For those that received severance in the past, how much was taxed? Trying to figure out how much I’ll receive after all is said and done.
I’ve heard it’s 40% of severance amount?
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It’s taxed as regular income. And since that’s a lot of income for a pay period, it’s a lot of withholding. At tax time, it’s just added to your income for the year. I got quite a bit of it back.
Mine was 40% even. It's withholding so you'll get back over your tax amount obviously.
44%?!?! That seems ridiculous.
I had 44% taken from severance last year.
A simple google search would be easier than posting here. D-mb question.
There are two questions here.
Are you asking how much tax you will have to pay at the end of the year that will be attributed to severance?
Or are you asking how much money will be withheld from your severance to help you pay taxes at the end of the year?
It’s regular income.