Patch for Ohio Withholding Rate Change for Bonuses/Supplemental Compensation Effective 01/01/2026?
Will Oracle PeopleSoft be delivering this change for Ohio soon?
Ohio Withholding Rate Change for Bonuses/Supplemental CompensationEffective January 1, 2026, the Ohio withholding rate on bonus income and supplemental compensation income will decrease from 3.5% to 2.75%. This brings the Ohio withholding rate in line with Ohio’s income tax rate for 2026 and forward.
For more details, visit our employer withholding resources page or review Ohio Administrative Rule 5703-7-10.
I did not see this included in the too late for delivery for Tax Update 25-D.
Thanks,
Steve