Let me address this statement: "I know that the bonus amount and the employees share of taxes are a liability on the balance sheet."

The Bonus amount already includes the employees' share of taxes. There is no separate amount for this; that's where it comes from. A Governmental Entity would accrue a Bonus as gross expense at year end, but then Reverse it for Jan, then pay it out as Expense in Jan. This avoids taking it as expense twice. You need to understand the accounting requirements for the entity you are managing, of course.