Gross to net, in one line
Gross pay − what is taken out = net pay. Gross is what you earned. Net is what lands in your account. The gap is normal, and it is the main reason a first paycheck feels smaller than hours times rate.
For example, 1,200.00 gross, minus 60.00 health insurance, 48.00 retirement savings, 87.00 federal tax, 70.68 Social Security, 16.53 Medicare and 41.00 state tax, leaves 876.79 net. Press Try an example to see it checked.
The lines on most stubs
- Gross pay. Your pay before anything comes out.
- Health and benefits. Insurance premiums, often labeled pre-tax. They lower the pay that gets taxed.
- Retirement. Your own 401(k) or 403(b) savings. It is your money, saved for later.
- Federal income tax. Paid in advance, based on your W-4. Not your final bill.
- Social Security and Medicare. Fixed federal rates, 6.2% and 1.45%. Same for almost everyone.
- State or local tax. Only if your state or city has an income tax.
- Net pay. What you receive.
What the checker can and cannot tell you
Social Security and Medicare follow set rates, so the checker works out what they should be and shows the math. If yours differs by more than a few cents, it points that line out. It also checks that your lines add up to your net pay.
Federal and state income tax depend on your W-4, your pay, and where you live. The checker shows them as a share of your taxable pay but cannot say whether they are right. To see if your withholding fits your situation, try the IRS Tax Withholding Estimator.
If a line does not match
- Check you typed the amount from the right column. Stubs often show this period and year to date side by side.
- Look for a deduction you left out, such as a local tax or benefit, and add it under Other deductions.
- Ask your payroll or HR contact. Bring the stub and say which line looks off. Mistakes happen, and asking is routine.
Social Security stops once you earn over 184,500 in a year (the 2026 limit, checked 6 October 2026), and an extra 0.9% Medicare tax starts above 200,000. The limit changes most years, so check the date on this page. Rates and limits come from IRS Topic 751 and the Social Security Administration, last checked 6 October 2026. This tool is educational and does not replace advice from a tax professional or your payroll department.