[pyro2927]

When I got hired to work at Wizards of the Coast (no longer there), the contract I signed said I would have to pay back my signing bonus if I left within one year, and 50% of my relocation package if I left before 2 years.

The one thing that often gets difficult with these things is that you get charged tax on the signing bonus (as additional income), but when you are required to pay it back you're expected to pay the full amount pre-tax.

[junar]

You can eventually get the taxes back, though it might take a while.

Your former employer should take care of the FICA part after you repay them. For federal income tax, you'll claim a tax credit when you file your return according to "Repayment over $3,000" under IRS Pub 525. State income tax may have a similar process, though it can vary depending on the state.

https://www.irs.gov/publications/p525#en_US_2022_publink1000...

[pyro2927]

Learned something new, thanks!

In my specific case they sent over an amount to repay that was higher than what I calculated from my original contract, I asked for an itemized breakdown (the original communication just had a single flat number), and I never heard from them again. It was probably more expensive for their lawyers to double check the numbers than the amount they would have received from me.