Will I need to pay taxes on my bonus at the end of the year?

How taxes are managed for Keep Bonuses

Based on your income and tax elections, your employer will calculate what your likely taxes will be at each vesting milestone. You will receive the gross amount of your bonus minus this amount.

When any part of your bonus vests, that part is then considered income. At those times, your employer will create an entry in your paystub and pay the corresponding portion of taxes to the appropriate parties.

 As you probably know, your tax position may change over time (e.g. you get married, you start earning more, or tax laws change).  If this happens between the date you receive your Keep funds and the date you vest, the amount withheld by your employer might exceed or fall short of what is due.  In this event, your employer will pay you a stub amount in the event that they withheld too much or you may owe more taxes in the event too little was withheld. 



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