1. What is Net Salary?

Net salary is the amount of money an employee takes home after all deductions, including taxes and other withholdings, have been subtracted from the gross salary.

2. How Does the Calculator Work?

The calculator uses the simple formula:

Where:

• Gross Pay — Total earnings before any deductions
• Federal Tax — Income tax withheld for federal government
• FICA — Social Security and Medicare taxes (7.65% typically)

Note: Texas has no state income tax, so only federal deductions are considered.

3. Texas-Specific Considerations

Details: Unlike most states, Texas does not impose a state income tax. However, residents still pay federal income tax and FICA (Social Security and Medicare) taxes.

4. Using the Calculator

Tips: Enter your annual gross salary in USD, estimated federal tax, and FICA contributions. The calculator will compute your take-home pay after these deductions.

5. Frequently Asked Questions (FAQ)

Q1: What's not included in this calculation?
A: This calculator doesn't account for other deductions like health insurance, retirement contributions, or local taxes (though Texas has none).

Q2: How do I estimate my federal tax?
A: Federal tax depends on filing status and income. Use IRS tax tables or a paycheck calculator for accurate estimates.

Q3: What is the standard FICA rate?
A: Typically 7.65% (6.2% for Social Security up to wage base, 1.45% for Medicare with no limit).

Q4: Are there other Texas-specific taxes?
A: While no income tax, Texas has higher property and sales taxes which aren't reflected here.

Q5: How accurate is this calculator?
A: It provides a basic estimate. For precise calculations, consult a tax professional or payroll specialist.