you made $45k for IRS purposes, but your yearly salary will still be 40k (that $5k is not an addition to your wage)
Depends on the company paying you the bonus. For most, it is a one time event based upon the earnings of the company and the value of your contribution in earning that bonus. Companies that pay bonuses usually make that determination annually. Other companies call it as a bonus but it is actually deferred compensation. (Think about how companies used to pay Christmas bonuses. - they were usually a defined amount that you could count on each year. ) Either way, enjoy receiving it.
Companies that pay bonuses usually make that determination annually. Other companies call it as a bonus but it is actually deferred compensation. (Think about how companies used to pay Christmas bonuses.
Lets say you make 40,000 a year, and you get a bonus for 5,000. Do you now make 45,000 a year, or is a bonus a 1 time thing.
