Free Take Home Pay Calculator
Find out exactly how much of your salary you actually keep. Our take home pay calculator factors in federal taxes, state taxes, FICA, and pre-tax deductions like 401(k) and HSA contributions.
Your Income Details
Pre-Tax Deductions (Annual)
2026 limit: $23,500
2026 limit: $4,300 (individual)
Health insurance, FSA, transit, etc.
Your Take Home Pay
What Is Take Home Pay? A Complete Guide
Take home pay — also called net pay — is the amount of money that actually lands in your bank account after every deduction is subtracted from your gross salary. Understanding your take home pay is critical for budgeting, financial planning, and evaluating job offers. Our free take home pay calculator above gives you an instant, detailed breakdown of exactly where your earnings go.
How to Calculate Take Home Pay
Calculating take home pay involves several steps. First, start with your gross annual salary — the total amount your employer pays you before any deductions. Next, subtract pre-tax deductions such as 401(k) retirement contributions, Health Savings Account (HSA) deposits, and health insurance premiums. The result is your adjusted gross income (AGI). From your AGI, subtract the standard deduction for your filing status ($14,600 for single filers, $29,200 for married filing jointly, or $21,900 for head of household in 2026) to arrive at your federal taxable income. Federal income tax is then calculated using progressive tax brackets, meaning only the portion of income in each bracket is taxed at that rate. State income tax is applied based on where you live, and FICA taxes — 6.2% for Social Security plus 1.45% for Medicare — are calculated on your gross pay. The sum of all these taxes and deductions, subtracted from your gross salary, equals your take home pay.
Factors That Affect Your Take Home Pay
Several key factors determine how much take home pay you receive. Your filing status significantly impacts your federal tax brackets and standard deduction — married couples filing jointly benefit from wider brackets and a larger deduction. The state you live in matters enormously: residents of no-income-tax states like Texas, Florida, and Washington keep more of their earnings compared to high-tax states like California (13.3%) or New York (10.9%). Pre-tax contributions to retirement accounts and health savings accounts reduce your taxable income, effectively lowering your tax bill while building long-term savings. Your overall income level determines which federal tax brackets apply, with rates ranging from 10% to 37% in 2026.
Understanding FICA Taxes
FICA stands for the Federal Insurance Contributions Act and funds Social Security and Medicare. Every employee pays 6.2% of gross wages toward Social Security, up to a wage base of $176,100 in 2026, and 1.45% toward Medicare with no cap. If your income exceeds $200,000 (single) or $250,000 (married filing jointly), you owe an additional 0.9% Medicare surtax. Your employer matches these contributions dollar-for-dollar, so the total FICA funding rate is 15.3%. Unlike income tax, FICA is calculated on gross pay before pre-tax deductions, which is why it can represent a significant portion of total deductions — especially for lower- and middle-income earners.
Maximize Your Take Home Pay
There are several legitimate strategies to increase your take home pay. Contributing to a traditional 401(k) reduces your taxable income — the 2026 annual limit is $23,500 (plus $7,500 catch-up if you're 50 or older). HSA contributions are triple-tax-advantaged: they reduce current taxable income, grow tax-free, and can be withdrawn tax-free for medical expenses. Flexible Spending Accounts (FSAs) for healthcare and dependent care also lower your taxable wages. If you consistently receive large tax refunds, consider adjusting your W-4 allowances to reduce withholding and increase each paycheck. For employers managing compensation across a team, tools like tinyteam's HR platform can help model total compensation costs and ensure competitive pay packages.
Frequently Asked Questions
What is take home pay?
Take home pay is the amount of money you actually receive in your bank account after all deductions — including federal income tax, state income tax, FICA taxes (Social Security and Medicare), and any pre-tax deductions like 401(k) contributions or health insurance premiums — are subtracted from your gross salary.
How do I calculate my take home pay?
To calculate take home pay: start with your gross salary, subtract pre-tax deductions (401k, HSA), then calculate federal income tax on your taxable income after the standard deduction, add state income tax and FICA taxes (7.65%), and subtract all taxes from your gross pay. Our calculator does this automatically.
How do pre-tax deductions like 401(k) affect take home pay?
Pre-tax deductions like 401(k) and HSA contributions reduce your taxable income before federal and state taxes are calculated. While they lower your take home pay, they also lower your tax bill. For example, a $5,000 401(k) contribution might only reduce your take home pay by $3,500-$4,000 depending on your tax bracket.
What is the effective tax rate?
Your effective tax rate is the total percentage of your gross income that goes to taxes (federal, state, and FICA combined). It's different from your marginal tax bracket because it accounts for the progressive nature of tax brackets. For example, even if you're in the 22% federal bracket, your effective rate may be 15-20%.
Why is my take home pay different from what this calculator shows?
Differences can arise from local/city taxes, additional pre-tax deductions (health insurance, dental, vision), post-tax deductions (Roth 401k, garnishments), employer-specific withholding settings, or additional income sources. This calculator provides an estimate based on standard federal and state tax rates.
Which states have no income tax?
Nine states have no state income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. Living in one of these states means more take home pay since only federal and FICA taxes apply to your earnings.
