It takes the taxman to really kick someone when they're down

[BlinkingDuck]

@villa

I know it is cold comfort now, but you do get the “extra” tax back when you file, don’t you? In other words, it is a higher level of withholding rather than a higher actual rate on the severance package - I seem to remember that is how it worked on my bonus checks in the past.

True.

I imagine the IRS is doing this because if they don’t…the poor bastard that is layed off and can’t find a job may not be able to pay all his taxes when tax time comes…so they want to grab the money when they can.

Poor bastard

Want something to really chap your hide? Unemployment checks are taxed…and since you have been making income in the year it is likely taxed at or near the rate you used to be making.

Put that in your pipe and smoke it.