How Is Take-Home Pay Calculated?

Step 1 — Gross to AGI

Pre-tax contributions (401k, IRA, HSA, FSA, health insurance) are subtracted from gross pay to determine your Adjusted Gross Income (AGI).

Step 2 — Federal Income Tax

The 2026 standard deduction is applied to AGI ($14,600 Single / $29,200 MFJ / $21,900 HOH), then federal tax is calculated using progressive brackets up to 37%.

Step 3 — State Income Tax

9 states have no income tax (TX, FL, NV, WA, etc.). Others use flat rates or progressive brackets. This calculator covers all 50 states + D.C.

Step 4 — FICA Taxes

Social Security: 6.2% on wages up to $168,600 (2026 wage base).
Medicare: 1.45% on all wages + 0.9% additional on wages over $200k (Single) or $250k (MFJ).

Disclaimer: This calculator provides estimates for informational purposes only and does not constitute tax advice. Actual withholding depends on W-4 elections, local taxes, and other factors. Consult a tax professional for personalized guidance.