What comes out of a paycheck
Federal income tax (progressive, based on taxable income after the standard deduction), FICA (6.2% Social Security up to the wage base plus 1.45% Medicare, with an extra 0.9% above 200k/250k), state tax, and any pre-tax deductions like 401(k) or health premiums.
Why your paycheck differs from this estimate
Withholding is driven by your W-4 elections, not by your actual liability. Claiming dependants or using the multiple-jobs checkbox changes the per-paycheck number even when annual tax is identical. The calculator estimates the underlying liability — usually close, rarely to the cent.
Pre-tax deductions are powerful
- 401(k) contributions reduce taxable income dollar for dollar
- Health premiums paid pre-tax also escape FICA
- HSA contributions are triple tax-advantaged
- A 6,000 pre-tax deduction at 22% saves about 1,320 in tax
Reading the output
The monthly view is usually more useful than the per-paycheck view for budgeting, because most fixed costs are monthly. Compare net monthly against rent, transport and debt to see what is actually available.
Frequently Asked Questions
Why is my actual paycheck lower?
Common causes: local taxes, benefit deductions, union dues, or a W-4 that under-withholds.
Does this include Social Security?
Yes — FICA covers both Social Security (6.2%) and Medicare (1.45%).
Is the state rate exact?
It is a flat approximation; real state tax is progressive with its own deductions.
Assumptions & disclaimer
Results are estimates for planning. Fee schedules, tax brackets and deduction limits change; confirm current figures with the marketplace, the IRS or a qualified accountant before making decisions. Nothing here is financial, tax or legal advice.
Privacy & Your Data
BizCalcTool runs entirely in your browser. The figures you enter are never uploaded, stored or shared — there is no backend to send them to.