If an individual's monthly wage income is higher than or equal to the specified expense deduction, the taxable amount = one-time bonus obtained in the current month × applicable tax rate-quick deduction;

If an individual's salary income in the current month is lower than the specified expense deduction, the tax payable = (one-time bonus in the current month-the difference between salary income and expense deduction in the current month) × applicable tax rate-quick deduction.

How to calculate the final bonus?

The amount and form of the year-end bonus are generally adjusted by the enterprise according to the situation. A good year-end bonus method should have a good evaluation index, evaluation method, distribution rules and other corresponding systems. It can effectively motivate employees and increase enterprise cohesion.

There are usually three forms of payment for year-end awards. According to different payment forms, we can know how some year-end awards are calculated.

(A) Double pay system

"Double salary system at the end of the year" is one of the most common forms of year-end bonus. Most enterprises, especially foreign enterprises, prefer to adopt this method, that is, according to the average monthly income of employees, they will be paid for one month to several months at the end of the year.

1, 12+ 1 mode

12+ 1 method, that is, by the end of the year, the enterprise will give employees an extra month's salary. This kind is calculated by time. As long as you work for one year, you can get double salary. But this method is not commonly used in Hong Kong and Singapore.

2. 12+2 mode

When employees have served the company for one year, the company will pay an extra two months' salary as a reward. This is a very flexible approach, which is generally measured by the company's business indicators, customer indicators and personal indicators. The company's operating index is to achieve the best effect at the minimum cost and obtain the maximum profit. The customer index is scored by customer satisfaction, and the personal index is scored by the quality and quantity of work completed by individuals. Generally speaking, the company's business indicators account for 10-20%, the collective workload accounts for 30-40%, and the individual indicators account for 40-50% of the double salary.

The year-end bonus means that when you work hard to complete your work, give full play to the spirit of collective cooperation and achieve the company's business goals, you can finally get a double salary. This flexible method is very popular abroad. Fully mobilize the enthusiasm of employees, carry forward the spirit of teamwork and make contributions to the company.

(2) Performance bonus

This is a floating bonus. According to the individual's annual performance appraisal results and the company's performance, it reflects the difference in the proportion and amount of performance bonuses. Under normal circumstances, the payment rules are open, such as how many months of basic salary is equivalent to a certain level of personal performance and company performance (and the higher the level, the higher the proportion of bonuses in total income), but the performance appraisal results for each person are handled differently by enterprises, some of which are open to all employees and some are not open.

(3) Red envelopes

Generally, the boss has the final say, and there are no fixed rules. It may depend on the intimacy between the employee and the boss, the boss's impression, qualifications and contribution to the employee. Usually not public. Private enterprises are common. Most Asian businessmen use the second method, and some employees can also get red envelopes.

Legal basis:

Article 2 of the Notice of State Taxation Administration of The People's Republic of China Municipality on Adjusting the Method of Individual Income Tax on Individual Obtaining Annual One-time Bonus.

The one-time bonus received by taxpayers throughout the year shall be taxed as one month's wages and salaries respectively, and shall be withheld and remitted by withholding agents in accordance with the following taxation methods when paying:

(1) Divide the annual one-time bonus obtained by employees in the current month by 12 months, and determine the applicable tax rate and quick deduction according to their quotient.

If, in the month when the year-end one-time bonus is issued, the employee's wage income in that month is lower than the expense deduction stipulated in the tax law, the applicable tax rate and quick deduction of the annual one-time bonus shall be determined according to the above method.