How to pay a bonus with the correct income tax withheld

Solution Properties

Solution ID:

220924350010408

Last Modified Date:

Tue Oct 06 00:45:14 UTC 2026

Taxonomy Path:

Category//Payroll and HR//Benefits

Author:

sageadmin

How to pay a bonus with the correct income tax withheld

Description

Cause

Resolution

CAUTION: Sage support can't assist with third-party products, hardware, report customizations, or state and federal tax questions. Refer to our Scope of Support for more info. Contact your Sage business partner, network administrator, or accountant for assistance. CAUTION: Sage support can't assist with third-party products, hardware, report customizations, or state and federal tax questions. Refer to our Scope of Support for more info. Contact your Sage business partner, network administrator, or accountant for assistance.

Pay the bonus in the regularly scheduled paycheques
Create and use a new income called Bonus. Follow How to create a bonus income in payroll

NOTE:

2020.0 and higher have added the option to include 27 and 53 pay periods in the employee record. The calculations will only be correct if the pay periods per year settings were correct for all paycheques starting Jan 1. See How to change the pay period number for an employee.

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