Sign on bonus question

Started by Recycled
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Recycled

Junior Member
15+ Year Member
I was just wondering if anyone knows this - if you take a sign on bonus for say, 10,000 and get 6,000 after taxes and then decide not to work for that company after you see what it's like (during the same fiscal year).. is there any way to recoup that 4,000 dollar tax loss? Thanks!
 
Recycled said:
I was just wondering if anyone knows this - if you take a sign on bonus for say, 10,000 and get 6,000 after taxes and then decide not to work for that company after you see what it's like (during the same fiscal year).. is there any way to recoup that 4,000 dollar tax loss? Thanks!
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why would you need to recoup the tax which didn't come out of your pocket?

If the employer makes you pay the money back, I would just pay $6000 back and let them worry about getting the $4000 from the IRS.
 
You would have to repay the entire bonus if you renig on the contract, including what was taken in taxes. The bonus that the offer really isn't a bonus, just a couple of early paychecks. I have a friend that is a nurse and one is an engineer who both got `real bonuses` and the taxes were paid by the employer. They got the whole dollar amount they were promised.
 
If you can get them to state in writing that you only have to pay back the actual amount you received, it won't be an issue. Just plan ahead a little.
 
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