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Net Pay Calculator

Calculate your take-home pay after taxes and deductions.
Enter your gross pay, tax rate, and deductions to see what you'll actually receive.

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Net Pay

Net pay — commonly called “take-home pay” — is what remains after all required and voluntary deductions are subtracted from your gross pay. Understanding this calculation helps you budget accurately and evaluate job offers in real terms.

The formula: Net Pay = Gross Pay − Federal Tax − State Tax − FICA − Other Deductions

Breaking down each deduction:

Federal income tax is calculated using marginal tax brackets. For 2024 (single filer):

  • 10% on income up to $11,600
  • 12% on $11,601–$47,150
  • 22% on $47,151–$100,525
  • 24% on $100,526–$191,950 (and higher brackets above)

FICA taxes (flat rates):

  • Social Security: 6.2% of gross pay (up to $168,600 annual wage base in 2024)
  • Medicare: 1.45% of all gross pay (no cap)
  • Total FICA: 7.65%

Worked example (single, no state tax, biweekly pay): Annual salary: $65,000 → Biweekly gross = $65,000 / 26 = $2,500

  • Federal tax (estimated): ~$310
  • Social Security: $2,500 × 6.2% = $155
  • Medicare: $2,500 × 1.45% = $36.25
  • Health insurance premium: $120
  • 401(k) contribution (5%): $125
  • Net Pay = $2,500 − $310 − $155 − $36.25 − $120 − $125 = ~$1,754

Key insight: A $65,000 salary is roughly $1,754 every two weeks, or about $3,508/month — not $5,416. State income taxes (0–13.3% depending on state) reduce this further. Always plan a budget from net pay, never gross.


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