| Gross pay | $3,000.00 |
|---|---|
| Federal income tax withholding | - $320.38 |
| Social Security (6.2%) | - $186.00 |
| Medicare (1.45%) | - $43.50 |
| Texas income tax withholding | - $0.00 |
| Total taxes withheld | $549.88 |
| Take-home pay | $2,450.12 |
This is an estimate for planning, not tax, legal or accounting advice. Check figures with a qualified professional before you rely on them.
How it works
Employers withhold federal income tax from each paycheck using the IRS percentage method in Publication 15-T and the employee's Form W-4. They also withhold Social Security and Medicare (FICA) and, in most states, state income tax. This calculator follows the 2026 annual percentage method tables for automated payroll systems.
California and New York are calculated from each state's own 2026 withholding tables. Texas, Florida and Washington have no state income tax on wages. For any other state, only federal tax and FICA are shown because state rules vary.
Formula notes
- Annual wage = paycheck wages × pay periods + Step 4(a) − Step 4(b) − $12,900 (married filing jointly) or $8,600 (others), unless Step 2(c) is checked. The result looks up the 2026 annual table (standard or Step 2), divides by the periods, subtracts Step 3 credits per period and adds Step 4(c).
- Social Security = 6.2% of wages up to the $184,500 wage base. Medicare = 1.45% of all wages. Additional Medicare = 0.9% of wages above $200,000 in the year.
- California: DE 44 Method B, plus 1.3% State Disability Insurance with no wage limit. New York: NYS-50-T-NYS Method II annual schedule.
- Pre-tax 401(k) reduces income tax wages but not Social Security and Medicare wages.
- Not included: local taxes, other pre-tax benefits, garnishments, supplemental-wage flat rates and legacy (pre-2020) Form W-4 allowances.
Sources
- IRS Publication 15-T (2026): federal income tax withholding methods
- IRS Publication 15 (Circular E)
- SSA: 2026 Social Security changes (wage base)
- California EDD: DE 44 California Employer's Guide
- New York: NYS-50-T-NYS withholding tax tables
Estimate, not tax advice. Check figures with a qualified professional before you rely on them.
Common questions
How accurate is this paycheck estimate?
It follows the published 2026 withholding methods, so it should be close to what a payroll system withholds for the same inputs. Your actual paycheck can differ because of benefits, local taxes, garnishments and your employer's settings.
Why is federal withholding different from the tax I owe?
Withholding is an estimate spread over the year based on your Form W-4. Your final tax is settled when you file your return, and you receive a refund or owe the difference.
Which states are included?
California and New York are calculated from official 2026 tables. Texas, Florida and Washington have no wage income tax. For other states we show federal tax and FICA only.
Does a 401(k) contribution lower my taxes?
A traditional 401(k) deferral lowers the wages subject to federal and most state income tax, but not Social Security and Medicare.
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