Paycheck Calculator
Estimate your take-home pay after federal taxes and deductions.
Pre-tax percentage of gross pay
Pre-tax monthly premium
Annual amount (FSA, HSA, etc.)
Results update as you type.
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How it works
Your paycheck calculator reveals the significant gap between gross salary — the number quoted in a job offer — and net take-home pay, what actually reaches your bank account. For most full-time US employees, the gap is 25–40% of gross depending on income, location, and pre-tax elections. Federal income tax uses progressive marginal brackets: in 2024 the rates are 10%, 12%, 22%, 24%, 32%, 35%, and 37%, applied successively to income above each threshold. Only income above each bracket threshold is taxed at that rate, not all income — a common misconception. Someone with $75,000 in taxable income does not pay 22% on all of it; they pay 10% on the first $11,600, 12% on the next $35,550, and 22% only on the rest. FICA taxes (Social Security 6.2% + Medicare 1.45%) are separate from income tax and apply to gross wages before deductions. Pre-tax benefit contributions to a 401k, health insurance premium, FSA, or HSA reduce both federal income tax and usually FICA. This makes pre-tax benefits doubly valuable: a $6,000 annual 401k contribution saves roughly $1,500 in federal income tax for someone in the 22% bracket plus about $459 in FICA — nearly $2,000 in annual savings. This paycheck calculator provides an estimate; actual liability may differ with additional income, itemized deductions, tax credits, and other factors.
Taxable Income = Gross − Pre-Tax Deductions − Standard Deduction; Federal Tax via 2024 brackets; FICA = 7.65% of gross (up to SS wage base)
Pre-tax deductions (401k, health insurance, HSA/FSA) reduce taxable income dollar-for-dollar. The standard deduction ($14,600 single / $29,200 married for 2024) further reduces the taxable base. Federal income tax is computed using marginal brackets — the lowest portion is taxed at 10%, the next at 12%, and so on. FICA is Social Security tax (6.2%, capped at the $168,600 wage base for 2024) plus Medicare (1.45%, uncapped). State tax applies a flat effective rate to gross income as a simplification.
Source:IRS Publication 15 (2024 tax year)
We review all our tools from time to time to ensure accuracy.
Worked example
How to use this calculator
- 1
Enter your values
Enter annual gross salary, pay frequency and federal filing status.
- 2
Adjust the options
Adjust 401(k) contribution, health insurance premium, other pre-tax deductions and state income tax rate if they apply — sensible defaults are already set.
- 3
Read your result
Take-home per paycheck updates instantly as you type — no button to press.
Frequently asked questions
What is the difference between gross and net pay?
Gross pay is your total compensation before any withholdings or deductions — the salary figure in your offer letter or the hourly rate times hours worked. Net pay (take-home pay) is what remains after your employer withholds federal and state income taxes, FICA taxes (Social Security and Medicare), and any employee benefit contributions (health insurance, 401k, FSA). For a US employee earning $75,000, net annual take-home typically ranges from $52,000–$58,000 depending on tax situation, state, and deductions — a gap of 23–31%.
Why is my paycheck less than my salary divided by 26?
Your gross paycheck equals your salary divided by pay periods, but the check deposited is net of taxes and deductions. Federal income tax withholding is based on your W-4 elections, which direct the employer on how much to withhold each period. FICA takes 7.65% off the top of gross wages. Pre-tax 401k contributions, health insurance premiums, and other benefit deductions further reduce take-home before taxes. It is also common for the first paycheck of the year to seem light because any year-to-date deduction minimums haven't been met yet.
How do I reduce taxes on my paycheck?
Legal strategies to reduce payroll tax withholding include: maximizing pre-tax 401k contributions (up to $23,000 in 2024, $30,500 if 50+), contributing to a Health Savings Account if you have a qualifying high-deductible health plan ($4,150 single / $8,300 family in 2024), using a Flexible Spending Account for medical or dependent care, ensuring your W-4 accurately reflects your anticipated deductions and credits (such as the Child Tax Credit), and deferring income through traditional IRA contributions. These reduce taxable income, lowering withholding.
What are FICA taxes?
FICA (Federal Insurance Contributions Act) taxes fund Social Security and Medicare. Employees pay 6.2% of wages for Social Security, up to the annual wage base ($168,600 in 2024), and 1.45% for Medicare on all wages with no cap — total 7.65%. Earnings above $200,000 ($250,000 married) incur an additional 0.9% Medicare surtax. Employers match the 7.65% — so the total payroll tax is 15.3% split equally. Self-employed workers pay the full 15.3% but can deduct half as a business expense.
How do I update my W-4 withholding?
The W-4 form tells your employer how much federal income tax to withhold from each paycheck. After major life events — marriage, divorce, a new child, significant income change, or taking a second job — you should submit an updated W-4 to your HR department. The current W-4 (redesigned in 2020) no longer uses allowances; instead it asks for additional income, deductions, and credits to more precisely calibrate withholding. Use the IRS Tax Withholding Estimator (irs.gov) to calculate the correct entries. Under-withholding can result in a tax bill plus interest at filing; over-withholding gives the IRS an interest-free loan of your money.