Your salary and your paycheck are two different numbers. Before pay reaches your bank, your employer takes out federal income tax, Social Security, Medicare, state tax and anything you've chosen to put toward a 401(k) or health plan.
Below is what comes out of a US paycheck in 2026, in what order, and two worked examples you can check against the calculator.
What comes out of each paycheck
| Deduction | 2026 rate or rule | Lowers income tax? |
|---|---|---|
| Federal income tax | 10% to 37% by bracket, after the standard deduction | – |
| Social Security | 6.2% of wages up to $184,500 | No |
| Medicare | 1.45% of all wages, plus 0.9% above $200,000 ($250,000 joint) | No |
| State income tax | Set by your state; none in Texas, Florida and several others | – |
| Traditional 401(k) | Your chosen %, up to $24,500 a year | Yes |
| Health insurance and HSA (pre-tax) | Your share of premiums and HSA contributions | Yes, and lowers Social Security and Medicare too |
How take-home pay is worked out
Federal taxable income = salary − 401(k) − pre-tax health − standard deductionSocial Security and Medicare wages = salary − pre-tax health (401(k) still counts)Take-home = salary − federal tax − Social Security − Medicare − state tax − 401(k) − pre-tax healthDivide the yearly take-home by your number of paydays: 52 weekly, 26 every two weeks, 24 twice a month or 12 monthly.
Worked examples
Example: Single, $75,000, paid every 2 weeks, no deductions, no state tax
Federal income tax: $7,670 (taxable income $58,900).
Social Security: $75,000 × 6.2% = $4,650. Medicare: $75,000 × 1.45% = $1,087.50.
Take-home: $61,592.50 a year, about $2,369 a paycheck.
Example: Single, $100,000, 6% to a 401(k), $2,400 pre-tax health, 5% state tax
401(k): $6,000. Federal taxable income: $100,000 − $6,000 − $2,400 − $16,100 = $75,500, so federal tax is $11,322.
Social Security and Medicare are charged on $97,600 (the 401(k) still counts): $6,051.20 + $1,415.20.
State tax: 5% of $91,600 = $4,580.
Take-home: $68,231.60 a year, about $2,624 a paycheck, with $6,000 saved in your 401(k).
Why your pay stub may differ
- Withholding vs. tax owed. Employers withhold using your W-4 and IRS tables, so the federal amount per paycheck can differ a little from your true tax. Any gap is settled when you file.
- State and local rules. Some states have brackets, credits or local city taxes that a single rate can't capture.
- Credits. The Child Tax Credit and others lower your tax but aren't included here.
- Benefits. Dental, vision, life insurance or a Roth 401(k) come out after tax.
How to use this calculator
- Enter your yearly salary and how often you're paid.
- Pick your filing status.
- Add your 401(k) percentage and any pre-tax health insurance or HSA amount.
- Enter your state's income tax rate, or 0% if your state has none.
FAQs
Why is my paycheck so much less than my salary divided by 26?
Federal income tax, Social Security (6.2%), Medicare (1.45%), state tax and any 401(k) or health deductions all come out first. Together they're often 20–30% of gross pay.
Does my 401(k) lower my Social Security tax?
No. Traditional 401(k) contributions lower federal income tax and usually state tax, but Social Security and Medicare are still charged on them.
Why doesn't this match my pay stub exactly?
Employers withhold using your W-4 and the IRS withholding tables, which spread tax slightly differently. Over a full year the totals should be close.
Which states have no income tax?
Alaska, Florida, Nevada, South Dakota, Tennessee, Texas and Wyoming have no state income tax on wages. Washington and New Hampshire don't tax wages either.
Sources
- IRS: tax inflation adjustments for tax year 2026 (Rev. Proc. 2025-32)
- SSA: 2026 Social Security changes (wage base $184,500)
- IRS: 401(k) limit increases to $24,500 for 2026
Results are estimates and aren't tax, legal or financial advice. For your own return, check with a CPA or enrolled agent. Spotted a mistake? Tell us.