Bonus Tax in Ohio (2026)

A bonus is supplemental pay, and it is usually withheld at a flat federal rate rather than your normal bracket. Employers apply 22% to supplemental wages up to a yearly threshold, and a higher rate on the part above it. FICA comes out on top, and then the Ohio state layer applies.

Ohio withholds supplemental wages (bonuses, commissions) at 2.75% on top of the federal 22% and FICA. Ohio supplemental withholding rate dropped to 2.75% on 1/1/2026 (OAC 5703-7-10 pins it to the highest ORC 5747.02 rate, now the flat 2.75%); previously 3.5%.

Ohio's municipal income tax applies to a bonus earned in the city, on top of the state rate.

Worked example: a $5,000 bonus in Ohio

Federal withholding (22%)$1,100
FICA (Social Security + Medicare)$383
Ohio withholding$138
Total withheld$1,621
You keep about$3,379

Assumes year-to-date wages under the $184,500 Social Security wage base. Withholding, not final tax — it reconciles on your return.

Bonus tax calculator (2026)

Federal withholding (flat 22%)$1,100
FICA (Social Security + Medicare)$383
Ohio withholding (2.75%)$138
You keep about$3,379

Assumes your year-to-date wages are under the $184,500 Social Security wage base. Withholding, not your final tax — it reconciles on your return.

See what your regular paycheck keeps in Ohio: Ohio paycheck calculator.

Frequently asked questions

Why is my bonus taxed so high?

What you see is withholding, not your final tax. Federal rules withhold supplemental pay like a bonus at a flat 22%, which is often more than your normal rate, so the bonus looks heavily taxed. It squares up when you file, where your real rate is applied to your total income.

Does Ohio have a flat bonus withholding rate?

It depends on the state. The breakdown above shows Ohio's supplemental rate if it has one, or notes when the aggregate method applies instead.

Federal: IRS 2026 brackets (Rev. Proc. 2025-32) · FICA: IRS Topic 751 · Wage base: SSA · Ohio: Ohio Department of Taxation. Rates current as of July 16, 2026. Annual-liability estimates, not payroll withholding — see methodology.