Question:

Percentage of tax taken out for regular vs overtime pay?

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is the same percentage of taxes taken out of overtime pay the same as the percentage taken out for regular pay?

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  1. If you make a lot more that pay period, a higher % might be withheld.  But at the end of the year, the straight time and overtime pay are added together and taxes are calculated at the same rate no matter which it is, so if more was withheld than you owe, it will be refunded to you.


  2. It depends on whether the overtime throws you into a higher estimated tax bracket.  You will get it back after you file in most cases, but I have found when working overtime, most goes to taxes.

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