The Oklahoma bonus tax calculator at the top of this page helps employers quickly estimate employee take-home pay (also known as net pay) for bonuses. It uses the state’s highest applicable withholding rate for supplemental wages when appropriate.
Behind the numbers
Behind the numbers
Updated: July 11, 2025
Does Oklahoma tax bonuses?
Yes. Oklahoma treats bonuses as taxable income and includes them in its graduated income tax system. For supplemental wages such as bonuses or commissions that are paid separately from regular wages, employers can withhold at the top income tax rate of 4.75%, which has been in effect since January 1, 2022. Alternatively, employers may combine the bonus with the employee’s regular wages for the current pay period and calculate withholding using the standard tax tables.
Note: State lawmakers have legislation in the works that may reduce the top rate to 4.5% by 2026 — but no change is in effect yet.
How to calculate bonus tax in Oklahoma
Bonuses may be taxed using the 4.75% flat rate if paid separately, or by combining with regular wages and using the standard withholding tables.
How can employers in Oklahoma pay bonuses to employees?
Bonuses can be paid via:
- Check
- Direct deposit
- Pay card
How do bonuses work in Oklahoma?
Bonuses are included in gross income, subject to state withholding, and must be reported on the employee’s Form W-2.
Why are bonuses taxed differently than standard pay?
They aren’t necessarily — but Oklahoma allows employers to use the top rate of 4.75% for separately paid bonuses instead of the full wage calculation method.
How much tax is taken out of a bonus in Oklahoma?
- Federal: 22%
- State: 4.75%
- Combined: Up to 26.75%, before other deductions
More resources for Oklahoma employers
- Withholding tax for businesses
- Current withholding tables
- House Bill 2674 legislation (may affect supplemental/income tax rates by 2026)