Posted on Nov 13, 2015
Does anyone know how much taxes are withheld from an SRB?
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I live in Texas so I know there are no state taxes being taken out. I have one exemption I claim on my w4.
Has anyone received an SRB? How much did they withhold? I'm trying to plan if I need to set aside some of the funds for tax time this year.
Has anyone received an SRB? How much did they withhold? I'm trying to plan if I need to set aside some of the funds for tax time this year.
Retention
Military Pay
Taxes
Airmen
Posted 10 y ago
Responses: 8
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28% was withheld from my SRB. Things have changed over the last 25 years so I recommend asking your finance rep or the career counselor/retention NCO. I think you are safe with a 28% figure though.
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Yep TSgt (Join to see), if there is a deployment in your future, wait until then. Some locations can't initiate, only process the paperwork, so you might need to start it at home station.
Either way you should be alright for taxes. They used to take the taxes out right away. I doubt that has changed.
Either way you should be alright for taxes. They used to take the taxes out right away. I doubt that has changed.
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Everyone is correct with 28%. That's what was held out of mine too. Try to reenlist overseas in a Tax Free zone. You picked an awesome time. I re-upped several years ago so I had a Christmas Bonus every year. Also, the USAF has a $200K total on ALL re-enlistments throughout your career.
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TSgt (Join to see)
Well I reenlist Monday, but 28% is better than the 30% I was thinking it would be! I do like that it is by Christmas, hopefully I'll have the money before Christmas!
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28% up front as posted for federal taxes. Not likely you'd wind up paying more than that at the end of the year.
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TSgt (Join to see)
Awesome. The kid at finance said 25% but I'm counting on 28%. Finance has the reputation of telling me the wrong things
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Does anyone know if the 28% covers fica and social security taxes. I asked the person at finance today and he said he had no clue, he's been there a month and hasn't had an SRB come in the door yet.
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Too long ago since I had one, but the 28% figure sounds correct.
The IRS wants to make sure that you have the funds (withdrawn) for whatever tax bracket that the bonus has pushed you into. (No one pays 38%, almost everyone pays around 17%, so 28% is a hedge to make sure you can't claim indigent status)
The IRS wants to make sure that you have the funds (withdrawn) for whatever tax bracket that the bonus has pushed you into. (No one pays 38%, almost everyone pays around 17%, so 28% is a hedge to make sure you can't claim indigent status)
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