Salary Calculator Methodology & Data Sources

How We Calculate Take-Home Pay

ExactTakeHome calculates paycheck estimates from annual or hourly gross pay, pay frequency, filing status, pre-tax deductions, W-4 adjustments, federal withholding, FICA, and state withholding. Federal income tax withholding follows IRS Publication 15-T percentage method logic for tax year 2026. The calculator annualizes wages for the selected pay period, applies the filing status and W-4 entries, accounts for dependents credits, other income, additional deductions, and extra per-paycheck withholding, then converts the result back to the chosen pay frequency.

Payroll taxes are modeled separately. Social Security is 6.2% on wages up to the 2026 wage base of $184,500. Medicare is 1.45% on wages, with the engine handling additional Medicare rules when applicable. Pre-tax 401k contributions reduce federal taxable wages in the paycheck estimate, and HSA contributions are treated as annual pre-tax deductions based on the entered per-paycheck amount. State withholding uses each state's official withholding methodology represented in the 2026 source-backed data files. States with no wage income tax, including Texas, Florida, and Washington, still apply federal income tax, Social Security, and Medicare. Local taxes are included only where the project has modeled source-backed local withholding data.

Accuracy Commitment

ExactTakeHome runs 337 automated tests with 100% branch coverage for the calculation engine. The calculator covers all 51 US jurisdictions, including Washington, DC, for tax year 2026 and is updated annually from official sources. Read more in our methodology and federal withholding methodology.

Data Sources

StateTax AuthoritySource Document
FederalIRSPublication 15-T
CaliforniaFTBCalifornia withholding schedules
TexasNo income taxNo state wage income tax
New YorkNYDTFNew York withholding tables
FloridaNo income taxNo state wage income tax
WashingtonNo income taxNo state wage income tax
IllinoisIDORIllinois withholding income tax instructions
PennsylvaniaPA DORPennsylvania employer withholding instructions
OhioODTOhio employer withholding tables
GeorgiaGDORGeorgia employer tax guide
North CarolinaNCDORNorth Carolina withholding tables
New JerseyNJDORNew Jersey withholding rate tables

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Calculation Engine

Our open calculation methodology follows IRS Publication 15-T. Federal withholding uses the percentage method tables. State withholding uses each state's official withholding instructions. All rates are sourced from official government publications.