Paycheck Basics

How to Read a Pay Stub: Every Line Decoded (2026)

Your complete 2026 pay stub decoder. Learn what every line means - gross pay, YTD, FICA, Fed OASDI/EE, net pay, pre-tax deductions - with a real annotated example.

15 min read - Updated for 2026
Elena Marquez, Tax Research Lead at PaycheckSense

Written by Elena Marquez

Tax Research Lead

Jordan Avery, Lead Editor at PaycheckSense

Reviewed by Jordan Avery

Lead Editor

Last updated June 17, 2026

Fact-checked: IRS Publication 15-T and SSA wage-base data

How we calculated these examples →

Social Security
6.2%
On first $184,500
Medicare
1.45%
No cap - all wages
SS wage base
$184,500
2026 cap
Typical net
75-87%
Of gross pay

Source: IRS Publication 15; SSA 2026 wage base; IRC §3101 FICA rates

Quick answer: how to read a pay stub
  • Earnings: Gross pay is what you earned before anything is taken out.
  • Taxes: Federal income tax (FIT), Social Security (OASDI), Medicare, and state tax are mandatory withholdings.
  • Deductions: 401(k), health insurance, HSA, and other benefits reduce what you take home.
  • Net pay: The bottom line is what hits your bank account after all deductions.

Use the Verify Pay Stub calculator below to compare your actual stub against expected withholding.

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Mode
Tax Year
Latest
No state income tax!

$2,200 credit each (2026)

$500 credit each

Total before any deductions

Labelled FIT or Fed Tax on your stub

Labelled OASDI or Soc Sec on your stub

Labelled Medicare or Med on your stub

Labelled SIT or State Tax on your stub

Your actual take-home this pay period

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You worked hard for that money. When your paycheck arrives, you see codes like Fed OASDI/EE, YTD, and FICA.

This guide decodes every line in plain English. You will see a real 2026 pay stub with every field explained.

By the end, you will know where your money goes. You will also know what you can change and how to spot errors.

The anatomy of a pay stub - the 6 sections

Every pay stub follows the same basic structure. The visual design differs by payroll provider. ADP, Gusto, Paychex, and Workday all organize the same data into these six sections:

1

Employee and employer information

Your name, address, employee ID, your employer's name, pay period dates, and pay date. This section also shows your pay frequency (biweekly, semi-monthly, weekly, or monthly). It may include your department or job title.

2

Earnings

Your gross pay for the period. That is the total you earned before anything is taken out. For salaried workers: annual salary divided by pay periods. For hourly workers: hours worked times hourly rate. This section also shows overtime, bonuses, commissions, and other earnings types on separate rows.

3

Mandatory tax deductions

Federal income tax, Social Security (OASDI), Medicare, and state income tax. These are required by law. You cannot opt out. Amounts are calculated using IRS withholding tables, your W-4 elections, and fixed statutory rates.

4

Voluntary deductions

Pre-tax elections you chose during open enrollment or onboarding: 401(k) contributions, health insurance premiums, HSA, FSA, and commuter benefits. These deductions reduce your taxable income. Post-tax deductions (Roth 401k, after-tax life insurance) appear here too. They do not reduce taxable income.

5

YTD columns

Year-To-Date running totals for every earnings and deduction line, from January 1 through the current pay period. YTD figures help you track progress toward contribution limits (401k: $23,500 in 2026) and the Social Security wage base ($184,500 in 2026).

6

Net pay

The bottom line. Gross pay minus all deductions equals net pay - this is the amount deposited into your bank account. It's also called take-home pay. See the exact math in the example below.

Real annotated pay stub - every field explained

Here is a complete 2026 pay stub for a single filer earning $85,000/year in Texas (no state income tax). The worker is paid biweekly and contributes to a traditional 401(k) and health insurance. Every field is explained. This matches the format used by ADP, Gusto, and Paychex.

ACME CORPORATION - EMPLOYEE PAY STUB
Employee: Alex Johnson  |  ID: EMP-4471  |  Dept: Engineering
Pay Period: May 17-May 30, 2026
Pay Date: May 30, 2026  |  Biweekly (Period 11 of 26)
Item This Period YTD Total
Earnings Gross pay before any deductions
Regular Pay $85,000 / 26 biweekly periods = $3,269.23/check
$3,269.23
$35,961.54
GROSS PAY Total earned this period - before any deductions
$3,269.23
$35,961.54
Pre-Tax Deductions Reduce your federal (and usually state) taxable income
401(k) Traditional Reduces federal taxable income - NOT Social Security or Medicare base
-$326.92
-$3,596.12
Medical Insurance (Section 125) Employer-sponsored health plan - reduces federal income tax AND FICA
-$180.00
-$1,980.00
Federal Taxable Wages After Pre-Tax Deductions $3,269.23 - $326.92 - $180.00 = this amount. Income tax calculated on THIS figure.
$2,762.31
$30,385.42
Federal Taxes Fixed by law - you cannot opt out
Federal Income Tax Based on IRS 2026 withholding tables + your W-4 elections (Single, no adjustments)
-$268.00
-$2,948.00
Fed OASDI/EE Social Security 6.2% x $3,269.23 gross wages. Calculated on GROSS (pre-tax deductions don't reduce this, except Section 125 health). Stops when YTD hits $184,500.
-$202.69
-$2,229.59
Fed Med/EE Medicare 1.45% x $3,269.23 gross wages. No cap - applies to every dollar earned all year. Additional 0.9% begins if YTD exceeds $200,000.
-$47.40
-$521.40
State & Local Taxes Varies by state - 0% to 13.3%
Texas State Income Tax Texas has no state income tax - this line shows $0.00 for all Texas workers
$0.00
$0.00
Net Pay (Direct Deposit) Gross - pre-tax deductions - all taxes = this amount. Deposited via ACH on May 30, 2026.
$2,244.22
$24,686.43
Filing status: Single - Pay frequency: Biweekly (26x/year) - State: Texas - Pre-tax: 401(k) $326.92, Medical $180.00 - Net-to-gross ratio: 68.6% this period (lower because 401k contribution) - Employer also pays: Fed OASDI/ER $202.69 + Fed Med/ER $47.40 + FUTA/SUI (not shown on employee stub)

Section 1: Earnings - gross pay, hourly, overtime

The earnings section is the top of your pay stub - it shows everything you earned for the pay period before anything is subtracted. This is your gross pay.

Earnings type How it's calculated Example ($85k salary, biweekly) Notes
Regular Pay (salary) Annual salary divided by pay periods $85,000 / 26 = $3,269.23 Same each pay period for salaried workers
Regular Pay (hourly) Hours worked x hourly rate 80 hrs x $25.00 = $2,000.00 Changes with your hours each period
Overtime Hours over 40/week at 1.5x rate 5 hrs x $37.50 = $187.50 CA pays OT after 8 hours per day
Overtime Premium (OBBBA 2026) The extra 0.5x portion of OT pay 5 hrs x $12.50 = $62.50 premium Up to $12,500/year may be deductible
Bonus / Commission One-time or recurring extra pay $5,000 quarterly bonus Often withheld at 22% federal rate
Tips (2026 OBBBA) Cash or card tips you earned $800 in tips this period Up to $25,000/year may be deductible
PTO / Vacation pay Same rate as your regular pay 3 days x daily rate Taxed the same as regular wages
Gross Pay (total) Sum of all earnings above $3,269.23 Starting point for all deductions
-> Related guide Overtime Tax in 2026: How Overtime Is Taxed + OBBBA Deduction Overtime isn't taxed at a special rate - but the 2026 OBBBA created a $12,500 overtime premium deduction. How it appears on your pay stub and how to claim it on your W-4.

Section 2: Federal taxes - the three mandatory deductions

Three federal deductions appear on every pay stub in the United States. You cannot opt out of them. Below is what each one is, how it is calculated, and the label your payroll system likely uses.

Federal Income Tax

Federal income tax uses the IRS Percentage Method from Publication 15-T. ADP, Gusto, Paychex, and every other payroll system use the same method. The amount withheld depends on:

  • Your W-4 filing status (Single, MFJ, HoH, MFS)
  • Dependents entered in W-4 Step 3 ($2,200 per child under 17 in 2026)
  • Additional deductions entered in W-4 Step 4(b)
  • Extra withholding requested in W-4 Step 4(c)
  • Your pay frequency (biweekly, semi-monthly, weekly, monthly)
Your federal income tax withholding is an estimate, not your exact tax bill
Payroll systems annualize your income based on your pay and withhold accordingly. If you have multiple jobs, large bonuses, or significant investment income, your withholding may not match your actual tax liability. Use the IRS Withholding Estimator each year to verify you are on track.

Fed OASDI/EE - Social Security tax (6.2%)

Detail2026 value
Full name on pay stubFed OASDI/EE, SS Tax, or Social Security
What OASDI stands forSocial Security (formal name: OASDI)
What /EE meansEmployee share. /ER is the employer share.
Rate6.2% of your gross wages
2026 wage base (cap)$184,500. Social Security stops after this.
Calculated onGross wages. Your 401(k) does not reduce this.
Maximum you pay in 2026$11,439 ($184,500 x 6.2%)
Example (our stub)$3,269.23 x 6.2% = $202.69 per check
Employer match (not on your stub)Your employer also pays 6.2% separately
When Social Security stops, and why your paycheck jumps
If you earn more than $184,500 in 2026, Social Security withholding stops once your YTD wages cross that threshold. At a $184,500/year salary, this happens around your 24th paycheck (biweekly). The next check is about $342 larger because the 6.2% SS deduction vanishes. This is not an error. See our guide on when Social Security stops being withheld.

Fed Med/EE - Medicare tax (1.45%)

Detail2026 value
Full name on pay stubFed Med/EE, Medicare, or Med/EE
Rate1.45% of all your gross wages
Additional Medicare surtaxExtra 0.9% when YTD pay exceeds $200,000
Calculated onGross wages. Health insurance may reduce it.
Example (our stub)$3,269.23 x 1.45% = $47.40 per check
Employer matchYour employer pays 1.45% separately
-> Deep dive OASDI on Your Paycheck: What Every FICA Label Means Every label payroll systems use for SS and Medicare - Fed OASDI/EE, SS Tax, HI, Med/EE - and why FICA is calculated on gross wages even after your 401k contribution. -> Complete FICA guide FICA Taxes 2026: Social Security & Medicare - The Full Breakdown Why you pay both sides as self-employed, what the employer match costs, and how SS and Medicare fund your future benefits - complete 2026 rates and wage base.

Section 3: State and local taxes

Below federal taxes, your pay stub shows state income tax if your state has one. Nine states have no state income tax at all: Texas, Florida, Nevada, Washington, Wyoming, Alaska, South Dakota, Tennessee, and New Hampshire.

Everyone else follows state withholding tables and a state withholding form. That form is usually tied to your W-4. California requires a separate DE-4.

What appears on stub State At $75,000 salary (biweekly) Annual state tax
State Tax - TX - (blank) Texas, Florida, WA, NV, WY, AK, SD, TN, NH $0.00 $0
IL SIT - Illinois State Tax Illinois (4.95% flat) -$142.79 -$3,713
GA State Tax - Georgia Georgia (5.39% flat) -$155.54 -$4,044
NY SIT - New York State New York (progressive to 10.9%) -$176.92 -$4,600
CA SIT + CA SDI California (progressive to 13.3% + SDI 1.2%) -$151.69 + -$34.62 -$4,850

Some states also have additional deductions on your stub: California's SDI (1.2% disability insurance), New York's SDI ($0.60/week), New Jersey's SDI/FLI (0.09%), and Washington's WA Cares Fund LTC tax (0.58%). See the relevant state page: California - New York - Texas - Florida

Section 4: Pre-tax and post-tax deductions

After mandatory taxes come voluntary deductions - things you elected during onboarding or open enrollment. These split into two critical categories that work very differently:

Deduction type Reduces federal income tax? Reduces FICA (SS + Medicare)? Common examples
Pre-tax / Section 125 Yes Yes Yes Yes Health, dental, vision, FSA, commuter benefits
Pre-tax / Non-Section 125 Yes Yes No No Traditional 401(k), 403(b), HSA, IRA payroll
Post-tax No No No No Roth 401(k), garnishments, loan repayments
The 401(k) FICA myth: one of the most common pay stub misunderstandings
Many people believe a traditional 401(k) contribution reduces their Social Security and Medicare taxes. It does not. FICA taxes are always calculated on your gross wages. The 401(k) deduction happens after FICA is assessed. Only Section 125 health insurance reduces both income tax and FICA. A $500 traditional 401(k) contribution saves you about $110 in federal income tax (22% bracket) but $0 in FICA. See exactly how this works in our gross vs net income guide.

Common deduction labels and what they mean

Pay stub label What it is 2026 limit Pre/Post tax
401K, 401(k), TRAD 401KTraditional 401(k) contribution$23,500/yr ($31,000 if 50+)Pre-tax
ROTH 401K, ROTHRoth 401(k) contributionSame as above (combined limit)Post-tax
MED, Medical, Health InsHealth insurance premium (Section 125)Varies by planPre-tax
DEN, Dental, DENT INSDental insurance premiumVaries by planPre-tax
VIS, Vision, VIS INSVision insurance premiumVaries by planPre-tax
HSA, H.S.A.Health Savings Account contribution$4,300 self/$8,550 familyPre-tax
FSA, HC FSA, Health FSAHealth Flexible Spending Account$3,300/yrPre-tax
DEP CARE FSA, DCFSADependent Care FSA$5,000/yrPre-tax
TRANSIT, COMMUTERTransit/commuter benefit$325/monthPre-tax
GTL, Group Term LifeEmployer-paid life insurance over $50,000 - imputed incomeN/A - this is taxable income addedTaxable addition
GARNISH, LEVYCourt-ordered wage garnishmentMax 25% of disposable earningsPost-tax, mandatory
401K LOAN, LOAN REPAYRepayment of 401(k) loanVaries by loanPost-tax

Section 5: YTD - what Year-To-Date means and why it matters

YTD stands for Year-To-Date. Every earnings and deduction line on your pay stub has two columns: "This Period" (just this paycheck) and "YTD" (accumulated total from January 1 through today). Understanding YTD helps you with three things:

1. Tracking the Social Security wage base

Check your YTD OASDI column. Once it reaches $11,439.00 (which is 6.2% of $184,500), your Social Security withholding for the year is complete, and the deduction will stop appearing on future checks. This typically happens in October-November for workers earning $184,500+/year.

2. Tracking 401(k) contribution limits

The 2026 401(k) limit is $23,500 ($31,000 if age 50+). Monitor your YTD 401(k) column to avoid over-contributing. If you max out mid-year and want to keep the payroll deduction, you'll need to update your contribution percentage with HR. Over-contributions must be returned and are taxable.

3. Verifying your employer is paying you correctly

YTD x 26 (biweekly) should equal your annual salary approximately. If period 11 shows $35,961 YTD and you earn $85,000, that's $3,269.23 x 11 = $35,961.53 - correct. A discrepancy here can indicate a missed paycheck or an error in your rate.

YTD at a glance - what to check on every pay stub
YTD columnWhat to monitor2026 threshold
YTD Gross PayShould equal current period x number of periods paidYour annual salary
YTD OASDI/EEStops at max; if it continues past max, errorMax $11,439.00
YTD 401(k)Don't exceed contribution limitMax $23,500 ($31,000 if 50+)
YTD Federal TaxShould be proportional to expected annual taxVerify with IRS Estimator
YTD Net PayTotal deposited to your bank this yearReconcile with bank statements

Section 6: Net pay - the bottom line

Net pay is the final result after all deductions. The math is always the same:

Gross Pay (earnings)
- Pre-tax deductions (401k, HSA, health insurance)
= Federal taxable income
- Federal income tax (based on W-4 and 2026 brackets)
- Social Security: 6.2% of gross (stops at $184,500)
- Medicare: 1.45% of gross (no cap)
- State income tax (0%-13.3% depending on state)
- Post-tax deductions (Roth 401k, garnishments)

= Net Pay -> direct deposited to your bank account
Verify your net pay instantly
See exactly how your gross becomes net - line by line. Enter your salary, state, and deductions.

Calculate my take-home -> California Texas New York
-> Foundation guide Gross vs Net Income: What's the Real Difference? (2026) Net-to-gross ratios at $50k, $75k, and $100k across all states. The mortgage trap explained: lenders use gross, you live on net. Real examples with all deductions.

Complete pay stub abbreviations glossary (A-Z)

Every payroll system uses slightly different labels for the same items. ADP, Gusto, Paychex, Workday, Ceridian, and Paycom each have their own abbreviations. Here is every abbreviation you are likely to encounter:

401K / TRAD401K
Traditional 401(k) pre-tax contribution. Reduces federal taxable income. Does NOT reduce FICA. 2026 limit: $23,500.
403B / 403(b)
403(b) retirement plan for non-profit and school employees. Same pre-tax treatment as 401(k).
Add Medicare / Addl Med
Additional Medicare Tax (0.9%) withheld once YTD wages exceed $200,000 (single) or $250,000 (MFJ).
CA SDI / SDI
California State Disability Insurance. Rate: 1.2% of all wages (no cap) in 2026. Funds CA disability and paid family leave programs.
CA SIT / CA Inc Tax
California State Income Tax withholding. Progressive 1%-13.3% rate. Calculated using CA DE-4 or federal W-4 as default.
COMMUTER / TRANSIT
Pre-tax commuter/transit benefit. 2026 limit: $325/month for transit + $325/month for parking. Reduces both income tax AND FICA (Section 132).
DCFSA / DEP CARE FSA
Dependent Care Flexible Spending Account. Pre-tax. 2026 limit: $5,000/year ($2,500 if MFS). Used for childcare, daycare, summer camp.
DEN / DENTAL
Dental insurance premium withheld under Section 125 cafeteria plan. Pre-tax - reduces income tax AND FICA.
EE
Employee (as in OASDI/EE = employee's Social Security). Your portion. ER = employer's matching portion (not on your stub).
ER
Employer. Never appears on your stub - employer's FICA match and other contributions are paid separately by the company.
FED TAX / FIT / Fed Inc Tax
Federal Income Tax withheld. Based on IRS 2026 withholding tables (Pub 15-T) and your W-4 elections. Can be adjusted via W-4.
Fed Med/EE / MEDICARE / HI
Medicare tax - employee share. 1.45% of all gross wages. No annual cap. HI = Hospital Insurance (Medicare's formal name).
Fed OASDI/EE / SS TAX / SOC SEC
Social Security tax - employee share. 6.2% of gross wages up to $184,500 in 2026. OASDI = Old-Age, Survivors, Disability Insurance.
FSA / HC FSA / HEALTH FSA
Health Flexible Spending Account. Pre-tax. 2026 limit: $3,300/year. Use-it-or-lose-it (with some grace period exceptions).
GARNISH / LEVY / WAGE LEVY
Court-ordered wage garnishment or IRS tax levy. Post-tax. Cannot exceed 25% of disposable earnings under CCPA (federal law).
GTL / Group Term Life
Group Term Life insurance. If employer-paid coverage exceeds $50,000, the value of the excess is added to taxable wages as imputed income. This ADDS to your taxable wages - it's not a deduction.
HI / Hospital Insurance
Medicare's formal name. Same as Fed Med/EE. 1.45% of all wages.
HSA / H.S.A.
Health Savings Account. Pre-tax if contributed through payroll. 2026 limit: $4,300 self-only, $8,550 family. Must have a qualifying high-deductible health plan (HDHP).
IMPUTED / IMP INC
Imputed income - the taxable value of non-cash benefits (GTL over $50k, domestic partner coverage, personal use of company car). Added to taxable wages.
MED / Medical / Health Ins
Health insurance premium under employer's Section 125 cafeteria plan. Pre-tax. Reduces both income tax AND FICA (unlike 401k).
NY SDI / SDI
New York State Disability Insurance. $0.60/week employee deduction. Post-tax.
NY PFL / Paid Fam Leave
New York Paid Family Leave. 0.373% of wages in 2026 (capped at state average weekly wage). Post-tax employee contribution.
NJ SDI / NJ FLI
New Jersey State Disability Insurance and Family Leave Insurance. Combined 0.09% employee rate in 2026. Post-tax.
OASDI
Old-Age, Survivors, and Disability Insurance - the formal name for Social Security. OASDI/EE = your 6.2% share. OASDI/ER = employer's matching 6.2% (not on your stub).
OT / Overtime / OT 1.5x
Overtime pay at 1.5x your regular rate for hours over 40/week (federal FLSA). California: 1.5x after 8 hrs/day; 2x after 12 hrs/day.
ROTH / ROTH 401K
Roth 401(k) contribution. Post-tax - does NOT reduce taxable income now, but qualified distributions in retirement are tax-free.
ST TAX / SIT / State Inc Tax
State Income Tax withholding. Rate varies by state (0% in TX, FL, WA, NV, WY, AK, SD, TN, NH - up to 13.3% in CA).
VIS / Vision / VIS INS
Vision insurance premium under Section 125. Pre-tax - reduces income tax AND FICA.
WA LTC / WA Cares
Washington Cares Fund - Long-Term Care Insurance. 0.58% of all wages (no cap). Post-tax, mandatory for WA workers. Exemptions available for private LTC coverage.
YTD
Year-To-Date. Running total from January 1 of the current year through the current pay period for each earnings or deduction line.

What you can and cannot change on your pay stub

Yes You CAN change these

  • Federal income tax - update your W-4 with your employer. Filing status, Step 3 dependents ($2,200/child), Step 4(b) deductions, Step 4(c) extra withholding. 2026 OBBBA: new lines for overtime premium ($12,500 max) and tips ($25,000 max).
  • 401(k) contribution rate - change your contribution % in your employer's benefits portal or through HR. Takes effect within 1-2 pay periods.
  • Health/dental/vision elections - usually only at open enrollment or after a life event (marriage, birth, divorce).
  • HSA contribution amount - change anytime during the year up to the annual limit. Takes effect next pay period.
  • FSA contribution amount - typically locked after open enrollment except on qualifying life events.

No You CANNOT change these

  • Social Security rate (6.2%) - fixed by federal law. You cannot opt out regardless of your age, income, or beliefs.
  • Medicare rate (1.45%) - fixed by federal law. No exceptions.
  • Additional Medicare (0.9%) - automatic once YTD wages exceed $200k (single).
  • State income tax rate - fixed by state law. Your employer must withhold at the statutory rate.
  • Court-ordered garnishments - mandatory once issued. Only modifiable by the issuing court.
  • California SDI (1.2%) - mandatory for all CA employees. No opt-out.
-> Take action How to Fill Out Your W-4 in 2026: Step-by-Step (New OBBBA Lines) Your W-4 is the most powerful lever you have over your federal income tax withholding. Updated for 2026: new Step 4(b) lines for overtime ($12,500) and tips ($25,000) under OBBBA, plus the updated Child Tax Credit of $2,200 per child in Step 3.

How to spot errors on your pay stub

Payroll errors are more common than most people realize. Check these items on every pay stub. Pay extra attention after January (new tax tables), a raise, open enrollment changes, or a job change.

What to check How to verify What an error looks like
Gross pay amount Annual salary / 26 (biweekly) or / 24 (semi-monthly) Amount doesn't match expected value after a raise
OASDI rate (6.2%) Gross wages x 6.2% = OASDI/EE amount Rate is wrong (common after software updates in January)
OASDI after wage base Check if YTD OASDI exceeds $11,439 - if so, it should stop SS still being withheld after $184,500 YTD wages
Medicare rate (1.45%) Gross wages x 1.45% = Med/EE amount Rate applied to net instead of gross, or wrong percentage
Health insurance premium Match to open enrollment confirmation email Wrong plan selected or premium not updated after open enrollment
401(k) contribution Gross wages x your elected % = 401(k) amount New contribution rate not reflected after change request
Correct filing status Check W-4 on file - federal tax should reflect your elections Withholding unchanged after submitting a new W-4
OBBBA deductions (new 2026) If you updated W-4 for overtime/tips deduction, verify reduced withholding W-4 step 4(b) changes not processed within 2 pay periods
If you find an error - here's what to do

Document the specific discrepancy: which line is wrong, what the correct amount should be (show your math), and which pay period(s) it affects. Send it in writing to HR or payroll. Email creates a paper trail. Employers are generally required to correct payroll errors promptly.

For under-withholding errors that result in a tax shortfall, you may need to file a corrected W-4 or make a direct IRS estimated payment. For errors involving FICA (Social Security or Medicare over- or under-collection), the employer must file a corrected Form 941.

-> Diagnostic guide Why Did My Paycheck Go Down? 11 Reasons Explained (2026) If your check shrank unexpectedly - January FICA SS base reset, open enrollment, 401(k) auto-escalation, bonus withholding catch-up - all 11 causes with specific fixes for each.
Now that you understand every line - calculate your exact pay stub
Enter your salary, state, filing status, and deductions. See your real-time breakdown matching every section of this guide. Free, instant, all 50 states, updated for 2026 OBBBA.

Calculate my pay stub -> 2026 Tax Brackets Gross vs Net

Frequently asked questions

What does YTD mean on a pay stub?
YTD means year to date. It is your running total since January 1. You can use it to track Social Security limits, 401(k) savings, and taxes paid so far.
What is Fed OASDI/EE on a pay stub?
It is your Social Security tax. You pay 6.2% on gross wages up to $184,500 in 2026. EE means it comes from your pay. It stops once you hit the wage base.
What is Fed Med/EE on a pay stub?
It is your Medicare tax. You pay 1.45% on all wages. If your pay goes over $200,000, you may also see an extra 0.9% withheld.
Why is my net pay less than my salary?
Taxes and benefits come out before you get paid. Most workers keep 75% to 87% of gross pay. Use our calculator to see your exact breakdown.
Why did Social Security stop coming out of my paycheck?
You hit the $184,500 wage base in 2026. Social Security stops after that. Your next check may be larger. Medicare still applies to all wages.
What does a pre-tax deduction mean on a pay stub?
It lowers your taxable pay before income tax is calculated. Your 401(k) lowers income tax but not Social Security or Medicare. Health insurance lowers both.
What deductions can I change on my pay stub?
You can update your W-4, 401(k) rate, and HSA amount. Health and FSA choices usually change at open enrollment or after a life event. You cannot change FICA rates.
What is GTL on a pay stub?
GTL is group term life insurance. If your employer covers more than $50,000, the extra value is added to your taxable wages. It is not a deduction from your pay.

Related guides on PaycheckSense

Put your new pay stub knowledge to work
Now that you understand every line - check that your withholding matches what you should owe. Enter your salary, state, and deductions into our calculator and compare it to your actual stub.

Calculate and verify my pay stub ->

Disclaimer: This guide is for informational purposes only. Payroll calculations vary by employer, state, and individual circumstances. The examples use estimates and should not be used as a substitute for professional tax or payroll advice. Consult a CPA, enrolled agent, or HR professional for guidance on your specific situation.
Sources: IRS Publication 15 (2026); IRS Publication 15-T; IRC §3101 (FICA rates); SSA 2026 wage base; DOL FLSA record keeping requirements.

Sources and methodology

All tax rates and withholding information sourced from IRS publications for 2026. Payroll deduction rules sourced from IRS Publication 15, IRC §3101 (FICA rates), and DOL FLSA record keeping requirements. This article is for informational purposes only and does not constitute tax or legal advice. Consult a CPA or tax professional for guidance specific to your situation.

  1. IRS Publication 15-T (2026) - Federal Income Tax Withholding Methods. The source all payroll systems use. irs.gov/publications/p15t
  2. IRS Publication 15 (2026) - Employer's Tax Guide. FICA rates, taxable wages, deposit rules. irs.gov/publications/p15
  3. IRS Topic No. 751 - Social Security and Medicare Withholding Rates (2026). irs.gov/taxtopics/tc751
  4. SSA: 2026 Social Security Wage Base - $184,500. ssa.gov/oact/cola/cbb.html
  5. IRS Revenue Procedure 2025-32 - 2026 tax bracket thresholds and standard deduction amounts. irs.gov
  6. OBBBA P.L. 119-21 (signed July 4, 2025) - Overtime and tips deduction provisions; Child Tax Credit $2,200; QBI deduction permanent. irs.gov/newsroom/one-big-beautiful-bill-provisions
  7. DOL FLSA Fact Sheet #21 - Records employers must keep about employee pay. dol.gov
  8. IRS IRC §3101 - FICA employee tax rates (statutory basis for Social Security and Medicare deductions). law.cornell.edu

Verify your pay stub

Enter gross pay, FIT, OASDI, Medicare, state tax, and net pay to check if withholding looks right.