Bonuses in Florida are taxed only by the federal government. Florida has no personal state income tax, so nothing comes off your bonus at the state level. Your employer withholds a flat 22% for federal income tax on most bonus payments, plus 6.2% for Social Security and 1.45% for Medicare. That 22% is an estimate, not your final tax, and many Florida workers get part of it back when they file.
Why Florida Takes Nothing
Florida is one of the few states with no personal income tax. The state tax code says it is “not intended to tax, and shall not be construed so as to tax, any natural person,” and Article VII, Section 5 of the Florida Constitution bars any income tax on residents and citizens.1Online Sunshine. Florida Statutes Title XIV Chapter 220 Whatever your bonus looks like on paper, the only deductions on the check will be federal.
The Federal 22% Withholding
The IRS treats bonuses as “supplemental wages,” a category that also covers commissions, overtime, and back pay.2eCFR. 26 CFR 31.3402(g)-1 – Supplemental Wage Payments When your employer pays a bonus separately from your regular check, federal rules generally require flat 22% withholding for income tax on the whole amount. That flat rate applies as long as your total supplemental wages for the year stay under $1 million; anything above $1 million is withheld at 37%.3Internal Revenue Service. Employer’s Tax Guide
The 22% ignores your filing status, dependents, and W-4 elections. On a $5,000 bonus, $1,100 goes to federal income tax withholding before you see the money. Your regular paycheck runs through graduated brackets and your W-4, which usually produces a lower effective rate, so the lump-sum hit on a bonus can look worse than it really is.
Some employers instead combine your bonus with your regular paycheck and calculate withholding on the total as if it were ordinary wages. That aggregate method can pull more or less than 22%, depending on how the combined amount lands in the brackets for that pay period. The employer chooses which method to use.
Social Security and Medicare on the Bonus
Two payroll taxes come out on top of income tax withholding:
- Social Security tax at 6.2%, applied to wages and bonuses up to the annual wage base. For 2026, only the first $184,500 in combined wages is subject to this tax. If your salary has already passed that threshold, no additional Social Security tax comes out of the bonus.4Social Security Administration. Contribution and Benefit Base
- Medicare tax at 1.45%, applied to every dollar with no cap.
Combined, FICA is 7.65% of most bonuses, or 1.45% alone if you’ve already maxed out the Social Security wage base.
The 0.9% Medicare Surtax for Higher Earners
A bonus that pushes your annual wages past certain thresholds triggers an extra 0.9% Additional Medicare Tax on the wages above the threshold. Thresholds are $200,000 for single or head of household, $250,000 for married filing jointly, and $125,000 for married filing separately.5Internal Revenue Service. Questions and Answers for the Additional Medicare Tax
Your employer must start withholding the 0.9% once your cumulative wages for the year cross $200,000, regardless of your actual filing status. If you’re married filing jointly and your own wages never reach $250,000, that early withholding comes back on your return. If you’re married filing separately with a $125,000 threshold, employer withholding starts too late and you’ll owe the difference in April.
What You Actually Owe vs. What Was Withheld
The 22% is an estimate. Your real federal tax on the bonus depends on your total taxable income for the year, which runs through graduated brackets. For 2026, the brackets for single filers are:6Internal Revenue Service. IRS Releases Tax Inflation Adjustments for Tax Year 2026
- 10% up to $12,400
- 12% from $12,401 to $50,400
- 22% from $50,401 to $105,700
- 24% from $105,701 to $256,225
- 32% from $256,226 to $640,600
- 35% above $640,600, with 37% applying at the top
For married couples filing jointly, each threshold roughly doubles; the 22% bracket, for example, spans $100,801 to $211,400.
If your total taxable income leaves you in the 12% bracket, the 22% withheld on the bonus was almost double what you actually owed, and the difference comes back as a refund. If your total income lands you in the 32% or 35% bracket, 22% was too low and you’ll owe more in April. Workers with total income roughly between $50,000 and $105,000 land in the 22% bracket, where the withholding rate happens to match the marginal rate fairly closely.
Reducing the Tax on Your Bonus
Route It Into a 401(k)
If your employer’s plan allows a separate deferral election on bonus checks, directing part or all of the bonus into a traditional 401(k) cuts your taxable income for the year. For 2026, the total 401(k) deferral limit is $24,500, with an $8,000 catch-up for workers 50 and older, and up to $11,250 for those 60 to 63.7Internal Revenue Service. 401(k) Limit Increases to $24,500 for 2026, IRA Limit Increases to $7,500 Check with HR before the bonus is processed, because not every plan permits a separate bonus deferral. Social Security and Medicare taxes still apply to the bonus amount even when it’s deferred into the 401(k).
Adjust Your W-4
If the flat 22% is going to leave you overwithheld for the year, you can file an updated Form W-4 with your employer to trim withholding on the remaining paychecks. That spreads what would have been a refund across the rest of the year. The IRS Tax Withholding Estimator at irs.gov walks you through the calculation and produces a pre-filled W-4.8Internal Revenue Service. Tax Withholding Estimator Be conservative; cutting withholding too far can leave you with a balance due and a possible underpayment penalty.
Non-Cash Bonuses Still Count
Gift cards, electronics, vacation packages, and event tickets given as rewards are treated as taxable compensation at fair market value. Cash and gift cards are always taxable, regardless of amount.9Internal Revenue Service. De Minimis Fringe Benefits A narrow de minimis exception covers small, infrequent items like holiday flowers or a company t-shirt, but the IRS has indicated that items worth more than $100 generally can’t qualify, and when the value exceeds the line the entire amount is taxable, not just the portion above $100. A $500 smartwatch handed out as a performance bonus lands on your W-2 as $500 in additional compensation.
Watch for Credit Phaseouts and the Investment Surtax
A large bonus lifts your adjusted gross income, and that can knock you out of income-tested credits. The Earned Income Tax Credit is the common one; for 2025, a single filer with one child loses eligibility once income passes roughly $50,400, and the thresholds move only slightly each year.10Internal Revenue Service. Earned Income and Earned Income Tax Credit (EITC) Tables
Higher earners with investment income face a separate risk. The 3.8% Net Investment Income Tax applies when modified adjusted gross income exceeds $200,000 (single) or $250,000 (married filing jointly). Wages don’t trigger the surtax directly, but a bonus that lifts your total income across those thresholds can pull your existing dividends, interest, and gains into the tax for the first time.11Internal Revenue Service. Questions and Answers on the Net Investment Income Tax
A Quick Example
You’re a single Florida worker earning $70,000 in salary, and you receive a $10,000 bonus paid separately. The bonus check shows:
- Federal income tax withholding: $2,200 (flat 22%)
- Social Security tax: $620 (6.2%)
- Medicare tax: $145 (1.45%)
- Florida state income tax: $0
Net deposit is about $7,035. At tax time, your $80,000 total for the year sits inside the 22% federal bracket for 2026, so the flat withholding lined up reasonably well with your marginal rate. Shift the numbers to a $45,000 salary and a $5,000 bonus and you’re firmly in the 12% bracket, which means a meaningful piece of that 22% withholding comes back as a refund.