Compensation Details
Enter your gross pay and pay schedule
Your total compensation before deductions
State where work is performed (determines state tax withholding)
Tax Filing Information
Your W-4 withholding details
Number of allowances claimed on W-4
Deductions (Optional)
Pre-tax and post-tax deductions
Pre-Tax Deductions
Post-Tax Deductions
Your Take-Home Pay
After all taxes and deductions
Net Pay
$2,868
71.7% of gross pay
Gross Pay
$4,000
Total Deductions
$1,132
Paycheck Breakdown
Detailed deductions
Annual Projections
Year-to-date estimates
Annual Gross
$104,000
Annual Taxes
$29,420
Annual Net
$74,580
Social Security Wage Base Tracking
$$72,100 remaining until cap
Employer Costs
Total cost to employ you (for context)
Employer pays 11.2% on top of gross wages
How Net Pay Calculation Works
1. Gross Pay
Start with your gross pay (before any deductions). This is your salary or hourly rate times hours worked.
2. Federal Income Tax Withholding
Federal tax is withheld based on your W-4 filing status, number of dependents, and 2025 tax brackets. Uses IRS Publication 15-T wage bracket or percentage method.
Federal Tax = f(Taxable Income, Filing Status, W-4 Allowances)3. FICA Taxes (Social Security & Medicare)
Social Security: 6.2% up to $176,100 (2025). Medicare: 1.45% on all wages. Additional Medicare: 0.9% on wages over $200,000.
FICA = (Gross × 6.2%) + (Gross × 1.45%) + (Excess over $200k × 0.9%)4. State & Local Income Tax
State income tax varies by state (0% to 13%+). Some cities/counties impose additional local income taxes. Calculated based on state-specific brackets and rates.
5. Pre-Tax Deductions
401(k), HSA, health insurance premiums reduce your taxable income. These are deducted before calculating income taxes.
6. Post-Tax Deductions
Roth 401(k), garnishments, and other deductions come out after taxes are calculated.
7. Net Pay
Your take-home pay after all taxes and deductions. This is what hits your bank account.
Net Pay = Gross Pay - All Taxes - All DeductionsEmployer Payroll Costs
Employers also pay matching FICA taxes (7.65%), FUTA (0.6%), state unemployment (SUTA), and workers' compensation insurance. The calculator shows these costs to give you the full picture of total compensation expense.
Frequently Asked Questions
Get Expert Financial Guidance
Speak with our team about how we can help streamline your back office operations.