Settlement Pay=Taxes?

[theweaves_dad]

If my son gets an agreement done for a union grievance, how much will he have to pay in taxes? Is it better to get it taken off by the Employer so he knows right away how much he is getting? Or should he try and get the Amount with no deductions, put some of it into even a low value low risk investment from now to April, then claim it next year and have the nest egg put away to cover it?

He doesn't know what is going on, and it appears neither does the Union. He is quite disgusted with them as this has been going on for over two years. He thought he was getting money this week after he signed an agreement last year and they said they would hold it til March for him. When he called them, there is no cheque and no knows when it is coming!!

This has got real ugly now, and the worst part is, he worked his butt off gettingthis union into the workplace in the first place, now he being treated like this??? Disgusting.

[FallenPixels]

It would depend how much he has earned, the circumstances of the payout and how they code it

[theweaves_dad]

FallenPixels:Okay, you lost both of us with that reply! Can you elaborate a little bit please?