From hourly rate to paycheck
Payroll multiplies your rate by the hours in the pay period, then withholds federal income tax, Social Security (6.2%), Medicare (1.45%) and any state tax from that amount. With weekly pay, the IRS tables treat each week’s pay as 1/52 of your annual wage, so a week with overtime is withheld as if you earned that much all year.
Worked example: $20 an hour, 40 hours, paid weekly
$20 an hour, 40 hours a week, single, no state income tax
Gross pay is $800 a week. Federal income tax is $54, Social Security and Medicare $61, leaving $685 a week.
Take-home pay per paycheck$684.7252 paychecks a year
- Take-home pay per year
- $35,605
- Federal income tax withheld
- $54.08
- Texas income tax withheld
- $0.00no state income tax on wages
| Item | Per paycheck | Per year |
|---|---|---|
| Gross pay | $800.00 | $41,600.00 |
| Federal income tax | −$54.08 | −$2,812.16 |
| Social Security (6.2%) | −$49.60 | −$2,579.20 |
| Medicare (1.45%) | −$11.60 | −$603.20 |
| Take-home pay | $684.72 | $35,605.44 |
Hourly rate to annual salary
| Hourly rate | 40 h/week, per year | Per month |
|---|---|---|
| $15 | $31,200 | $2,600 |
| $20 | $41,600 | $3,467 |
| $25 | $52,000 | $4,333 |
| $30 | $62,400 | $5,200 |
| $40 | $83,200 | $6,933 |
These are gross figures. Change the state in the calculator to see what your state takes.