How do you tax federal workers? They don’t pay taxes. They just have misleading paychecks and overly complicated means of receiving their salary.
First of all, when I filed my taxes I used the same forms everyone else did and paid the same rates. I paid Social Security too. And, I always bought a savings bond and passed on a donation to a charity of my choice.
There is no special lower rate for federal employees. Even your bonuses, if you get bonuses, are taxed, but they are not eligible for inclusion in any computation related to a retirement plan ~ which means you can't even make a 401(K) (called Thrift Savings Plan in the feds) contribution from your own paycheck based on the part that's a bonus.
Regarding sitting down with your boss and colluding with him to obscure the way you get paid and thereby fool the IRS, get serious folks ~ IRS has ALL THE RECORDS on the other federal employees and they make sure they get their pound of flesh.
I am among the lucky elect who got to audit the IRS for proper payment of postage. Boy did they screw up, and did so for years. I could hardly contain myself when I found the errors in their payments ~ jumping up and down in my waffle bottom seat, knocking over my coffee break cups, tossing pens and paperclips left and right ~ WAHOO!!!!!!