Methodology
How the Paycheck Calculator works
How Tallivo computes your take-home pay from gross salary after federal income tax, FICA, and pre-tax deductions.
The formula
net = gross − 401(k) − pre-tax − federal tax − Social Security − Medicare
Step by step
- Pre-tax deductions are removed first: traditional 401(k) (a % of gross) and other pre-tax items like HSA or health premiums.
- Federal income tax is computed on gross minus 401(k), other pre-tax, and the standard deduction.
- Social Security = 6.2% of wages up to the 2025 wage base of $176,100. Medicare = 1.45% of all wages, plus 0.9% above $200,000 (single) / $250,000 (MFJ).
- 401(k) lowers income tax but is still subject to FICA; HSA/section-125 items are pre-FICA as well.
- Annual net ÷ number of pay periods (52 weekly, 26 biweekly, 24 semi-monthly, 12 monthly) gives take-home per paycheck.
Assumptions & limitations
- Federal tax and FICA only — no state or local income tax in the national version.
- Uses the standard deduction and assumes a single job's steady salary across the year.
- Ignores tax credits, supplemental/bonus withholding, and employer benefit specifics.
Sources
Reviewed and updated for the 2025 tax year. Figures are planning estimates, not a loan offer — this is not financial advice.