Gross to Net Calculator
Convert your gross salary to net take-home pay by calculating federal income tax, FICA taxes, and state taxes. Get an accurate estimate of your after-tax income.
Income Summary
Tax Breakdown
Pay Period Breakdown
Understanding Gross vs. Net Income
Gross income is your total earnings before any deductions, while net income (also called take-home pay) is what you actually receive after taxes and other withholdings. Understanding the difference helps with budgeting and financial planning.
What is Gross Income?
Included in Gross Income
- Base salary or wages
- Overtime pay
- Bonuses and commissions
- Tips and gratuities
- Vacation pay
- Severance pay
Not Included in Gross Income
- Employer contributions to retirement plans
- Health insurance premiums paid by employer
- Some fringe benefits
- Reimbursed business expenses
- Workers' compensation
Common Deductions from Gross to Net
| Deduction Type | Description | Typical Rate/Amount |
|---|---|---|
| Federal Income Tax | Progressive tax on taxable income | 10% to 37% |
| Social Security | FICA tax for retirement benefits | 6.2% (up to $168,600) |
| Medicare | FICA tax for health benefits | 1.45% (plus additional) |
| State Income Tax | State-specific income tax | 0% to 13.3% |
| Health Insurance | Employee portion of premiums | $100-$500/month |
| Retirement Contributions | 401(k), 403(b) contributions | 3% to 10% of salary |
Pre-Tax vs. Post-Tax Deductions
Pre-Tax Deductions
Reduce taxable income
- 401(k) contributions
- Health insurance premiums
- Dependent care FSA
- Commuter benefits
- Dental/vision insurance
Post-Tax Deductions
Taken from net pay
- Life insurance
- Supplemental insurance
- Garnishments
- Charitable contributions
- Union dues
Take-Home Pay by Income Level
| Gross Annual Income | Federal + FICA Taxes | Net Income | Take-Home % |
|---|---|---|---|
| $30,000 | $4,500 | $25,500 | 85% |
| $50,000 | $8,500 | $41,500 | 83% |
| $75,000 | $14,000 | $61,000 | 81% |
| $100,000 | $20,000 | $80,000 | 80% |
| $150,000 | $35,000 | $115,000 | 77% |
W-4 Form and Withholding
Your W-4 form determines how much federal income tax is withheld from your paycheck. Adjusting your withholdings can help you avoid owing taxes or getting large refunds.
W-4 Withholding Adjustments
Increase Withholding
Add extra withholding
Reduce allowances
Avoid tax penalties
Decrease Withholding
Claim dependents
Itemized deductions
Multiple jobs
State Tax Variations
| State | Top Rate | Notes |
|---|---|---|
| California | 13.3% | Highest state rate |
| Texas | 0% | No state income tax |
| Florida | 0% | No state income tax |
| New York | 10.9% | Progressive brackets |
Key Takeaways
- Gross income is your total earnings before deductions
- Net income is what you actually take home after taxes
- Federal income tax uses progressive brackets (10%-37%)
- FICA taxes (Social Security + Medicare) are 7.65% for employees
- State income tax rates vary from 0% to 13.3%
- Pre-tax deductions reduce your taxable income
- Take-home pay typically ranges from 70-85% of gross income
- W-4 adjustments can optimize your tax withholding
- Consult a tax professional for personalized advice