA off in the calculator to see only income tax withholding.
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