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Are sign-on bonuses usually taxed more?

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my husband got a $1500 sign on bonus and $500 of it went to taxes

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  1. They're not taxed at a higher rate but they will often put you into a higher tax bracket.


  2. They are taxed the same but there is higher withholding at the start.

  3. The tax withholding is higher.  However, you will get most of that back when you file your taxes.
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