How much will the net amount be?
My job is giving me a relocation stipend in the amount of $5,250. I've read online that. This is taxable income so how much if this will I actually receive?
- NALv 77 months ago
Trump did away with deducting moving expenses. You cannot deduct them unless you are active duty military.
Consequently, the stipend will be treated as ordinary income, subject to fica, medicare and income tax--like a bonus. The check when you get is likely to withhold at a 22% federal rate which may be too little.
- STEVEN FLv 77 months ago
Consult a tax professional. Relocation expenses may be deductible. I haven't checked in a few years, but you used to be able to offset the relocation stipend against actual moving expenses, even if you don't itemize deductions. If that is still true, your net amount could be the full stated amount.
- babyboomer1001Lv 77 months ago
It's "income", just like any other money you get from your employer. Whatever tax bracket you are in - that's what you can figure on deducting.