Estimate your take-home pay after federal tax, state tax, FICA, and 401k deductions. Uses 2026 IRS brackets and all 50 state tax rates.
An hourly worker's paycheck is the most misunderstood number on the board: the hourly rate everyone quotes is gross, but the deposit is net, and the gap between them is taxes plus, sometimes, benefits. This guide shows how to convert any hourly wage into a reliable monthly net figure in 2026, step by step, with worked examples and the traps that make people budget on the wrong number.
Gross pay is what you earn before deductions; net (take-home) is what lands in your bank. For hourly workers the gap is federal income tax, FICA (7.65%), and state income tax. At $25/hour the gross is easy to compute, but the net can be 70–78% of gross depending on your state and hours. Budget on net, never on gross.
Multiply hourly rate × hours per week × weeks per year. At $25/hour, 40 hours, 52 weeks: $25 × 40 × 52 = $52,000 gross annual. If your hours vary, average the last 3–6 months rather than using one week. The Part-Time Income Guide covers variable schedules.
Federal tax is marginal. A single filer in 2026 is taxed 10% up to $11,925, 12% to $48,475, and 22% to $103,350, after the ~$14,600 standard deduction. On $52,000 taxable income of about $37,400, federal tax is roughly $4,300 — an effective rate near 11%, not 22%. Use the Tax Guide for the full brackets.
Every worker pays Social Security at 6.2% (up to an annual wage base) plus Medicare at 1.45%, totaling 7.65% of wages. On $52,000 that is about $3,978. FICA is flat and applies whether or not your state has income tax, so it is the most predictable deduction.
Your state takes nothing (Texas, Florida), a flat percent (Illinois 4.95%), or a graduated slice (California, New York). This step is why the same $25/hour worker nets differently by state. The State Comparison Calculator isolates the state effect.
| Deduction | Texas (no tax) | California (graduated) |
|---|---|---|
| Gross annual | $52,000 | $52,000 |
| Federal + FICA | ~$8,300 | ~$8,300 |
| State tax | $0 | ~$1,400 |
| Est. monthly net | ~$3,640 | ~$3,525 |
Same wage, ~$115/month difference from state tax alone. Multiply by a higher rate or a high-tax state and the gap widens. Run your exact case with the Net Pay Calculator.
Hourly pay fluctuates with scheduled hours, so a slow week directly cuts the check. Averaging months smooths this, but the per-check number still swings. If you are paid weekly, divide annual net by 52; biweekly, by 26; semi-monthly, by 24. The calculator shows the monthly equivalent regardless of pay frequency.
Overtime adds gross at 1.5× but is taxed at ordinary rates — no penalty. At $25/hour, 10 overtime hours weekly adds about $325 gross and roughly $240 net. Over a year that is meaningful progress on debt or savings. The Overtime Pay Calculator models the premium; the Overtime Guide explains eligibility.
Enter your hourly rate, hours per week, pay frequency, and state. The tool applies federal brackets, FICA, and state tax, then returns monthly net plus an annual view. It pairs naturally with the 401(k) Deduction Calculator if you want to see how a contribution changes the net figure.
Your net is the same over a year regardless of frequency, but the per-check number differs: weekly pay divides annual net by 52, biweekly by 26, semi-monthly by 24. Biweekly months (two extra checks a year) can confuse a budget built on 12 months. The calculator shows the monthly equivalent so your budget rests on a stable figure, not a confusing pay calendar.
Beyond tax, deductions like a traditional 401(k), health insurance premium, or HSA come out pre-tax and lower taxable income, while Roth 401(k) or garnishments come post-tax. These shift your net independently of the tax math. Model the combined effect with the 401(k) Deduction Calculator so you see the real take-home after every deduction.
If any income is 1099 or app-based, no employer withholds, and you generally pay estimated tax quarterly. The 15.3% self-employment tax applies on top of income tax. Set aside 20–30% of gig income to cover the bill. This is the biggest surprise for workers who add freelance hours to a W-2 job, and it changes the net you should plan around.
Two incomes change withholding significantly — a second earner can push the household into a higher bracket or trigger a marriage penalty. The W-4 setting (single vs. married, adjustments) controls how much comes out of each check. Use the Tax Guide to set withholding so your net matches reality and you avoid a spring surprise.
Your net is the bottom-line number, but the stub explains it: gross wages, pre-tax deductions (401(k), insurance, HSA), taxable wages, federal and state withheld, FICA, and net pay. Learning the lines helps you catch errors — a missing pre-tax deduction or a wrong withholding setting — before they compound. The 401(k) Deduction Calculator shows what the pre-tax line should be.
Bonuses and commissions are often taxed using a flat supplemental rate (22% federal) upfront, then true-up at filing. That can make a bonus check look smaller than expected, but it is not extra total tax — just timing. State supplemental rates vary. Understanding this prevents the mistaken belief that "bonuses are taxed at 40%," which is a myth.
A raise never lowers your take-home, because brackets are marginal. Moving from $50,000 to $58,000 lifts net by roughly the raise minus the small slice taxed at the next rate. Use the Net Pay Calculator to see the exact monthly change, and the Tax Guide explains why the cliff fear is unfounded.
Holiday retail, summer tourism, and tax-season roles swing between heavy and quiet weeks. Annualize across the whole year, not the peak, and set aside surplus from busy weeks for lean ones. Because withholding assumes a steady rate, a short burst of high earnings can be under-withheld; a small estimated payment smooths the bill.
Pairing a W-2 job with freelance 1099 income means the W-2 withholds as if it were your only income, while the 1099 withholds nothing. The combined result is often under-withholding overall. Either boost W-2 withholding or pay quarterly estimated tax on the 1099. The Part-Time Income Guide covers stacking multiple income sources.
Before December 31, confirm your withholding matches your actual tax, max any 401(k) or HSA to lower taxable income, and verify dependents and credits on your W-4. A five-minute check prevents a spring surprise and can raise next year's net. The Tax Guide lists the moves that matter most in graduated-tax states.
Always budget on net, not gross, and annualize variable hours before trusting a weekly number. State tax is the silent variable between states, and overtime is taxed at ordinary rates. Run your exact case through the Net Pay Calculator and adjust withholding so the deposit matches reality.
Related: Hourly to Salary · 2026 Tax Guide · 50 State Wage Guides. Figures are 2026 estimates for guidance only.
Enter your details and click "Calculate Net Pay" to see your estimated monthly take-home pay after all deductions.