Payroll Calculator
Accurately calculate gross-to-net take-home pay, federal income tax, FICA (Social Security & Medicare), state taxes, and pre-tax deductions.
Hourly Wage
?
Your standard hourly base rate before overtime or deductions.
$
Regular Hours / Week
?
Standard hours worked per week (typically 40 hours for full-time employees).
hrs
Overtime Hours / Week
?
Hours worked beyond standard 40 hrs, paid at 1.5× time-and-a-half rate.
hrs
Pay Frequency
?
How often you receive a paycheck. Bi-weekly (every 2 weeks, 26 pay periods) is standard in the US.
Federal Filing Status
?
Determines your standard deduction and federal tax brackets.
Pre-Tax 401(k)
?
Traditional 401(k) reduces federal and state taxable income.
%
Health / Section 125
?
Pre-tax medical/dental cafeteria deductions reduce Federal, State, AND FICA taxes!
$
State Income Tax
?
Estimated state tax rate. Enter 0% for TX, FL, WA, NV, TN, etc. National average is ~4.5%.
%
Post-Tax Deductions
?
Roth contributions, union dues, or garnishments deducted after taxes.
$
| Payroll Component | Pay Period | Monthly | Annual |
|---|---|---|---|
| Gross Pay | $2,400.00 | $5,200.00 | $62,400.00 |
| Pre-Tax Deductions (401k & Health) | −$200.00 | −$433.33 | −$5,200.00 |
| Federal Income Tax (FIT) | −$187.69 | −$406.66 | −$4,879.94 |
| Social Security (FICA 6.2%) | −$143.84 | −$311.65 | −$3,739.84 |
| Medicare (FICA 1.45%) | −$33.64 | −$72.89 | −$874.64 |
| State Income Tax (4.5%) | −$99.00 | −$214.50 | −$2,574.00 |
| Total Taxes & Deductions | −$664.17 | −$1,439.03 | −$17,268.42 |
| Net Take-Home Pay | $1,735.83 | $3,760.97 | $45,131.58 |
Paycheck Dollar Allocation & Percentage Split
Live Mathematical Derivation:
Gross Pay = 80 hrs × $30.00 = $2,400.00
Pre-Tax Deductions = $120.00 (401k) + $80.00 (Health) = $200.00
Taxable Wages = $2,400.00 − $200.00 = $2,200.00 (FIT) • $2,320.00 (FICA)
Total Taxes = $187.69 (FIT) + $143.84 (SS) + $33.64 (Med) + $99.00 (State) = $464.17
Net Take-Home Pay = $2,400.00 − $200.00 − $464.17 = $1,735.83
Pre-Tax Deductions = $120.00 (401k) + $80.00 (Health) = $200.00
Taxable Wages = $2,400.00 − $200.00 = $2,200.00 (FIT) • $2,320.00 (FICA)
Total Taxes = $187.69 (FIT) + $143.84 (SS) + $33.64 (Med) + $99.00 (State) = $464.17
Net Take-Home Pay = $2,400.00 − $200.00 − $464.17 = $1,735.83
* Results are estimates for educational and planning purposes only and do not constitute formal financial, tax, or legal advice.
Understanding US Payroll Calculations
Your paycheck is the end result of statutory tax formulas, voluntary employer benefit deductions, and mandatory federal and state contributions. Understanding the exact arithmetic between gross earnings and net take-home pay empowers you to optimize your W-4 withholdings, maximize pre-tax retirement savings, and plan your monthly household budget with precision.
1. FICA: Social Security & Medicare
Mandated by the Federal Insurance Contributions Act:
- Social Security: 6.2% on covered gross wages up to the annual statutory limit ($168,600).
- Medicare: 1.45% on all covered wages, with zero earnings ceiling (plus 0.9% additional Medicare for incomes exceeding $200,000 for single filers).
2. Pre-Tax vs. Post-Tax Benefit Deductions
Pre-Tax: Contributions to a Traditional 401(k), 403(b), or Section 125 health insurance plan decrease your taxable income before federal and state taxes are applied.
Post-Tax: Roth 401(k) contributions and wage garnishments are subtracted after taxes are assessed, offering tax-free growth in retirement.
Post-Tax: Roth 401(k) contributions and wage garnishments are subtracted after taxes are assessed, offering tax-free growth in retirement.
Step-by-Step Illustrative Example
Consider an hourly employee earning $30.00/hour on a standard bi-weekly schedule (80 hours per pay period), contributing 5% to a 401(k) and paying $80.00 toward employer health insurance, claiming Single filing status with an estimated 4.5% state income tax:
1. Gross Pay: 80 hours × $30.00 = $2,400.00.
2. Pre-Tax Deductions: 5% of $2,400 = $120.00 (401k) + $80.00 (Health) = $200.00.
3. FICA Assessment: FICA taxable base = $2,400 − $80 = $2,320. Social Security (6.2%) = $143.84; Medicare (1.45%) = $33.64. Total FICA = $177.48.
4. Federal Income Tax (FIT): Annualized taxable income ($57,200) minus $14,600 standard deduction yields $42,600 taxable, resulting in $4,880.00 annual FIT, or $187.69 per pay period.
5. State Income Tax (SIT): 4.5% of $2,200 = $99.00.
6. Net Take-Home Pay: $2,400.00 − $200.00 (Pre-tax) − $464.17 (Taxes) = $1,735.83 (72.33% of gross).
2. Pre-Tax Deductions: 5% of $2,400 = $120.00 (401k) + $80.00 (Health) = $200.00.
3. FICA Assessment: FICA taxable base = $2,400 − $80 = $2,320. Social Security (6.2%) = $143.84; Medicare (1.45%) = $33.64. Total FICA = $177.48.
4. Federal Income Tax (FIT): Annualized taxable income ($57,200) minus $14,600 standard deduction yields $42,600 taxable, resulting in $4,880.00 annual FIT, or $187.69 per pay period.
5. State Income Tax (SIT): 4.5% of $2,200 = $99.00.
6. Net Take-Home Pay: $2,400.00 − $200.00 (Pre-tax) − $464.17 (Taxes) = $1,735.83 (72.33% of gross).
How to Use This Payroll Calculator
- Select your compensation mode (Hourly Wage or Annual Salary) using the top tabs.
- Enter your hourly rate and weekly regular/overtime hours, or your annual base salary.
- Choose your employer's pay frequency (Weekly, Bi-weekly, Semi-monthly, or Monthly).
- Expand the Taxes & Deductions Options to adjust your federal filing status, pre-tax 401(k), health insurance, and local state tax rate.
- Review your immediate take-home pay, full breakdown table, and interactive paycheck allocation chart.
Frequently Asked Questions
What is the difference between gross pay and net pay?
Gross pay is the total amount of money an employee earns before any deductions, taxes, or withholdings are applied. Net pay (also known as take-home pay) is the final amount deposited into your bank account after all mandatory statutory taxes (FIT, FICA, SIT) and elective benefit contributions are subtracted.
Why does my pay frequency change my paycheck amount but not my annual income?
Pay frequency merely determines the number of installments in which your annual earnings are disbursed. For instance, a $62,400 annual salary yields $2,400 across 26 bi-weekly pay periods, but $2,600 across 24 semi-monthly periods. The annual total remains identical.
Do pre-tax deductions reduce all taxes?
Not equally. Retirement plans such as traditional 401(k) and 403(b) accounts reduce your federal and state income tax liability, but they remain subject to FICA taxes (Social Security and Medicare). Conversely, Section 125 cafeteria plans (like employer-sponsored health, dental, vision, and HSA/FSA contributions) reduce federal income tax, state income tax, AND FICA taxes.
What states do not charge state income tax on payroll?
As of 2026, nine US states do not levy an individual earned income tax: Alaska, Florida, Nevada, New Hampshire (which taxes only dividend and interest income), South Dakota, Tennessee, Texas, Washington, and Wyoming. If you work in one of these states, set your State Income Tax slider to 0%.