From salary to paycheck, what's left after taxes.
Most people see their gross salary and assume that's their income. It isn't. Federal tax, FICA, state tax, and pre-tax deductions collectively take 20-40% of your gross pay before it ever hits your bank account. This calculator shows you exactly where each dollar goes.
Before any taxes or deductions
No state income tax
2026 limit: $24,500 (or $32,500 if 50+; $35,750 if 60-63)
That is $5,719 a month, after federal tax, FICA, and state tax.
Where your gross pay goes
Your effective tax rate
This is your effective rate, the average across all your income. It's lower than your marginal rate (the bracket your last dollar earned falls into), which matters when deciding whether extra income is worth it. The tax bracket calculator covers that comparison.
Start from your gross annual salary.
Gross income = $85,000
Subtract the standard deduction to get federal taxable income, then walk the 2026 brackets in order to find federal tax.
Taxable for federal $68,900 (after $16,100 std deduction) -> Federal tax = $9,870
2026 federal brackets and standard deduction from lib/referenceData2026.ts (IRS Rev. Proc. 2025-32).
Add FICA (Social Security plus Medicare) and state income tax.
FICA $6,503 | State tax $0 | Total tax = $16,373
Social Security 6.2% up to the 2026 wage base, Medicare 1.45% on all wages plus the 0.9% surtax on high incomes.
Take-home pay is gross minus all tax and any pre-tax 401(k) contribution.
$85,000 - $16,373 - $0 401(k) = $68,628 (19.3% effective rate)
Real paychecks have more moving parts.
2026 tax brackets only. The calculator uses 2026 federal tax brackets and standard deductions (per IRS Rev. Proc. 2025-32). These adjust for inflation each year, verify with the IRS for the current tax year.
State tax simplified. The seven states in the dropdown use approximated brackets. New York's calculation doesn't include NYC or Yonkers local income taxes. California's calculation excludes the SDI (state disability) tax. Real state tax can be more complex; consult your actual tax filing.
Standard deduction assumed. Most taxpayers take the standard deduction ($16,100 single, $32,200 married filing jointly in 2026). If you itemize (mortgage interest, charitable contributions, etc.), your taxable income would be different.
No other deductions modeled. Real paychecks also include health insurance premiums, HSA contributions, FSA, life insurance, union dues, and other employer-specific deductions. Your actual take-home will be lower than this calculator shows if you have these.
No tax credits applied. Things like the Child Tax Credit, Earned Income Tax Credit, and education credits would reduce your federal tax bill below what this calculator shows for many filers.
Assumptions
- 2026 federal brackets and standard deduction (IRS Rev. Proc. 2025-32).
- 2026 Social Security wage base (SSA).
$184,500
$184,500Social Security wage base (maximum taxable earnings, OASDI)- Last checked
- Jun 21, 2026
- Medicare 1.45% on all wages; 0.9% Additional Medicare on wages above $200,000 single / $250,000 MFJ (unchanged since 2013).
- Filing status is single or married filing jointly. Head of household and married filing separately are not modeled here.
- State tax is a simplified flat-rate approximation per state. Progressive-state filings will differ.
- No pre-tax 401(k), HSA, FSA, or health-insurance deductions reducing federal taxable income. See the Paycheck calculator on this site for the full deduction stack.
- No tax credits (CTC, EITC, education credits, etc.) reducing tax owed.
Limitations
- Real W-4 withholding uses IRS tables and a per-pay-period calculation; the annual-tax-divided-by-pay-frequency shortcut here typically overestimates withholding slightly.
- State income tax simplifications can overstate or understate by a few hundred to a few thousand dollars for progressive-tax states (CA, NY, NJ, etc.). Use the state's own calculator for accuracy.
- Self-employment income (SE tax = 15.3% on both halves of FICA) is not modeled.
- Local (city, county) income tax (e.g., NYC, Philadelphia) is not modeled.
- Bonus and supplemental wages are withheld at a flat 22% federal at the federal level under IRS rules; this calculator treats all income as regular wages.
- It is not a tax return. It does not file IRS Form 1040 or any state return.
- It is not a paycheck stub. Employers withhold based on Form W-4 selections, which can differ meaningfully from the math here.
- It is not personalized tax advice. A CPA earns their fee on this for households with itemized deductions, credits, or complex filings.
- It is not a recommendation about contributing to retirement accounts or adjusting W-4 withholding.
Common questions.
What is FICA tax?
FICA stands for Federal Insurance Contributions Act. It funds Social Security (6.2% of wages up to $184,500 in 2026) and Medicare (1.45% on all wages, plus 0.9% extra on income over $200,000 single / $250,000 MFJ). Your employer matches the Social Security and Medicare portions, so the total going to these programs is double what's deducted from your paycheck.
Why is my take-home pay so much less than my salary?
Federal income tax (typically 12-24% effective for most workers), FICA (7.65%), and state income tax (0-13% depending on state) collectively take 20-35% of gross pay for most middle-class earners. Add health insurance premiums, 401(k) contributions, and other deductions and the total reduction often hits 30-40%.
Does contributing to a 401(k) increase my take-home pay?
No, pre-tax 401(k) contributions reduce your take-home pay because that money goes into your retirement account instead of your paycheck. However, the contributions reduce your federal taxable income, so the cost to your paycheck is less than the contribution amount. For example, contributing $5,000 in the 22% bracket only reduces take-home by about $3,900: your taxable income drops by the full contribution, so the tax that would have applied to that income stays in your paycheck instead. The mechanism is a deduction, not a credit or a payment from the government. Long-term, you build wealth that's invested for growth.
Which states have no income tax?
Nine states have no state income tax: Alaska, Florida, Nevada, New Hampshire (taxes only investment income), South Dakota, Tennessee, Texas, Washington, and Wyoming. These states often offset the lack of income tax with higher property taxes, sales taxes, or other revenue sources.
Educational simulation only. Tax brackets and rates change annually. Real paychecks include deductions and credits not modeled here. This is not personalized tax advice, consult a CPA or tax professional for your specific situation.