Taxable Wages Definition
Taxable wages are the gross wages that the government can tax.
Taxable Wages Extended Definition
Taxable wages include hourly wages, salaries, bonuses, commissions, and other forms of compensation. The government assesses each tax amount according to the employee’s total earnings. The government also considers the number of dependents claimed by the employee. Employee wages can be taxed up to a maximum amount.
Last Updated By
Jenna Hutkowski | May 01, 2023