Supplemental Unemployment Benefits (SUB) are payments received by terminated employees from an employer-financed fund that are distinguishable from standard unemployment compensation.
Supplemental wages include bonuses, commissions, overtime pay, and certain [SICK PAY]. An employer can withhold income tax at a flat 25% rate or use the same method as for regular wages.
A Tax and Loan Account is a specialized account held in a private-sector depository institution, managed by the district Federal Reserve Bank as the fiscal agent for the U.S. Treasury, primarily serving as a repository for the operating cash of the U.S. government.
