Example 1: 123 Inc - Payroll University
GROSSING UP BONUS CHECKS - 2013. Many Employers want to give their employees “net bonuses” for a set amount. In order to accomplish this, you will need to “gross up” or increase the net by the amount of taxes that need to be withheld. Bonuses are subject to all taxes, but many employers do not want to withhold FWT or SWT taxes. ................
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