How Illinois taxes bonuses
Illinois withholds a flat 4.95% state income tax on bonuses, on top of the federal 22%. Illinois has no separate bonus rule. Its flat 4.95% applies.
Federal withholding is the same in every state. Most employers take a flat 22% of the bonus (37% on supplemental pay over $1,000,000 in a year). Social Security takes 6.2% up to the yearly wage base and Medicare 1.45%. If your employer adds the bonus to a regular $2,500 paycheck instead, the aggregate method withholds about $1,150.54 of federal tax on a $5,000 bonus, against $1,100.00 with the flat rate.
Take-home pay on a bonus in Illinois
What is withheld from bonuses of different sizes, with the federal flat rate, for a single filer who has not yet reached the Social Security wage base this year.
| Bonus | Federal income tax | Social Security and Medicare | Illinois taxes | Take-home bonus | You keep |
|---|---|---|---|---|---|
| $1,000 | $220.00 | $76.50 | $49.50 | $654.00 | 65.4% |
| $2,500 | $550.00 | $191.25 | $123.75 | $1,635.00 | 65.4% |
| $5,000 | $1,100.00 | $382.50 | $247.50 | $3,270.00 | 65.4% |
| $10,000 | $2,200.00 | $765.00 | $495.00 | $6,540.00 | 65.4% |
| $25,000 | $5,500.00 | $1,912.50 | $1,237.50 | $16,350.00 | 65.4% |
| $50,000 | $11,000.00 | $3,825.00 | $2,475.00 | $32,700.00 | 65.4% |
Illinois bonus taxes compared with nearby states
The same $5,000 bonus, flat federal rate, in each state that borders Illinois. Of these, Indiana leaves the most of the bonus in your pocket.
| State | State bonus withholding | State taxes on the bonus | Take-home bonus |
|---|---|---|---|
| Illinois | 4.95% flat | $247.50 | $3,270.00 |
| Indiana bonus tax calculator | 2.95% flat | $147.50 | $3,370.00 |
| Iowa bonus tax calculator | 3.8% flat | $190.00 | $3,327.50 |
| Kentucky bonus tax calculator | 3.5% flat | $175.00 | $3,342.50 |
| Missouri bonus tax calculator | 4.7% flat | $235.00 | $3,282.50 |
| Wisconsin bonus tax calculator | Regular tables | $267.11 | $3,250.39 |
More Illinois pay calculators
For your regular take-home pay, use the Illinois paycheck calculator. To see a bonus next to your regular paycheck, try the bonus paycheck calculator. Employers paying a bonus can use the bonus payroll calculator or the Illinois payroll calculator. The bonus tax calculator page compares every state.
Sources
Federal figures follow IRS Publication 15. Illinois bonus withholding comes from the state's own guidance: tax.illinois.gov. See how we calculate for the withholding method.