Bonus income combined with regular income on my W-2, but when I was paid it was paid to me in separate checks.

Forum|Forum|1 year ago
February 3, 2025
1 reply
4 views

And, IRS told me on the lines to report the bonus income on Schedule 1, they said on the lines that the employer doesn't separate the money from the regular pay, but that I had to separate it on my tax return(s) if I understood correctly. The bonus money my past employer paid me, that was included in Box 1 etc. on my W-2, but when they paid it out it was on separate checks, how can I report that income? Do I just leave it the way it is on the W-2 with the regular wages, or do I need to separate the amount for the Bonus money and report it in a separate section of my tax return so that it will charge me the correct tax percentage if that applies? (I read about bonus' being taxed at a percentage of 22% versus regular pay at a different percentage rate, if your employer paid you a separate check or and however for the bonus. The employer did put it on a separate check and paid it separately whenever they did, but on the W-2 they combined it into one lump sum of money at least in Box 1 etc.)

Mike9241

Level 15

that IRS agent does know grass from a tree if that is what you were told. if they were included in box 1 there is no separate reporting.

Mike9241

Vanessa A

Level 15

Yes, you will leave the bonus on your W-2 the way it is with your regular wages.

Bonus money is included in Box 1 of your W-2. It is taxed and treated the same as your regular wages.

When it is paid in separate checks, the taxes withheld can be different than your regular income wages, WHEN it is withheld. This is because that bonus is treated as supplemental income instead of just your regular every day pay and it may boost your tax bracket depending on the amount. However, when it comes time to file your taxes it is lumped in with all your other wages and treated the same.

How Bonuses Are Taxed

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fellynbalAuthor

Level 4

The Bonus' were paid in separate checks, that was my bonus income for Perfect Attendance, even for not taking Heathcare Insurance they paid me Bonus' for that, and also after I started as a Full time employee they gave me a sign on bonus in Increments and that was also in separate paychecks than my other income. So, what should I do lawfully to be right? I did calculations for some of my bonus' and on my paystubs they were NOT taxed at the 22% rate, at least some if not all were not even taxed enough for the lower rates, but if I'm not mistaken the employer does pay part of the taxes, so maybe they paid the other portion but did not report it on my checks nor W-2. It is the Federal, not the Social Security and the Medicare, that may be subject to the Supplemental tax difference, am I correct?

When reporting on the tax return the Miscellaneous income, regardless to what kind of income you put there, will the software calculate the 22% for me if need be or and whatever the items tax rate may should be, or and will it calculate at another tax rate or so?