Unless you are changing fields or you have not held a job for a long time, you can deduct the expenses of a job search as a miscellaneous itemized deduction. In negotiating salary and benefits with a prospective employer, it may help to know how various items will be taxed. Expect to pay income taxes on any signing bonus you receive in the year it's paid to you. Reimbursements for moving household goods and personal effects and traveling from your old residence to a new home are not taxable if you meet certain distance and time tests. And, if your employer sponsors a tax-favored retirement plan, contributions to the plan on your behalf won't be taxed to you until you receive a distribution from the plan.
Some retirement plans allow employees to contribute salary on a pretax basis.
Back to Top Receiving a plan distribution. When you leave an employer, you may become eligible to receive a distribution from the employer's retirement plan. Although the law gives you 60 days to accomplish a tax-free rollover, it's usually best to have a distribution directly transferred to an IRA or a new employer's plan so that the plan administrator won't be required to withhold federal income taxes. Back to Top Marriage or divorce. In fact, dual-income married couples often find themselves paying more tax when they file a joint return than they paid as two single individuals.