READ YOUR PAYCHECK
Why gross pay and net pay are different
Federal income tax withholding
Federal withholding is an advance payment toward federal income tax. This calculator follows the IRS 2026 automated percentage method and assumes a current Form W-4 with the Step 2 multiple-jobs box unchecked, no Step 3 credits, and no Step 4 adjustments other than the extra amount entered.
Social Security and Medicare
Employees generally pay 6.2% Social Security tax up to the 2026 wage base of $184,500 and 1.45% Medicare tax on covered wages. An additional 0.9% Medicare amount applies above $200,000 of wages in this estimate.
State income tax and payroll programs
Rules vary substantially. Texas and Florida do not impose individual income tax. California and New York use graduated withholding methods. Pennsylvania and Illinois use flat rates with their published rules. Washington has no individual income tax but employee Paid Leave and WA Cares premiums can reduce a check.
Pre-tax deductions
Eligible retirement, health, HSA, FSA, and other benefits may reduce taxable wages, but not every deduction is exempt from every payroll tax. This planning tool applies entered pre-tax amounts broadly; compare the result with the tax treatment shown on an actual pay stub.
What to do when the estimate is far from your check
Review pay frequency, taxable gross wages, W-4 status, multiple-job settings, credits, extra withholding, state allowances, benefit tax treatment, and year-to-date wage caps. Ask the employer’s payroll team about unexplained deductions and use the IRS estimator for a personalized W-4 review.