Bonus / Supplemental wages
A $10,000 bonus on O-1 in New York nets you $5,865
Federal supplemental withholding (22%) plus FICA and New York supplemental withholding take $4,135 (41.35%) off the top of a $10,000 bonus check, leaving $5,865. Tax year 2026.
Withholding breakdown
| Bonus (gross) | $10,000 |
| Federal supplemental withholding | −$2,200 |
| Social Security (6.2%) | −$620 |
| Medicare (1.45%) | −$145 |
| New York state withholding | −$1,170 |
| Net bonus check | $5,865 |
- New York supplemental withholding rate (11.7% for bonuses paid separately from regular wages) per NYS-50-T-NYS 2026.
Other bonus amounts in New York
Frequently asked questions
Specific to this visa, state, and salary. Sourced to IRS, SSA, and state DOR.
How is bonus pay taxed for O-1 holders in New York?
Bonuses are "supplemental wages" under IRS Pub 15. The federal employer withholds a flat 22% on bonuses up to $1,000,000 cumulative per year (37% on the portion above that). FICA (Social Security 6.2% + Medicare 1.45%) applies to bonuses for O-1 holders. New York supplemental withholding is 11.70%.
Why is so much withheld from my bonus?
Bonus withholding is a flat rate, not your marginal rate — by IRS rule, employers withhold federal supplemental at 22% (or 37% above $1M cumulative) regardless of your bracket. That can over-withhold for low earners and under-withhold for very high earners. Your actual tax is reconciled when you file your 1040 in April: see our annual take-home pages for the marginal-rate view.
Will the bonus push me into a higher tax bracket?
No — only the dollars above a bracket are taxed at the higher rate, and bonus withholding is a flat rate independent of brackets. The bonus increases your total annual income, which can shift your marginal bracket, but not retroactively re-tax earlier income.
Can a O-1 holder claim a bonus refund at tax time?
Yes — if the 22% federal flat withholding exceeds your marginal effective rate, the excess is refunded when you file. The opposite (under-withholding) requires owing at filing.
Sources
- IRS Pub 15 — Supplemental Wages (opens in new tab) — Federal flat 22% / 37% supplemental withholding rule.
- IRS Pub 15-T (2026) (opens in new tab) — Methods of federal income tax withholding.
- New York supplemental withholding (opens in new tab)
- New York Department of Revenue (opens in new tab)