FICA (Federal Insurance Contributions Act) is a U.S. payroll tax that funds Social Security and Medicare. It includes a 6.2% Social Security tax (on income up to an annual limit) and a 1.45% Medicare tax on all earnings.

Take-Home-Paycheck Calculator (2025)

Q: What is the difference between gross pay and net pay?

Gross pay is the total amount you earn before any taxes or deductions are taken out. Net pay (or take-home pay) is the amount you actually receive after all taxes (federal, state, FICA) and deductions (401(k), health insurance) are subtracted.

Q: How can I increase my take-home pay?

You can potentially increase your take-home pay by adjusting your W-4 tax withholdings, maximizing pre-tax contributions like a 401(k) to lower your taxable income, or negotiating a higher gross salary.

See how much of your salary you actually take home after taxes and deductions.

Pay Information

Gross Pay

Pay Frequency

Federal Taxes (2025 Estimates)

Filing Status

Dependents

Deductions & Withholding

Pre-Tax Deductions

Post-Tax Deductions

State Tax

Your Paycheck Summary

Fill out the form and click Calculate to see your results.

Your Paycheck, Demystified

Understanding your paycheck is the first step toward mastering your personal finances. Your "take-home pay," or net pay, is the money you can actually budget, save, and spend. This calculator strips away the complexity, giving you a clear estimate of your real earnings per pay period. It uses projected 2025 tax brackets and FICA rates to provide an accurate, forward-looking summary.

How to Use the Paycheck Calculator

Get a precise breakdown of your net pay in four simple steps:

Step 1: Enter Your Gross Pay. Input your total earnings before any taxes or deductions are taken out. You can enter this as an annual salary or as an amount per pay period.
Step 2: Set Your Pay Frequency. Select how often you get paid (annually, monthly, bi-weekly, or weekly) so we can accurately calculate your per-period pay.
Step 3: Provide Tax Details. Choose your federal tax filing status (Single, Married Filing Jointly, or Head of Household) and enter the number of dependents you claim.
Step 4: Add Deductions & State Tax. Enter any pre-tax deductions (like 401(k) or HSA contributions), post-tax deductions (like Roth 401(k)), and your state's income tax rate. Click 'Calculate' to see your results!

Breaking Down Your Paycheck: Gross Pay vs. Net Pay

It's crucial to understand the journey your money takes from gross to net. Here’s a breakdown of all the items that are typically subtracted from your earnings.

Gross Pay: This is your top-line earnings. For salaried employees, it's your annual salary divided by the number of pay periods. For hourly workers, it's your hourly rate multiplied by hours worked.
Pre-Tax Deductions: These are subtracted from your gross pay before any taxes are calculated. This lowers your taxable income, potentially reducing the amount of tax you owe. Common examples include contributions to a traditional 401(k), Health Savings Account (HSA), or certain health insurance premiums.
Federal Income Tax: A progressive tax levied by the IRS. The amount withheld is based on your taxable income, filing status, and dependents. Our calculator uses the official 2025 tax brackets for its estimates.
FICA Taxes (Social Security & Medicare): This is a mandatory U.S. payroll tax. It’s a flat tax split into two parts:
- Social Security: 6.2% on income up to an annual limit ($177,000 projected for 2025).
- Medicare: 1.45% on all earnings, with a potential 0.9% surcharge for high earners.
State & Local Taxes: Most states (and some cities) levy their own income tax. Rates and rules vary significantly by location.
Post-Tax Deductions: These are taken out after all taxes have been calculated. Examples include Roth 401(k) contributions, disability insurance, or wage garnishments.
Net Pay (Take-Home Pay): The final amount deposited into your bank account. This is the number you should use for budgeting. Formula: Net Pay = Gross Pay - Pre-Tax Deductions - Taxes - Post-Tax Deductions.

For more specific financial planning, you can explore our other tools. Compare job offers with the Salary Calculator, or plan for retirement with the IRA Calculator.

Frequently Asked Questions (FAQ)

What is the difference between gross pay and net pay?

Gross pay is the total amount of money you earn before any taxes or deductions are taken out. Net pay, or take-home pay, is the amount of money you actually receive in your paycheck after all taxes (like federal, state, and FICA) and deductions (like 401(k) contributions or health insurance premiums) are subtracted.

What are FICA taxes?

FICA stands for the Federal Insurance Contributions Act. It's a U.S. federal payroll tax that funds Social Security and Medicare. Both employees and employers contribute. The tax consists of a Social Security tax (6.2%) on income up to a certain annual limit and a Medicare tax (1.45%) on all earnings.

How can I increase my take-home pay?

You can increase your take-home pay by:
1. Adjusting your W-4 withholdings: If you get a large tax refund each year, you're essentially giving the government an interest-free loan. You could adjust your withholding to receive more money in each paycheck.
2. Maximizing pre-tax deductions: Contributing to a 401(k) or HSA lowers your taxable income, which can increase your net pay compared to making post-tax investments.
3. Negotiating a raise: The most direct way to increase both your gross and net pay is to earn more.

Why is my first paycheck smaller than expected?

A first paycheck can sometimes be smaller due to prorated earnings if you started mid-pay period, or if certain one-time deductions for benefits setup were applied. Always check your pay stub for a detailed breakdown.