What is taken out of my paycheck?

Federal income tax, Social Security (6.2% up to $184,500), Medicare (1.45% on all wages), state income tax (except in the nine states without one), and any pre-tax deductions such as 401(k), HSA and health insurance.

FICA is Social Security plus Medicare: 6.2% + 1.45% = 7.65% of wages. Social Security stops at the $184,500 wage base; Medicare has no cap, and high earners pay an extra 0.9% above $200,000 (single).

How can I increase my take-home pay?

Adjust your W-4 if you over-withhold, contribute to a 401(k) or HSA (pre-tax, so they cut your tax), claim credits such as the Child Tax Credit, and remember that nine states — including Texas and Florida — have no state income tax.

What Is Take Home Pay?

Q: Is net pay what you take home?

Yes. Net pay and take-home pay are the same thing: gross pay minus all deductions. Gross pay is your full salary before anything is taken out.

Q: What is my take-home pay?

It depends on your salary, filing status and state. Use the Take Home Pay Calculator USA: enter your gross salary and it works out federal tax, Social Security and Medicare. On $70,000, single, in Texas, it is $58,075 a year.

TL;DR: Take-home pay is the money that actually lands in your bank account — your gross pay minus everything taken out before you see it. On a $70,000 salary in Texas, take-home pay is $58,075 a year: federal tax $6,570, Social Security $4,340 and Medicare $1,015. Yes — net pay is what you take home. “Gross pay”, “net pay” and “take-home pay” all describe the same idea from different sides.

Gross pay vs net pay

Gross pay is what your employer agrees to pay you: your salary or your hourly rate times your hours, before anything is taken out. Net pay — also called take-home pay — is what is left after deductions. The difference is not a rounding error: on a $70,000 salary it is $11,925 a year, or 17% of your pay. The three words people search for most — “what is take home pay” (+40% in the last three months), “what is my take home pay” (+40%) and “is net pay what you take home” (+170%) — are all asking the same question, and the answer to the last one is yes.

Term	Meaning
Gross pay	Your full salary before any deductions
Net pay / take-home pay	Gross pay minus all deductions — what hits your bank account
Taxable income	Gross pay minus the standard deduction (and pre-tax deductions) — the figure tax brackets apply to
FICA	Social Security + Medicare — 7.65% of wages (6.2% + 1.45%)

What is taken out of your paycheck?

Every American paycheck has the same federal deductions. Federal income tax is the biggest: it depends on your taxable income (gross minus the $16,100 standard deduction for single filers in 2026) and the brackets (10% to 37%). Social Security takes 6.2% of wages up to $184,500 in 2026. Medicare takes 1.45% of all wages, plus 0.9% on wages above $200,000 (single). Then, depending on your state, state income tax — $0 in Texas, Florida and seven other states, but up to 13.3% in California. On top of the taxes, your paycheck may show pre-tax deductions (401(k), HSA, health insurance premiums) and post-tax deductions (Roth 401(k), garnishments, union dues).

Worked example: $70,000 salary, single, Texas

	Amount
Gross pay	$70,000.00
Federal income tax	−$6,570.00
Social Security	−$4,340.00
Medicare	−$1,015.00
State income tax (Texas)	$0.00
Take-home pay (net pay)	$58,075.00 a year ($4,839.58 a month)

The same $70,000 in California would keep roughly $1,500–$2,000 less, because California adds state income tax (and 1.1% state disability insurance) on top of the identical federal deductions.

How to increase your take-home pay

Adjust your W-4 — if you get a big refund every year, you are over-withholding: you are lending the government money interest-free. Adjusting your W-4 raises your monthly take-home pay (but lowers the refund).
Contribute to a 401(k) or HSA — pre-tax contributions reduce your taxable income, so you pay less federal tax now. A 401(k) also reduces Social Security and Medicare wages.
Check your state — nine states have no income tax. Moving is a big decision, but the state slice is real money: roughly $4,000–$6,000 a year on $100,000 versus California or New York.
Claim your credits — the Child Tax Credit ($2,200 per child for 2026) comes straight off your tax bill. If you do not claim it, you leave money behind.

Sources: IRS, Revenue Procedure 2025-32 and Topic No. 751; Social Security Administration, “Contribution and Benefit Base”; Texas Comptroller of Public Accounts, “A Field Guide to the Taxes of Texas”. Checked 13 November 2026.

Important: All content is general information and not professional financial advice, not tax advice, and not a substitute for advice from a qualified adviser. Figures are estimates for the 2026 tax year (1 January – 31 December 2026) and can change. Your actual pay depends on your filing status, state, pre-tax deductions and other credits. Check the current figures on irs.gov or speak to a qualified adviser before acting.