Salary after tax,
shown as monthly
take-home pay.

Worked example: a $60,000 salary

Assume one employee, one job, no credits, no retirement contributions, and no state tax. With the 2026 single standard deduction of $16,100, federal taxable income is $43,900. The first $12,400 is taxed at 10% and the remaining $31,500 at 12%, giving $5,020 in estimated federal income tax.

Annual gross salary

$60,000

Federal income tax

$5,020

Social Security and Medicare

$4,590

Annual net after modeled deductions

$50,390

Average monthly net

$4,199

Employee Social Security is 6.2% of covered wages up to the 2026 wage base of $184,500. Medicare is 1.45% of wages, with an additional amount above the model's $200,000 single-employee threshold. Neither the employer's contribution nor health insurance premiums are deducted in this example.

Compare salaries using the same assumptions

These examples use the same 2026 federal model and exclude state tax and benefits. Keeping assumptions fixed makes the effect of a salary change easier to see. Dollar values are rounded independently.

A higher tax bracket applies to the portion of taxable income in that bracket. It does not apply the higher rate to the entire salary. The effective rate shown by this tool is different again: all modeled deductions divided by gross salary, including payroll contributions and any selected state adjustment.

Why your payslip can differ

• Pay frequency: monthly net is annual net divided by 12. A typical biweekly schedule has 26 payments, while twice-monthly pay has 24. Two biweekly checks are not the same as an average month.
• Withholding: payroll uses your withholding instructions and pay-period rules. An annual tax estimate does not predict each paycheck or the refund or balance on a return.
• Benefits and retirement: insurance, retirement contributions, and other deductions can change both taxable pay and the amount deposited. This form does not collect those amounts.
• Location: selecting no state means zero state tax in this calculation. Selecting a state applies a fixed percentage to gross salary; state brackets, deductions, credits, city taxes, and state payroll programs are not modeled.
• Household circumstances: dependents, multiple jobs, a spouse's earnings, itemized deductions, and self-employment can change the result. The homepage assumes a single employee without those adjustments.

Turn the estimate into an offer comparison

Compare offers in the same pay period, then list the costs that change between them. For example, an extra $300 of monthly net pay paired with $200 more commuting cost and $150 more insurance cost leaves $50 less each month. That comparison can be more useful than the difference between headline salaries.

For a move, add housing, transport, and benefit costs separately. A state tax adjustment does not measure cost of living. Before committing to a budget, replace this model's estimate with an employer payroll illustration or your actual net pay, then allow for irregular bills and savings.

Sources and calculation method

The federal figures above can be checked against IRS Revenue Procedure 2025-32 (2026 brackets and standard deductions) and the Social Security contribution and benefit base history. These sources support the federal assumptions; they do not validate the tool's simplified state rates.

For current paycheck withholding, use the IRS Tax Withholding Estimator and your state's tax authority. Read our methodology and limitations, or report a calculation issue with the salary and selected state. Do not send a payslip or tax identification number.