1. What is Net Pay?

Net pay, or take-home pay, is the amount an employee receives after all deductions (taxes, insurance, retirement contributions, etc.) are subtracted from gross pay.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Gross Pay — Total earnings before deductions
• Federal Tax — Progressive income tax based on IRS brackets
• Georgia State Tax — 1% of income up to $750 maximum
• FICA — 7.65% for Social Security and Medicare

3. Tax Components Explained

Federal Tax: Progressive tax with rates from 10% to 37% based on income brackets.
Georgia State Tax: Flat 1% tax on income with a $750 maximum payment.
FICA: 6.2% for Social Security (up to wage base) + 1.45% for Medicare.

4. Using the Calculator

Tips: Enter your annual gross salary in USD. The calculator will estimate your federal tax, Georgia state tax, FICA contributions, and final net pay.

5. Frequently Asked Questions (FAQ)

Q1: Why is Georgia tax included for Atlanta?
A: Atlanta is in Georgia, so Georgia state taxes apply to residents.

Q2: Are local taxes included?
A: No, this calculator doesn't include local/city taxes which may apply.

Q3: What about deductions for retirement or health insurance?
A: This calculator only accounts for mandatory tax deductions. Voluntary deductions would further reduce net pay.

Q4: How accurate is this calculator?
A: It provides estimates based on standard tax rates. Actual take-home pay may vary based on individual circumstances.

Q5: Does this account for tax credits?
A: No, tax credits would need to be applied separately as they vary by individual.