Paycheck Calculator

Knowing exactly how much of your earnings you will keep is essential for budgeting and financial planning. A paycheck calculator translates gross wages into net take-home pay by applying the latest tax rules and personal deductions. Instead of guessing how a raise, a bonus, or a new pre-tax contribution affects your bank account, you can see the numbers instantly.

The calculator above accounts for federal income tax, Social Security, Medicare, state taxes, and typical voluntary deductions. It works for all common pay frequencies and filing statuses. To get an accurate estimate, you only need to provide a few pieces of information.

How Is a Paycheck Calculated?

Gross pay is the starting point. For hourly workers, gross pay equals the hourly rate multiplied by the hours worked in the pay period. Salaried workers divide their annual salary by the number of pay periods each year (24 for semimonthly, 26 for biweekly, 52 for weekly).

From that total, mandatory taxes are withheld:

• Federal income tax – based on IRS tax brackets, filing status, and information on Form W-4.
• Social Security tax – 6.2% of wages up to the annual wage base limit ($176,000 projected for 2026).
• Medicare tax – 1.45% on all wages, plus an Additional Medicare Tax of 0.9% on wages exceeding $200,000 for single filers or $250,000 for married couples filing jointly.
• State and local taxes – vary by jurisdiction; some states have no income tax, while others apply flat or progressive rates.

Voluntary pre-tax deductions further reduce taxable income. Common examples include 401(k) contributions, health, dental, and vision insurance premiums, HSA/FSA contributions, and commuter benefits. After subtracting all taxes and deductions, what remains is your net pay.

What Deductions Are Taken from Gross Pay?

Every paycheck has two layers of deductions: mandatory and voluntary.

Mandatory Deductions

1. Federal Income Tax – The employer uses the withholding tables from IRS Publication 15-T and the employee’s W-4 to determine the amount. Withholding rates range from 10% to 37% in 2026, depending on your taxable income bracket.
2. Social Security (OASDI) – 6.2% up to the wage base limit. Earnings above the limit are not subject to this tax. Employers also pay a matching 6.2%.
3. Medicare (HI) – 1.45% on all covered wages, with no wage cap. An extra 0.9% applies to high earners as described above.
4. State Income Tax – Rates and brackets differ. For example, California uses a progressive system with rates up to 13.3%, while Texas imposes no state income tax.
5. Local Taxes – Some cities and counties levy an additional income tax (e.g., New York City, Yonkers).

Voluntary Pre-Tax Deductions

Reducing taxable income lowers both federal and state tax burdens. The most common pre-tax items:

• Traditional 401(k) and 403(b) contributions.
• Health insurance premiums.
• Health Savings Account (HSA) and Flexible Spending Account (FSA) contributions.
• Dependent care assistance.

Post-tax deductions, such as Roth 401(k) contributions or union dues, do not reduce taxable income but still affect the final net amount.

How to Use a Paycheck Calculator Effectively?

Entering accurate information is the key to a reliable estimate. Follow these steps:

1. Select your pay frequency – weekly, biweekly, semimonthly, or monthly. This determines the number of pay periods per year and how withholding tables apply.
2. Enter gross pay for the period – for salaried employees, annual salary divided by the number of periods works best. Hourly workers should input their hourly rate and typical hours per period.
3. Choose filing status – single, married filing jointly, married filing separately, or head of household. This determines the standard deduction and tax bracket thresholds.
4. Adjust W-4 information – if you claimed dependents, other income, or extra withholding on your W-4, enter those values. The calculator uses this to refine federal withholding.
5. Add pre-tax deductions – list contributions to a 401(k), health premiums, and HSA/FSA amounts. These reduce taxable income and increase the accuracy of tax estimates.
6. Select your state – state tax rates are critical. Even within the same federal bracket, net pay can differ by hundreds of dollars depending on the state.

After filling in the fields, the calculator shows your estimated take-home pay. You can then test different scenarios, such as increasing 401(k) contributions or moving from a biweekly to a semimonthly schedule, to see the real impact on your wallet.

2026 Tax Brackets and FICA Rates

Federal income tax rates for 2026 are adjusted for inflation. The following table shows estimated brackets and rates for a single filer. Married filing jointly thresholds are roughly double. The rates themselves are unchanged under current law.

The standard deduction for a single filer in 2026 is projected at $14,800. This amount is subtracted from gross income to determine taxable income. Higher standard deductions apply for joint filers and heads of household.

According to the Social Security Administration, the 2026 wage base limit for the 6.2% Social Security tax is expected to be $176,000, up from $168,600 in 2025. Employers and employees each pay 6.2% up to that limit. Medicare tax remains uncapped, with the 0.9% surtax threshold at $200,000 for single filers and $250,000 for joint filers.

Example: Biweekly Paycheck Calculation

Consider an employee in Texas (no state income tax) earning an annual salary of $85,000, paid biweekly. The gross biweekly pay is $3,269.23. The employee is single, contributes 5% of salary to a 401(k) ($163.46 per check), and pays $120 per check for health insurance.

Steps:

1. Pre-tax deductions: $163.46 + $120 = $283.46.
2. Taxable biweekly income: $3,269.23 – $283.46 = $2,985.77.
3. Federal income tax withholding: With a projected annual taxable income of $77,630 (after deductions), the employee falls into the 22% marginal bracket. The withholding per paycheck, based on IRS tables and the W-4, amounts to approximately $470.
4. Social Security: 6.2% of $3,269.23 = $202.69.
5. Medicare: 1.45% of $3,269.23 = $47.41.

Total taxes per check = $470 + $202.69 + $47.41 = $720.10. Net pay = $3,269.23 – $283.46 (pre-tax) – $720.10 = $2,265.67.

Adjusting the 401(k) contribution to 10% would increase the pre-tax deduction to $326.92 and lower taxable income further, reducing federal tax and slightly decreasing Social Security/Medicare taxable base. The calculator handles these complex interactions instantly, making it easy to compare scenarios.

This article and the calculator provide estimates based on publicly available tax data for 2026. Tax laws change, and your individual circumstances may differ. Consult a qualified tax professional for personalized planning.