Ford workers to get record $8,800 profit share checks The IRS approves two different types of withholding on bonuses, according to Mark Luscombe, principal analyst for Wolters Kluwer Tax & Accounting. The adjustments are based on the Chained Consumer Price Index average each month from August 2021 to September 2022. For salaried GM employees, the federal taxes will be withheld on bonuses at the flat supplemental rate of 22%, Caldwell said. GM expects to incur additional charges with the Buick buyout program this year. Gross profit can be defined as the profit a company makes after deducting the variable costs directly associated with making and selling its products or providing its services. Here's how Ford performed during the third quarter, compared with analysts estimates as compiled by Refinitiv: The auto industry's earnings and forecasts are being closely watched by investors for any signs that consumer demand could be weakening amid rising interest rates and looming recession fears. About 56,000 Ford workers are represented by the UAW. Fourth-quarter net income rose to $12.3 billion from a $2.8 billion loss a year ago. . Under its contract with the UAW, workers will receive profit-sharing checks of $7,377 on average in the coming weeks. That year-ago figure was heavily affected by the initial waves of the coronavirus pandemic during the prior year, which included lockdowns and closed factories. Ford said it expected profit before certain expenses to increase 15 percent to 25 percent this year. Knowing that you're getting a sizable bonus early in the year can help you do some tax planning. Although official notification from Ford will not take place for several weeks, as a result of our collective bargaining agreement with the company, our members are expected to receive an average of $7,377 in profit sharing with variation based on hours worked over the course of the year. A Ford spokesman said checks would be issued on March 10. Were not going to chase top hats, were going to look at scale. Ford profit sharing 2022 payout date Ford shares dipped as much as 5% in after-hours trading on Thursday after the automaker's fourth-quarter income fell short of analysts' expectations and the company forecast a slower recovery in 2022 vehicle production than rival General Motors Co. (GM.N). We have a clear plan, a bias for action and a whatever-it-takes mindset.. At Stellantis, profit-sharing checks are subject to a flat 22% federal income tax withholding, plus withholding for normal state and local taxes, FICA or federal payroll taxes, deferred pay plan contributions and other legally required deductions, according to Stellantis spokeswoman Jodi Tinson. bert add special tokens. NISSAN: 2022 Pathfinder and 2022 Frontier, APCO HOLDINGS: Strategies for handling new F&I dynamics, APCO Holdings: Connected cars create new challenges and opportunities in F&I. What are the new 2023 tax brackets? Chrysler parent-Stellantis is expected to release its profit-sharing amounts on Feb. 23. Full-year net income of $17.9 billion included a gain on its investment in Rivian. This year, many people might not realize that the tax bite itself might be less painful when you receive a bonus or profit-sharing check, thanks to new, higher federal income tax brackets and a higher standard deduction for 2023. Whats different for tax year 2023 is when the money you make will be taxed at various rates. The 2023 tax brackets are already set into place and were announced by the Internal Revenue Service in October 2022. Their contributions to Ford Motor Companys profits under such conditions are to be commended and our members should be very proud of this great accomplishment," Browning said in a release. The automaker is predicting better results for the coming year, forecasting adjusted earnings before interest and taxes of $11.5 billion to $12.5 billion. 1300+8000=9300. Ford hourly workers' profit sharing checks: $3,625. Put another way, if you spent $1 in February 2021, you'd have to spend $1.13 in December 2022 to get the same item. In fact, a report late last year revealed that Rivian chief executive R.J. Scaringe met with General Motors chief executive Mary Barra and president Mark Reuss in 2018 who were keen to invest in the startup. Ford UAW Employees To Get About $7K Profit-Sharing Checks This Year This year's payout is to be distributed March 9 to eligible employees. Ford hopes to produce 60,000 or more Lighting pickups this year and 150,000 a year by 2024. The company's adjusted profit margin for the region was just 5%, down from 10.1% a year earlier. "I didnt think we were going to get one," Brad Crozier, 56, who works at Ford's Sterling Axle Plant, said of the smaller checks this year, "just because weve been off work for so long. And then more money is withheld upfront for Social Security, Medicare and other taxes, including state taxes, like income taxes in Michigan and other states. Yes, I'd like to receive email communications on editorial features, special offers, research and events and webinars from Automotive News. That single filer would pay $9,274 in federal income taxes in 2022 and $8,761 in federal taxes in 2023 on that same level of income and bonus. General Motors Co. booked$9.9 billion in net income last year, down from 2021's $10 billion despite chronic supply chain woes, rising interest rates and a slowing economy. More: GM's UAW workforce profit-sharing check will top $10,000, More: Judge OKs direct elections for UAW president, other top leaders. The Ford payout is close to the record of $9,300 for Ford profit-sharing checks issued in 2016, based on 2015 earnings. Read more onbusinessand sign up for ourbusiness newsletter. The North America performance was Fords best since 2017. Sunny. Ford said it has 275,000 orders for its electric F-150 Lightning, Transit vans and Mustang Mach-E utility vehicles, and expects to double electric vehicle production capacity to 600,000 vehicles a year by 2023. The industry leader for online information for tax, accounting and finance professionals. Higher rates apply as incomes go up. The sour response to Ford's results presents a challenge to Chief Executive Jim Farley, who is trying to accelerate the company's pivot toward electric vehicles. GM expects to achieve 30% to 50% of that $2 billion cost reduction this year, he said. Weather in Grenoble in September 2022 (Auvergne-Rhne-Alpes) - Detailed Share your thoughts about corporate.ford.com, Global Modern Slavery Statement (view PDF).