Calculate Your Take-Home Pay
Gross Pay / Check
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Total Deductions
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Net Pay / Check
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Annual Take-Home
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| Deduction | Per Paycheck | Monthly | Annual |
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Understanding Your Paycheck
Your paycheck looks smaller than your salary because of mandatory and voluntary deductions:
Mandatory Deductions
- Federal Income Tax: Based on your taxable income, filing status, and W-4 elections. Uses the progressive bracket system (10% to 37%) under the TCJA rates made permanent by the OBBB.
- Social Security (OASDI): 6.2% of gross pay up to the annual wage base. Your employer pays an equal 6.2%.
- Medicare: 1.45% of all gross pay (no cap). Additional 0.9% on earnings over $200K (Single).
- State Income Tax: Varies by state. Nine states have no income tax: AK, FL, NV, NH, SD, TN, TX, WA, WY.
Voluntary Pre-Tax Deductions
- 401(k) / 403(b): Reduces taxable income. $24,500 max (2026), $32,500 if you are 50+, or $35,750 at ages 60–63.
- Health Insurance: Employee premium share, typically pre-tax.
- HSA: Health Savings Account contributions, triple tax-advantaged.
- FSA: Flexible Spending Account for medical or dependent care expenses.
State Income Tax Rates (2026)
| No Income Tax | Flat Rate States | Highest Rate States |
|---|---|---|
| Alaska | Colorado: 4.4% | California: 13.3% |
| Florida | Illinois: 4.95% | Hawaii: 11% |
| Nevada | Iowa: 3.8% | New York: 10.9% |
| Texas | Michigan: 4.25% | New Jersey: 10.75% |
| Washington | Utah: 4.5% | Oregon: 9.9% |
| Wyoming | North Carolina: 3.99% | Minnesota: 9.85% |
| South Dakota | Pennsylvania: 3.07% | Vermont: 8.75% |
| Tennessee | Massachusetts: 5% (plus 4% on income over about $1 million) | Wisconsin: 7.65% |
| New Hampshire | Arizona: 2.5% | Maine: 7.15% |
Rates shown are top marginal rates. New Hampshire eliminated its interest/dividends tax in 2025.
Ways to Increase Your Take-Home Pay
- Adjust W-4 withholding: If you get a large tax refund each year, you're overpaying. Update your W-4 to reduce withholding and get that money in each paycheck instead.
- Use pre-tax accounts: 401(k) and HSA contributions reduce your taxable income, lowering the tax taken from each paycheck.
- Review your benefits: Make sure you're not paying for unnecessary supplemental insurance or benefits that you don't use.
- Consider a no-tax state: If remote work is an option, living in a no-tax state (TX, FL, WA, etc.) removes state income tax on your wages. Elsewhere it typically takes a few percent of income, and top rates reach 13.3% in California.
- Claim correct allowances: Make sure your W-4 reflects your actual situation (married, dependents, multiple jobs).
Related Calculators
Frequently Asked Questions
Take-home pay = Gross pay minus federal tax, state tax, Social Security (6.2%), Medicare (1.45%), and pre-tax deductions (401k, health insurance, HSA). This calculator does all the math for you.
For most Americans, roughly 15-30% of gross pay goes to combined taxes (federal + state + FICA). The exact percentage depends on income level, filing status, state, and deductions. A single filer earning $75K in Texas pays about 18% (federal income tax after the 2026 standard deduction, plus 7.65% FICA); in California, state income tax and SDI add roughly another 5 percentage points.
Your first paycheck may be for a partial pay period if you didn't start on the first day of the period. Also, some one-time deductions (benefits enrollment fees, equipment deposits) may be taken from the first check.
Gross pay is your total earnings before any deductions. Net pay (take-home pay) is what actually hits your bank account after all taxes and deductions are withheld.
Biweekly = every 2 weeks (26 paychecks/year), so some months you get 3 checks. Semi-monthly = twice per month on fixed dates like the 1st and 15th (24 paychecks/year). Biweekly checks are slightly smaller but you get 2 extra per year.
If your employer offers a match, contribute at least enough to get the full match (free money). Beyond that, increasing your 401(k) reduces your taxable income, so a $100 increase in 401(k) might only reduce your take-home by $75-80.