Last updated: May 2026
Enter your salary or hourly wage and see your exact take-home pay after all taxes and deductions.
Your Pay
Pre-Tax Deductions (per pay period)
Results
Federal Income Tax is withheld using the IRS tax bracket system, applied to taxable wages (gross minus pre-tax deductions). Actual annual tax depends on your total income and W-4 elections.
Social Security: 6.2% on wages up to $168,600 (2026 wage base). Medicare: 1.45% on all wages, plus 0.9% additional Medicare on wages above $200,000.
Pre-tax deductions (401k, health insurance, HSA) reduce your taxable income for federal and most state taxes, saving you money every paycheck.
⚠️ This is an estimate based on 2026 tax rates and the standard deduction. Actual withholding depends on your W-4 elections, tax credits, and other income. Use IRS Tax Withholding Estimator for exact figures.
This calculator computes your actual take-home pay by applying federal income tax brackets, FICA payroll taxes, and optional state income tax and pre-tax deductions.
Worked example: $75,000 annual salary, paid bi-weekly (26 pay periods), single filer, no pre-tax deductions, no state tax:
Gross per paycheck: $2,884.62
Federal income tax: ~$428 (at effective ~14.8% on wages)
Social Security: $178.85 (6.2%)
Medicare: $41.83 (1.45%)
Net take-home: ~$2,236/paycheck ($58,136/year)
Pre-tax deductions (401k contributions, HSA, FSA, health insurance premiums) reduce your taxable income before federal and state taxes are calculated — making their true cost lower than their face value.
Gross pay is your salary or wages before any deductions. Net pay (take-home pay) is what hits your bank account after federal income tax, FICA (Social Security and Medicare), state income tax, and any voluntary deductions like 401k contributions or health insurance premiums. For most full-time employees, net pay is 68-78% of gross pay depending on income level, state, and benefit elections.
Pre-tax deductions (401k, HSA, FSA, health insurance) reduce your taxable income before income taxes are calculated. If you contribute $500/month to your 401k and are in the 22% federal bracket plus 5% state, each $500 contribution only reduces your take-home by ~$365 ($500 x (1 - 0.27)), while the full $500 goes into your retirement account. The government effectively contributes $135 per month through tax savings.
The U.S. uses a progressive tax system where only income within each bracket is taxed at that rate. Moving into a higher bracket does not mean all your income is taxed at the higher rate — only the dollars above the previous threshold. A common misconception is that a raise can result in less take-home pay; this is false. A raise always increases your net pay, even if marginal dollars are taxed at a higher rate.
Your W-4 form tells your employer how much federal income tax to withhold. If you claim more allowances (or reduce withholding), you receive more each paycheck but may owe a tax bill in April. If you withhold more, you get a refund — but you have given the government an interest-free loan. The goal is to match withholding to your actual tax liability as closely as possible. Use the IRS Tax Withholding Estimator at IRS.gov to optimize your W-4.
Your gross salary and your take-home pay can differ by 25–35% once federal income tax, FICA taxes, state income tax, and voluntary deductions are applied. Understanding each deduction helps you optimize your W-4, maximize pre-tax contributions, and accurately plan your monthly budget. The table below shows a realistic breakdown for a $70,000 salary, single filer, in a state with no income tax.
Pre-tax deductions — 401k contributions, HSA deposits, FSA elections, and employer health insurance premiums — reduce your taxable income before federal and state taxes are calculated. This means the true cost of a $200/month 401k contribution isn't $200; it's roughly $144 after tax savings if you're in the 22% federal bracket. Pre-tax benefits are one of the most powerful, underused tools for increasing effective take-home pay.
| Deduction | Amount/Year | Amount/Biweekly Check | % of Gross |
|---|---|---|---|
| Federal income tax | $8,206 | $316 | 11.7% |
| Social Security (6.2%) | $4,340 | $167 | 6.2% |
| Medicare (1.45%) | $1,015 | $39 | 1.45% |
| 401k contribution (5%) | $3,500 | $135 | 5.0% |
| Health insurance | $2,400 | $92 | 3.4% |
| Net take-home | $50,539 | $1,944 | 72.2% |
What percentage of my paycheck goes to taxes?
For most middle-income W-2 employees, total taxes (federal income tax + FICA) consume 20–28% of gross pay. At $50,000 single: roughly 18–22%. At $100,000 single: roughly 25–30%. Add state income tax (0% to 13.3% depending on state) and the total tax burden ranges from 20% in no-tax states to 35%+ in high-tax states for higher earners. Pre-tax deductions for 401k and health insurance reduce the taxable base and effectively lower this percentage.
What is FICA?
FICA stands for the Federal Insurance Contributions Act. It funds Social Security (6.2% of gross wages, up to the Social Security wage base — $176,100 in 2026) and Medicare (1.45% of all wages, with an additional 0.9% surcharge on earnings above $200,000 for single filers). Your employer matches the 6.2% Social Security and 1.45% Medicare contributions, paying an additional 7.65% on top of your wages. FICA is withheld automatically and appears on every paycheck.
What is the difference between gross and net pay?
Gross pay is your full salary or wages before any deductions. Net pay (take-home pay) is what's deposited to your bank account after all mandatory taxes (federal income tax, FICA, state tax) and voluntary deductions (401k, health insurance, FSA) are subtracted. The gap between gross and net is typically 22–32% for full-time employees, depending on income level, state, filing status, and benefit elections.
How do W-4 allowances affect withholding?
The W-4 (updated in 2020 to remove allowances) tells your employer how much federal income tax to withhold. Key inputs: filing status, multiple jobs adjustments, dependents claimed, and any additional withholding amount. Claiming more dependents or extra deductions reduces withholding (larger paychecks, potentially owe at tax time). Claiming less reduces paychecks but increases refund likelihood. Use the IRS Withholding Estimator at IRS.gov to calibrate your W-4 to your actual tax liability.
Why does my first paycheck of the year look different?
Several factors change at the year boundary: Social Security withholding resets (if you hit the wage base cap in a prior year, it restarts at 6.2%). New benefit elections from open enrollment take effect. Federal and state tax tables may update with inflation adjustments to brackets and standard deduction amounts. Additionally, if you received a bonus in late December, the withholding on that check may have affected how your last paycheck of the prior year looked, making the first new-year paycheck appear comparatively different.