wayneallenfunk
Junior Member
What is the name of your state?NC
I was terminated on 4/27 and my vacation payout was deposited into my account last night. The amount was a lot less than I thought it should have been. When I contacted the payroll department they informed me that vacation payouts are subject to the federal supplemental tax of 25%. When all other vacation time is used it was taxed like regular pay. Can they tax it this way? Any thoughts?
I was terminated on 4/27 and my vacation payout was deposited into my account last night. The amount was a lot less than I thought it should have been. When I contacted the payroll department they informed me that vacation payouts are subject to the federal supplemental tax of 25%. When all other vacation time is used it was taxed like regular pay. Can they tax it this way? Any thoughts?