Methodology
The take-home pay calculation, in full
This page documents the formula each calculator applies, the published figures it uses, and the simplifications made in the current version.
The formula
Federal income tax (2026)
The standard deduction is subtracted first: $16,100 for a single filer, $32,200 for married filing jointly, and $24,150 for head of household. The remainder is taxable income, run through the progressive brackets below (single filer shown).
| Rate | Taxable income up to |
|---|---|
| 10% | $12,400 |
| 12% | $50,400 |
| 22% | $105,700 |
| 24% | $201,775 |
| 32% | $256,225 |
| 35% | $640,600 |
| 37% | no limit |
Source: IRS Rev. Proc. 2025-32, the 2026 inflation adjustments for brackets and the standard deduction (including the One Big Beautiful Bill amendments).
FICA (payroll tax)
Social Security is 6.2% of wages up to the $184,500 wage base. Medicare is 1.45% on all wages. An additional 0.9% Medicare tax applies to wages above $200,000 (single) or $250,000 (married). All three components are included.
Source: SSA 2026 (Social Security wage base $184,500; OASDI 6.2%; Medicare 1.45%; Additional Medicare 0.9%).
State income tax
Nine states take nothing from wage income: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. Those return an exact zero. States that do tax wages use a simplified flat effective rate in this first release, flagged with "est." on the state list and on the result. Full state bracket schedules are on the roadmap.
Deliberate simplifications
- Pre-tax deductions (401(k), HSA, health premiums) are not modelled. These lower taxable income, so including them would raise take-home pay.
- Tax credits (child tax credit, earned income credit, and others) are not modelled.
- Local and city income taxes and non-standard filing situations are outside the current scope.
These are estimates for general information, current as of 2026-01-01. For an exact tax situation, consult a qualified tax professional.