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RD, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 8784
Experience:  CPA, MBA, Over 10 yrs of experience in tax planning and business consulting..
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Accountant/Payroll vs. Bonus Florida Corp C I did not take

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Accountant/Payroll vs. Bonus Florida Corp C
I did not take salary for the years of 2007 and 2008
I have decided to just close my company
I started to pay myself in 2009 $3,000 bi-weekly, single claiming 1
How much am I taxed on a bonus of this size?
Would it be more feasible to take a bonus of $26,000 or just remove it from salary owed.
Payroll Taxes for Each $3,000 Bi-weekly check is as follows:
Federal $537.12
SS $186.00
Med $43.50
Total $766.62
Submitted: 8 years ago.
Category: Tax
Expert:  RD replied 8 years ago.
Your payroll- whether you take it as bonus or wages- will be taxed based on your total income, the other itemized deductions, filing status and personal exemption claimed.

Since you should normally take a reasonable compensation from the corporation, it is advisable to take such amount as compensation even if you plan to close the corporation for the year.

RD and other Tax Specialists are ready to help you