Paycheck Calculator

How to Use This Salary & Wage Paycheck Calculator

This paycheck calculator estimates your 2026 net take-home pay and annual tax summary for any US state. Use it as a salary calculator, an hourly wage calculator, or to decode every line on your pay stub — enter your income, state, and filing status above to see a full breakdown of federal income tax, state income tax, Social Security, and Medicare.

For the most accurate results, enter your gross income exactly as it appears on your offer letter or pay stub, then fill in any pre-tax deductions (401(k), health insurance) withheld each period. Results update instantly — no submit button required.

How Federal Income Tax Is Withheld from Your Paycheck

Federal income tax uses a progressive bracket system: each tier of income is taxed at an increasing rate, but only the dollars within each bracket are taxed at that rate. For 2026, a single filer pays 10% on the first $12,400, 12% on the next $38,000, 22% on the next $55,300, and so on up to 37%.

Step-by-Step Example

1. Annualize gross pay — multiply your per-paycheck gross by your number of pay periods (26 for biweekly)
2. Subtract the standard deduction — $16,100 for single filers in 2026
3. Apply progressive brackets — the first $12,400 of taxable income is taxed at 10%, the next $38,000 at 12%, etc.
4. Divide by pay periods — the annual tax is split evenly across all paychecks
5. Subtract pre-tax deductions — 401(k) and Section 125 plans reduce taxable income before brackets are applied

For example, a single employee earning $65,000/year biweekly pays roughly $7,100 in federal income tax — about $273 per paycheck — before state taxes and FICA.

FICA Taxes — Social Security and Medicare

FICA (Federal Insurance Contributions Act) taxes fund Social Security and Medicare. Unlike income taxes, FICA is a flat percentage with no bracket system.

• Social Security: 6.2% on wages up to $184,500 in 2026. Once you hit the wage base, no further Social Security is withheld for the rest of the year.
• Medicare: 1.45% on all wages with no cap. High earners above $200,000 ($250,000 for joint filers) pay an additional 0.9% Medicare surtax on wages above the threshold.
• Employer match: your employer matches your Social Security and Medicare contributions dollar-for-dollar, but this does not appear on your paycheck — it is an additional cost paid separately.

Combined employee FICA is 7.65% for most workers ($65,000 × 7.65% ≈ $4,973/year, or about $191 per biweekly paycheck).

Pre-Tax Deductions That Reduce Your Taxable Income

Several common benefits are deducted from your gross pay before income taxes are calculated, reducing your taxable income and therefore your tax bill.

• 401(k) / 403(b) / 457 contributions — traditional (pre-tax) contributions reduce both federal and, in most states, state taxable income. The 2026 employee contribution limit is $23,500 ($31,000 if age 50+).
• Health insurance premiums — employer-sponsored premiums paid through a Section 125 cafeteria plan are excluded from federal income tax and FICA taxes.
• HSA contributions — Health Savings Account contributions are fully pre-tax. The 2026 HSA limit is $4,300 for self-only coverage ($8,550 for family).
• FSA contributions — Health and Dependent Care FSA contributions are also pre-tax, though the annual limits are lower ($3,300 health FSA).

A $200/month 401(k) contribution on a $65,000 salary reduces federal income tax by about $528/year for a single filer in the 22% bracket — and that savings shows up in every paycheck.

State Income Tax — What to Expect by State

State income tax varies dramatically across the US and can add anywhere from 0% to over 13% on top of your federal burden. Use the state dropdown in this paycheck calculatorto see your state's exact withholding.

No-Tax States

Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming have no individual income tax on wages. New Hampshire taxes only investment income, not W-2 wages. Workers in these states keep significantly more of each paycheck.

Flat-Rate States

Several states use a single flat rate regardless of income: Illinois (4.95%), Michigan (4.25%), Colorado (4.40%), Indiana (3.05%), Kentucky (4.0%), Massachusetts (5.0%), North Carolina (4.5%), Pennsylvania (3.07%), and Utah (4.55%).

Progressive States

Most states use graduated brackets similar to the federal system. California has the highest top rate at 13.3% (on income over $1 million). Oregon tops out at 9.9%, New York at 10.9% for city residents, and Minnesota at 9.85%. The New York paycheck calculator and other state-specific tools pre-fill the correct state tax rates automatically.

Local Income Tax — Does Your City or County Withhold Extra?

Eleven states allow cities and counties to levy their own income or occupational taxes on top of state income tax. Select your state above — if a Locality dropdown appears, choose your city or county to include local withholding in your paycheck estimate.

• New York — NYC residents pay 3.078%–3.876% city tax; Yonkers residents pay a 16.75% surcharge on their NY state tax. Use the New York paycheck calculator for a dedicated NY estimate.
• Maryland — every county and Baltimore City levies a piggyback tax of 1.75%–3.20% on Maryland taxable income. A Baltimore City resident earning $80,000 pays roughly $2,560 in county tax alone.
• Ohio — most Ohio cities have a municipal income tax of 0.5%–3.0% on wages. Columbus and Cleveland are both 2.5%; Cincinnati is 1.8%.
• Pennsylvania — Philadelphia's resident wage tax is 3.75%; Pittsburgh levies 3.0% earned income tax. Other PA municipalities range from 1%–3.5%.
• Indiana — counties levy an adjusted gross income tax (CAGIT) ranging from 0.5% (Porter County) to 2.02% (Marion County / Indianapolis).
• Michigan — Detroit levies 2.4% on residents; Grand Rapids 1.5%; most other Michigan cities 1%.
• Kentucky — Louisville (Jefferson County) is 2.2%, Lexington-Fayette 2.25%, Covington 2.5% — applied to gross wages as an occupational license tax.
• Oregon — Portland Metro SHS tax is 1% on Oregon AGI above $125k (single) / $200k (joint); Multnomah County adds another 1.5% on the same base.
• Alabama, Missouri, Delaware — Birmingham 2%, Kansas City / St. Louis 1% earnings tax, Wilmington 1.25% wage tax.

How to Increase Your Take-Home Pay

You cannot reduce FICA taxes (they apply to all earned income), but you can legally lower your income tax withholding and bring home more each pay period.

• Maximize pre-tax retirement contributions — every dollar in a traditional 401(k) reduces your taxable income by one dollar. At the 22% bracket, a $1,000 monthly contribution saves $220/month in federal taxes alone.
• Enroll in an HSA — if you have a high-deductible health plan, maxing out your HSA ($4,300 individual / $8,550 family in 2026) is one of the best tax moves available. Contributions are pre-tax, growth is tax-free, and qualified withdrawals are tax-free.
• Use a Dependent Care FSA — if you pay for childcare or elder care, a Dependent Care FSA lets you pay up to $5,000 with pre-tax dollars per family.
• Update your W-4 — if you consistently get a large refund, you are over-withholding interest-free. Adjusting your W-4 allowances (or entering additional deductions on the new W-4 form) can put that money in your paycheck now.
• Choose the right filing status— married couples should compare withholding as "Married Filing Jointly" versus each spouse withholding as "Single" to avoid a large balance due at tax time.

Tax Disclaimer

This calculator provides estimates for informational purposes only. It is not tax advice. Federal tax rules, FICA wage bases, and state tax law can change annually. Consult a qualified tax professional or CPA for guidance on your specific situation.