How to read a pay stub

Updated October 8, 2026 · WageSignals

Your pay stub tells the story of your money: what you earned (gross), what was taken out and what you took home (net). On a $1,760.00 paycheck in Texas, single with no deductions, $127.35 goes to federal income tax, $109.12 to Social Security and $25.52 to Medicare, and your take-home pay is $1,498.01.

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Gross pay: what you earned

It is your rate times your hours, before anything is taken out. It is usually split into regular hours, overtime, tips and bonuses.

If you are paid hourly, compare the hours on the stub with your own record: it is the most common error and the easiest one to dispute.

The taxes you will see

Federal withholding, FIT or Fed Income Tax: federal income tax. It depends on what you entered on your W-4.

FICA SS, OASDI or Social Security: 6.2% of your wages. FICA MED or Medicare: 1.45%.

State withholding or SIT: your state's income tax, if it has one. Some places also have a city or county tax, and state deductions such as SDI in California.

Other deductions

Pre-tax: health and dental insurance, HSA, FSA and a traditional 401(k). They lower the wages your income tax is figured on.

Post-tax: Roth 401(k), union dues or garnishments. They come out at the end and do not lower your taxes.

Net pay and YTD

Net pay, or take-home pay, is what reaches your account: gross minus taxes and deductions.

YTD (year to date) is the running total since January. It shows what you have earned and paid so far this year, and it should match your W-2 in January.

If you do not get a pay stub

Federal law does not require employers to provide pay stubs, although it does require them to keep accurate records of your hours and pay. Many states do require one: check with your state labor office.

Keep your own notes of hours and payments. If something does not add up, they are your proof.

Frequently asked questions

What is the difference between gross and net pay?

Gross is what you earned before deductions. Net is your take-home pay after taxes and deductions.

Why does my net pay change from check to check?

Because hours, overtime, tips or a deduction changed. Taxes are figured on each check, so a period with more hours pays a slightly higher percentage.

What should I do if I think I was paid wrong?

Compare hours and rate with your notes and ask payroll first. If it is not resolved, you can contact your state labor office or the U.S. Department of Labor.

Official sources

General information, not tax or legal advice.