Gross salary and what actually lands in your bank account are two very different numbers. This calculator walks from one to the other using the same federal tax brackets and payroll tax rules an employer’s payroll system applies.
How it works
The standard deduction is subtracted from gross pay to get taxable income, which is run through the same progressive federal brackets as this site’s income tax bracket calculator. Two payroll taxes are added on top: Social Security at 6.2%, capped at an annual wage base, and Medicare at 1.45% on every dollar, with an extra 0.9% on income above a higher threshold.
What this does not include
State and local income tax, pre-tax deductions like 401(k) contributions or health insurance premiums, and tax credits are all left out — each depends on details this calculator doesn’t ask for. Real take-home pay is usually somewhat different once those are added, almost always a bit higher after pre-tax deductions reduce taxable income further.
How to use this calculator
- Choose your filing status.
- Enter your gross annual pay.
Frequently asked questions
Why is Social Security tax capped but Medicare isn’t?
By law, Social Security only taxes wages up to an annual limit that rises each year; Medicare has applied to all wages without a cap since 1994, with an additional surtax layered on above a higher income threshold.
Does this account for overtime or bonuses?
Only insofar as they’re included in the gross annual pay you enter — the calculator doesn’t distinguish how the income was earned.
Why is my actual paycheck different from this estimate?
State tax, retirement contributions, health insurance premiums, and how your employer’s payroll system rounds and times withholding can all shift the real number in either direction.
