What the calculator estimates
For every state page, PaycheckClear estimates annual take-home pay for a W-2 employee. The model is deliberately transparent: it uses published brackets, a documented calculation order, and a visible breakdown instead of a single unexplained number. It does not file taxes, prepare a W-2, or replace an employer payroll system.
The calculation order
- Annualize gross pay. Annual is used as-is, monthly × 12, semi-monthly × 24, biweekly × 26, weekly × 52, hourly × hours per week × 52.
- Subtract Section 125 health premiums and dependent care FSA contributions from federal, state, and FICA wages.
- Subtract 401(k) or 403(b) contributions from federal and state wages, but not FICA wages.
- Subtract HSA payroll contributions from federal, state, and FICA wages.
- Apply the federal standard deduction by filing status, then the 2026 marginal brackets.
- Calculate Social Security at 6.2% up to the wage base, Medicare at 1.45%, and Additional Medicare at 0.9% above the filing-status threshold.
- Apply state taxable wage rules, including the state standard deduction, personal exemptions, and any state-specific disallowance of 401(k) or HSA deductions.
- Add local income tax and state payroll contributions where applicable.
- Subtract all taxes and pre-tax deductions from gross pay. Keep full precision internally and round only for display.
Federal income tax assumptions
The 2026 standard deduction used here is $16,100 for single filers, $32,200 for married filing jointly, $16,100 for married filing separately, and $24,150 for head of household. The bracket thresholds come from IRS Rev. Proc. 2025-32 and the IRS newsroom release IR-2025-103.
| Taxable income | Marginal rate |
|---|---|
| $0 – $12,400 | 10% |
| $12,400 – $50,400 | 12% |
| $50,400 – $105,700 | 22% |
| $105,700 – $201,775 | 24% |
| $201,775 – $256,225 | 32% |
| $256,225 – $640,600 | 35% |
| Over $640,600 | 37% |
The calculator applies the brackets as marginal bands, not as a flat rate on the whole income. It also applies the nonrefundable Child Tax Credit and Credit for Other Dependents against estimated federal tax, with the statutory phaseout. The refundable Additional Child Tax Credit is not modeled. Extra withholding entered on W-4 line 4(c) is annualized by the selected pay frequency and added to federal tax.
State income tax assumptions
State rules are not copies of the federal rules. The table below shows which states allow a 401(k) deduction, which allow an HSA deduction, and which have local income tax in the model. A state with no standard deduction can tax nearly the full salary even when the federal taxable wage is much lower.
| State | 2026 rate | 401(k) deductible | HSA deductible | Local tax modeled |
|---|---|---|---|---|
| Florida | No wage tax | Yes | Yes | No |
| Georgia | 4.99% | Yes | Yes | No |
| Illinois | 4.95% | No | Yes | No |
| Michigan | 4.25% | Yes | Yes | Yes |
| Mississippi | 4%–4% | Yes | Yes | No |
| North Carolina | 3.99% | Yes | Yes | No |
| Ohio | 2.75%–2.75% | Yes | Yes | Yes |
| Pennsylvania | 3.07% | No | No | Yes |
| Texas | No wage tax | Yes | Yes | No |
| West Virginia | 2.11%–4.58% | Yes | Yes | No |
Illinois and Pennsylvania do not allow a 401(k) deduction in this model. Pennsylvania also treats HSA contributions as taxable. Michigan starts from the federal standard deduction and then applies a personal exemption. Mississippi applies a 0% band to the first $10,000 of taxable income after its standard deduction and personal exemption. Ohio applies 0% to the first $26,050 and 2.75% above it.
FICA and Additional Medicare
Employees pay 6.2% for Social Security on wages up to $184,500 in 2026. Medicare is 1.45% on all FICA wages. The Additional Medicare Tax is 0.9% on wages above $200,000 for single and head-of-household filers, $250,000 for married filing jointly, and $125,000 for married filing separately. The employer withholds the additional tax once wages cross the threshold; the calculator applies the same rule to annualized wages.
Pre-tax deductions
The 2026 limits used for validation are $24,500 for 401(k) deferrals, $4,400 for self-only HSA coverage, $8,750 for family HSA coverage, and $7,500 for a dependent care FSA. Employer plans can impose lower limits. Inputs above the statutory limit are capped in the calculation.
Rounding and display
All intermediate values keep full floating-point precision. Displayed amounts are rounded to the cent, and the pay-frequency table divides the annual net figure by 12, 24, 26, 52, or hours × 52. Because the display rounds each line independently, adding the displayed rows can differ from the displayed total by one cent.
What is not included
- Self-employment tax, 1099 income, and quarterly estimated payments.
- Itemized deductions, above-the-line deductions other than the pre-tax payroll items listed above, and most credits other than the dependent credits described here.
- Supplementary wage withholding rules, bonuses, stock compensation, and mid-year salary changes.
- State credits, reciprocity agreements between states, and nonresident allocation rules.
- Employer-paid taxes and benefits.
Update schedule and change log
Data is reviewed quarterly and within five business days of an official federal or state change. The page's visible “Last updated” date and the JSON-LD dateModified value come from the same build variable, so they cannot drift apart.
| Date | Change | Affected pages |
|---|---|---|
| 2026-11-02 | Initial 2026 build: 10 state calculators, federal tables, local tax options, and trust pages. | All |
Found an error? Email hello@paycheckclear.com with the state, salary, filing status, and the number you expected. We aim to respond within two business days.