## Calculate your take home pay after federal, state & local taxes

## Updated for 2023 tax year on Jan 01, 2023

What was updated?2023 federal FICA, income tax rates & standard deduction

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### Paycheck calculators by state

## United States federal paycheck calculation

All residents and citizens in the USA are subjected to income taxes. Residents and citizens are taxed on worldwide income (working overseas, etc.). In contrast, nonresidents are taxed only on income within the jurisdiction.

A tax year is different between federal and state. A federal tax year is 12 months beginning October 01 and ending September 30 the following year. The tax year 2023 will starts on October 01, 2022, and end on September 30, 2023. The state tax year is also 12 months, but it differs from state to state. Some states follow the federal tax year, and some start on July 01 and end on June 30.

Like the tax year, federal income tax rates differ from state income tax rates. Federal taxes are progressive (higher rates on higher income levels). At the same time, states have an advanced tax system or a flat tax rate on all income.

The income tax rate varies from state to state. Eight states are without an income tax, and one has no wage income tax.

It is also worth noting that the recent Tax Cuts and Jobs Act (TCJA) of 2017 made several significant changes to the individual income tax across the board. To understand the differences in detail, refer to this Investopedia article.

### Calculate your paycheck in 6 steps

There are six main steps to work out your income tax (federal & state) liability or refunds. First, you must determine your filing status to understand your tax bracket.

#### Step 1 â€“ Filing status

There are four main filing statuses:

- Single
- Married, Filing Jointly, or Widow(er)
- Married, Filing Separately
- Head of Household

Your marital status and whether you have any dependents will determine your filing status.

For example, if you are single and have a child, you should file as â€˜Head of Householdâ€™.

Refer to IRS to understand more.

#### Step 2 â€“ Adjusted gross income

The second step is to figure out your adjusted gross income.

The formula is:`Net income â€“ Adjustments = Adjusted gross income`

Income means money received for any reason, such as wage, rental income, side hustle, unemployment benefits, etc. You need to add them up to determine your annual income. If you were paid hourly, you would need to multiply it by your total annual hours.

Adjustments are also known as above-the-line deductions or pre-tax deductions. There are two types of deductions: above-the-line & post-tax (more in the next step).

Some of the adjustments are:

- Student loan interest
- Contributions to a retirement account (401k, IRA)
- Health savings account deduction
- Educator expenses
- Moving expenses for a job
- College tuition and fees

For the breakdown of the various above-the-line deductions or adjustments, refer to this article from thebalance.com.

#### Step 3 â€“ Taxable income

Now you need to figure out your taxable income.

The formula is:`Adjusted gross income â€“ Standard/Itemized deductions = Taxable income`

You can either take the standard deduction amount or itemize your deductions. If your itemized deductions are less than the standard deduction, claim the standard amount ðŸ™‚

Some of the deductions you can itemize are:

- Charitable donations
- Home mortgage interest

Exemptions have been eliminated from Federal income tax since the Tax Cuts and Jobs Act (TCJA) was implemented in 2018. But some states still have exemptions in their income tax calculation.

You might be confused with deductions and exemptions, so the following is a quote from Zacks.com:*Tax deductions are items you claim to reduce your tax liability while exemptions refer to the people you claim to reduce tax liability, such as dependents.*

#### Step 4 â€“ Income tax liability

This step is straightforward. You need to understand which tax bracket you belong to based on your taxable income. If your filing status is â€˜Married, Filing Jointlyâ€™ or â€˜Widow(er)â€™, you need to combine your taxable income with your partnerâ€™s.

The formula to calculate tax liability:`Taxable income Ã— Income tax rate = Income tax liability`

#### Step 5 â€“ Payroll tax liability

There is an additional tax (surprise!) before the final step. Federal Insurance Contributions Act (FICA) is the payroll tax taken directly from your paycheck. FICA is made up of social security and medicare.

The formula is:`Net income Ã— Payroll tax rate = Payroll tax liability`

#### Step 6 â€“ Minus everything

Once you have worked out your total tax liability, you minus the money you put aside for tax withholdings yearly (if any) and any post-tax deductions.

The formula is:`Total annual income â€“ (Income tax liability + Payroll tax liability + Pre-tax deductions + Post-tax deductions + Withholdings) = Your paycheck`

Thatâ€™s the six steps to go through to work your paycheck. You must do these steps separately for federal, state, and local income taxes.

For visual explanations of the above steps, you can refer to Youtube videos from Ladder Up, MoneyCoach, or Edspira.

### Federal Insurance Contributions Act (FICA)

Also known as â€˜paycheck taxâ€™ or â€˜payroll taxâ€™, these taxes are taken from your paycheck directly. They are used to fund social Security and Medicare.

For example, in the tax year 2020, the Social Security tax is 6.2% for employees and 1.45% for the Medicare tax.

If your monthly paycheck is $6000, $372 goes to Social Security, and $87 goes to Medicare, leaving you with $6000 â€“ $372 â€“ $87 = $5541

#### Social Security

Tax year | Employment status | Gross income | Rate |
---|---|---|---|

2023 | Employer | Up to $160,200 | 6.20% |

Employee | 6.20% | ||

Self-employed | 12.40% | ||

2022 | Employer | Up to $147,000 | 6.20% |

Employee | 6.20% | ||

Self-employed | 12.40% | ||

2021 | Employer | Up to $142,800 | 6.20% |

Employee | 6.20% | ||

Self-employed | 12.40% | ||

2020 | Employer | Up to $137,700 | 6.20% |

Employee | 6.20% | ||

Self-employed | 12.40% |

#### Medicare

Tax year | Employment status | Filing status | Gross income | Rate |
---|---|---|---|---|

2023 2022 2021 2020 | Employer | Single & Head of Household | Up to $200,000 | 1.45% |

Married Jointly | Up to $250,000 | |||

Married Separately | Up to $125,000 | |||

Single & Head of Household | $200,000 and over | 2.35% | ||

Married Jointly | $250,000 and over | |||

Married Separately | $125,000 and over | |||

Employee | Single & Head of Household | Up to $200,000 | 1.45% | |

Married Jointly | Up to $250,000 | |||

Married Separately | Up to $125,000 | |||

Single & Head of Household | $200,000 and over | 2.35% | ||

Married Jointly | $250,000 and over | |||

Married Separately | $125,000 and over | |||

Self-employed | Single & Head of Household | Up to $200,000 | 2.90% | |

Married Jointly | Up to $250,000 | |||

Married Separately | Up to $125,000 | |||

Single & Head of Household | $200,000 and over | 3.80% | ||

Married Jointly | $250,000 and over | |||

Married Separately | $125,000 and over |

### Income tax brackets

Every year, IRS adjusts some tax provisions for inflation. Your federal tax bracket varies yearly, and you need to check the latest data before you do your tax return.

You can refer to Tax Foundation for the latest federal income tax brackets.

The income tax rate varies from state to state. Eight states donâ€™t have an income tax, and one (New Hampshire) has no wage income tax.

Tax year | Filing status | Taxable income | Rate |
---|---|---|---|

2023 | Single | $0 - $11,000 | 10% |

$11,001 - $44,725 | 12% | ||

$44,726 - $95,375 | 22% | ||

$95,376 - $182,100 | 24% | ||

$182,101 - $231,250 | 32% | ||

$231,251 - $578,125 | 35% | ||

$578,126 and over | 37% | ||

Married, Filing Jointly or Widow(er) | $0 - $22,000 | 10% | |

$22,001 - $89,450 | 12% | ||

$89,451 - $190,750 | 22% | ||

$190,751 - $364,200 | 24% | ||

$364,201 - $462,500 | 32% | ||

$462,501 - $693,750 | 35% | ||

$693,751 and over | 37% | ||

Married, Filing Separately | $0 - $11,000 | 10% | |

$11,001 - $44,725 | 12% | ||

$44,726 - $95,375 | 22% | ||

$95,376 - $182,100 | 24% | ||

$182,101 - $231,250 | 32% | ||

$231,251 - $346,875 | 35% | ||

$346,876 and over | 37% | ||

Head of Household | $0 - $15,700 | 10% | |

$15,701 - $59,850 | 12% | ||

$59,851 - $95,350 | 22% | ||

$95,351 - $182,100 | 24% | ||

$182,101 - $231,250 | 32% | ||

$231,251 - $578,100 | 35% | ||

$578,101 and over | 37% | ||

2022 | Single | $0 - $10,275 | 10% |

$10,276 - $41,775 | 12% | ||

$41,776 - $89,075 | 22% | ||

$89,076 - $170,050 | 24% | ||

$170,051 - $215,950 | 32% | ||

$215,951 - $539,900 | 35% | ||

$539,901 and over | 37% | ||

Married, Filing Jointly or Widow(er) | $0 - $20,550 | 10% | |

$20,551 - $83,550 | 12% | ||

$83,551 - $178,150 | 22% | ||

$178,151 - $340,100 | 24% | ||

$340,101 - $431,900 | 32% | ||

$431,901 - $647,850 | 35% | ||

$647,851 and over | 37% | ||

Married, Filing Separately | $0 - $10,275 | 10% | |

$10,276 - $41,775 | 12% | ||

$41,776 - $89,075 | 22% | ||

$89,076 - $170,050 | 24% | ||

$170,051 - $215,950 | 32% | ||

$215,951 - $323,925 | 35% | ||

$323,926 and over | 37% | ||

Head of Household | $0 - $14,650 | 10% | |

$14,651 - $55,900 | 12% | ||

$55,901 - $89,050 | 22% | ||

$89,051 - $170,050 | 24% | ||

$170,051 - $215,950 | 32% | ||

$215,951 - $539,900 | 35% | ||

$539,901 and over | 37% | ||

2021 | Single | $0 - $9,950 | 10% |

$9,951 - $40,525 | 12% | ||

$40,526 - $86,375 | 22% | ||

$86,376 - $164,925 | 24% | ||

$164,926 - $209,425 | 32% | ||

$209,426 - $523,600 | 35% | ||

$523,601 and over | 37% | ||

Married, Filing Jointly or Widow(er) | $0 - $19,900 | 10% | |

$19,901 - $81,050 | 12% | ||

$81,051 - $171,050 | 22% | ||

$172,751 - $329,850 | 24% | ||

$329,851 - $418,850 | 32% | ||

$418,851 - $628,300 | 35% | ||

$628,301 and over | 37% | ||

Married, Filing Separately | $0 - $9,950 | 10% | |

$9,951 - $40,525 | 12% | ||

$40,526 - $86,375 | 22% | ||

$86,376 - $164,925 | 24% | ||

$164,926 - $209,425 | 32% | ||

$209,426 - $314,150 | 35% | ||

$314,151 and over | 37% | ||

Head of Household | $0 - $14,200 | 10% | |

$14,201 - $54,200 | 12% | ||

$54,201 - $86,350 | 22% | ||

$86,351 - $164,900 | 24% | ||

$164,901 - $209,400 | 32% | ||

$209,401 - $523,600 | 35% | ||

$523,601 and over | 37% | ||

2020 | Single | $0 - $9,875 | 10% |

$9,876 - $40,125 | 12% | ||

$40,126 - $85,525 | 22% | ||

$85,526 - $163,300 | 24% | ||

$163,301 - $207,350 | 32% | ||

$207,351 - $518,400 | 35% | ||

$518,401 and over | 37% | ||

Married, Filing Jointly or Widow(er) | $0 - $19,750 | 10% | |

$19,751 - $80,250 | 12% | ||

$80,251 - $171,050 | 22% | ||

$171,051 - $326,600 | 24% | ||

$326,601 - $414,700 | 32% | ||

$414,701 - $622,050 | 35% | ||

$622,051 and over | 37% | ||

Married, Filing Separately | $0 - $9,875 | 10% | |

$9,876 - $40,125 | 12% | ||

$40,126 - $85,525 | 22% | ||

$85,526 - $163,300 | 24% | ||

$163,301 - $207,350 | 32% | ||

$207,351 - $311,025 | 35% | ||

$311,026 and over | 37% | ||

Head of Household | $0 - $14,100 | 10% | |

$14,101 - $53,700 | 12% | ||

$53,701 - $85,500 | 22% | ||

$85,501 - $163,300 | 24% | ||

$163,301 - $207,350 | 32% | ||

$207,351 - $518,400 | 35% | ||

$518,401 and over | 37% |

### Standard deduction

Also known as post-tax deductions, you can take the standard deduction amount or itemize your deductions. If your itemized deductions are less than the standard deduction, claim the standard amount ðŸ™‚

Some of the deductions you can itemize are:

- Charitable donations
- Home mortgage interest

For a list of itemizable deductions, refer to Dough Rollerâ€™s ultimate list.

Tax year | Filing status | Standard deduction amount |
---|---|---|

2023 | Single | $13,850 |

Married, Filing Jointly | $27,700 | |

Married, Filing Separately | $13,850 | |

Head of Household | $20,800 | |

2022 | Single | $12,950 |

Married, Filing Jointly | $25,900 | |

Married, Filing Separately | $12,950 | |

Head of Household | $19,400 | |

2021 | Single | $12,550 |

Married, Filing Jointly | $25,100 | |

Married, Filing Separately | $12,550 | |

Head of Household | $18,800 | |

2020 | Single | $12,200 |

Married, Filing Jointly | $24,400 | |

Married, Filing Separately | $12,200 | |

Head of Household | $18,350 |

## FAQs

### How do I figure out how much my paycheck will be?

**Step 1**: Determine your filing status**Step 2**: Net income â€“ Adjustments = Adjusted gross income**Step 3**: Adjusted gross income - Standard/Itemized deductions = Taxable income**Step 4**: Taxable income Ã— Income tax rate (based on filing status) = Income tax liability**Step 5**: Net income Ã— Payroll tax rate = Payroll tax liability**Step 6**: Total annual income - (Income tax liability + Payroll tax liability + Pre-tax deductions + Post-tax deductions + Withholdings) = Your paycheck

### How much is a paycheck on a 40000 salary?

You will receive $2,824.96 monthly after federal tax liability for a single filer. For married filed jointly with no dependent, the monthly paycheck is $2,960.83 after federal tax liability.

### How much is a 75k paycheck?

Paycheck after federal tax liability for a single filer:

- Monthly - $4,999.54
- Bi-weekly - $2,307.48
- Weekly - $1,153.74

### How much taxes will get deducted from a $75,000 paycheck?

The federal taxes deducted for a single filer are $772.33 monthly or $356.46 bi-weekly. For married filed jointly with no dependent, the total monthly federal taxes deducted is $456.75 or $210.81 bi-weekly.

## FAQs

### How do I calculate my new paycheck? â€º

First, **determine the total number of hours worked by multiplying the hours per week by the number of weeks in a year (52).** **Next, divide this number from the annual salary**. For example, if an employee has a salary of $50,000 and works 40 hours per week, the hourly rate is $50,000/2,080 (40 x 52) = $24.04.

**How do you calculate yearly salary from hourly rate? â€º**

To calculate your yearly salary from your hourly rate of pay, multiply the hourly rate by the number of hours worked in a week, then multiply that number by 52 weeks.

**What is take home pay on $52000 a year? â€º**

If you make $52,000 a year living in the region of California, USA, you will be taxed $10,815. That means that your net pay will be **$41,185 per year**, or $3,432 per month. Your average tax rate is 20.8% and your marginal tax rate is 28.7%.

**How do I calculate my take home pay biweekly? â€º**

There are normally 26 biweekly pay periods in a year. To calculate biweekly gross salary, **divide annual salary by 26.** **Then subtract taxes, 401(k) contributions and other deductions from the amount to get net salary**.

**How do I manually calculate payroll? â€º**

Your manual payroll calculations are **based on the pay frequency and their hourly wage**. So, for someone who is full time making $11 an hour on a biweekly pay schedule, the calculation would look like this: 40 hours x 2 weeks = 80 hours x $11/hour = $880 (gross regular pay).

**How much a year is $35 an hour? â€º**

$35 hourly is how much per year? If you make $35 per hour, your Yearly salary would be **$72,800**. This result is obtained by multiplying your base salary by the amount of hours, week, and months you work in a year, assuming you work 40 hours a week.

**How much a year is $31.25 an hour? â€º**

$31.25 an hour is **$62,500 a year** in annual income.

If you earn an hourly wage of $31.25 an hour and work for an average of 40 hours a week for 50 weeks a year, you'll earn a yearly salary of $62,500.

**What is $45000 a year hourly? â€º**

That means, if you work the standard 40 hour work week, 52 weeks per year, you'd need to divide $45,000 by 2,080 hours (40 * 52). If this is your measure, $45,000 per year is **$21.63 an hour**.

**What are the tax brackets for 2023? â€º**

The 2023 tax year will have the same seven federal income tax brackets: **10%, 12%, 22%, 24%, 32%, 35% and 37%**. Your filing status and taxable income, including wages, will determine the bracket you're in.

**How much is $16 dollars an hour annually? â€º**

$16 hourly is how much per year? If you make $16 per hour, your Yearly salary would be **$33,280**. This result is obtained by multiplying your base salary by the amount of hours, week, and months you work in a year, assuming you work 40 hours a week.

### What is 60.000 a year hourly? â€º

Based on that figure, the hourly wage for a job that pays $60,000 per year is **$28.75 per hour**. Here's exactly how that $60,000 per year breaks down: $28.75 per hour. $230 per day (assuming an eight-hour work day)

**How do I calculate my take-home pay from my salary? â€º**

Figure out the take-home pay by subtracting all the calculated deductions from the gross pay, or using this formula: **Net pay = Gross pay - Deductions (FICA tax; federal, state and local taxes; and health insurance premiums)**.

**How do I calculate my monthly income if I get paid biweekly? â€º**

The Takeaway. To calculate gross monthly income from a biweekly paycheck, **find the gross amount listed on the pay stub, multiply by 26, then divide by 12**.

**How do you divide salary into biweekly? â€º**

**How to calculate biweekly pay**

- Figure out your gross annual salary.
- Divide that number by 26.
- That number is the amount you'll receive biweekly.
- If you want to know your hourly pay, take your biweekly paycheck and divide by the number of hours worked every two weeks.

**How to calculate payroll taxes 2023? â€º**

**Federal payroll tax rates for 2023 are:**

- Social Security tax rate: 6.2% for the employee plus 6.2% for the employer.
- Medicare tax rate: 1.45% for the employee plus 1.45% for the employer.
- Additional Medicare: 0.9% for the employee when wages exceed $200,000 in a year.

**What is the formula for salary calculation? â€º**

**Basic salary = Gross pay- total allowances** (medical insurance, HRA, DA, conveyance, etc.)

**What are the three methods of calculating pay? â€º**

The methods are: 1. **Time Rate System** 2. Piece Rate System 3. Incentive Wage System.

**How do you calculate salaried monthly income? â€º**

If you earn an annual salary, simply **take the amount you earn each year (your salary) and divide this amount by 12** to get your gross monthly income. For example, if Sam makes $45,000 a year and she divides her annual salary by 12, her gross monthly income is $3,750.

**How much is $25 an hour annually? â€º**

$25 hourly is how much per year? If you make $25 per hour, your Yearly salary would be **$52,000**. This result is obtained by multiplying your base salary by the amount of hours, week, and months you work in a year, assuming you work 40 hours a week.

**What is 70k a year to hourly? â€º**

A salary of $70,000 equates to a monthly pay of $5,833, weekly pay of $1,346, and an hourly wage of **$33.65**.

### How much a year is $40 per hour? â€º

How much does a 40 Dollars An Hour make? As of Jan 24, 2023, the average annual pay for a 40 Dollars An Hour in the United States is **$50,900 a year**. Just in case you need a simple salary calculator, that works out to be approximately $24.47 an hour. This is the equivalent of $978/week or $4,241/month.

**How much is $22.00 an hour annually? â€º**

$22.00 an hour is **$44,000 a year** in annual income.

If you earn an hourly wage of $22.00 an hour and work for an average of 40 hours a week for 50 weeks a year, you'll earn a yearly salary of $44,000. The calculation assumes 50 work weeks with an average of two weeks of holidays in a year.

**How much is $20 an hour annually 30 hours? â€º**

$20 hourly is how much per year? If you make $20 per hour, your Yearly salary would be **$41,600**.

**What is $40 000 a year per hour? â€º**

So if an employee earns $40,000 annually working 40 hours a week, they make about **$19.23 an hour** (40,000 divided by 2,080).

**How much is 22.50 an hour annually? â€º**

$22.50 an hour is **$45,000 a year** in annual income.

If you earn an hourly wage of $22.50 an hour and work for an average of 40 hours a week for 50 weeks a year, you'll earn a yearly salary of $45,000.

**How much is 75k a year hourly 40 hours? â€º**

$75,000 is **$37.50 an hour**.

$37.50 is the hourly wage a person who earns a $75,000 salary will make if they work 2,000 hours in a year for an average of 40 hours per week, with two weeks of total holidays. We take the annual salary of $75,000 and divide it by 2,000 to get to a $37.50 hourly rate.

**How much is $50,000 a year per hour? â€º**

An average person works about 40 hours per week, which means if they make $50,000 a year, they earn **$24.04 per hour**.

**What is standard deduction for 2023? â€º**

2023 standard tax deduction

For 2023 (taxes filed in 2024), the standard deduction will increase to **$27,700 for joint filers, $20,800 for heads of household, and $13,850 for single filers and those married filing separately**. IRS. IRS provides tax inflation adjustments for tax year 2023.

**Did tax brackets change for 2023? â€º**

When it comes to federal income tax rates and brackets, the tax rates themselves aren't changing from 2022 to 2023. The same seven tax rates in effect for the 2022 tax year â€“ 10%, 12%, 22%, 24%, 32%, 35% and 37% â€“ still apply for 2023.

**What is the IRS standard deduction for 2023? â€º**

As a single taxpayer, your standard deduction for 2023 is **$13,850**. Common itemized deductions that might take you over the $13,850 threshold include: Mortgage interest: You can deduct interest on a mortgage of up to $750,000 if you itemize your deductions.

### How do I calculate my paycheck per week? â€º

**Whether or not your hours per week vary, this calculation will look like this:**

- Hourly wage x weekly hours = weekly wage.
- Hina works part time at CNZ Groceries, where she's paid $11 per hour.

**How do I calculate my paycheck before payday? â€º**

**7 Apps That Let You Get Your Paycheck Early**

- Earnin. Earnin is an app that lets you access your money earlier than your normal pay cycle. ...
- DailyPay. DailyPay is an app that lets you access your paycheck the same day you work. ...
- FlexWage. ...
- PayActiv. ...
- Branch. ...
- Dave. ...
- MoneyLion.