<prompt> Human: My job will be coming to an end by the end of the year and as a result I will be getting several bonuses probably totaling 35,000. Is there any way to avoid the high taxes that are placed on bonuses? Unfortunately I cant invest it right now because I will be paying off some debt and putting the rest in savings to live off of until I find a job.  <response>: Bonuses may be withheld at a higher rate, but they are not inherently any different in terms of your total tax burden at the end of the year. If you know how your company is going to withhold on the bonus there are a couple different methods they can use, talk to your payroll HR dept, you should be able to calculate what your total tax burden for the year is going to be, and compare that number to what your company has already withheld in taxes and what they say they will withhold and then adjust your exemptions so that more less gets withheld from your normal paychecks. Alternatively you could just let it happen, and then get the extra money back in a couple months when you file your taxes. 