How to read a pay stub
Reading a pay stub can be confusing. What are all the things that get taken out before the money hits your bank account?
Let’s go through the most common line items on a pay stub and explain what they mean, which ones you can adjust, and how they affect your tax refund.
IRS withholding calculator: https://apps.irs.gov/app/tax-withholding-estimator
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Steve Nay:
IRS withholding calculator: https://apps.irs.gov/app/tax-withholding-estimator
- (00:00) - A spreadsheet of pay stubs
- (05:02) - Federal income tax withholding
- (06:47) - Social Security and Medicare
- (09:28) - State and local taxes
- (11:57) - Other pre- and post-tax deductions
- (14:06) - What percentage are you actually taking home?
- (16:59) - How and when to adjust your federal tax withholding
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Steve Nay:
Tyler Smith:
