Take-home pay (also called net pay) is the amount of money you actually receive in your paycheck after all taxes and deductions are subtracted from your gross pay. It represents the cash deposited into your bank account on payday and is the most practical measure of your earnings for budgeting and financial planning.
The gap between gross pay and take-home pay can be substantial. A $75,000 salary may yield only $57,000 to $62,000 in actual take-home pay, depending on your state, filing status, and pre-tax deductions. Understanding this gap is essential for setting realistic budgets and evaluating job offers.
Your gross pay is reduced by several categories of deductions:
Use our state tax calculators to see your estimated take-home pay for any income level and state. For a detailed walkthrough, see the Take-Home Pay Guide.