1. Money
You can opt-out at any time. Please refer to our privacy policy for contact information.

Net Pay

By

Net Pay is an employee's pay after deductions and withholding. Net pay is calculated by determining gross pay and subtracting:

  • Federal withholding
  • Any State withholding
  • Social Security and Medicare deductions
  • Any other voluntary deductions, such as insurances or charitable donations which the employee has agreed to.

An employee's net pay is the amount of his or her paycheck.

©2014 About.com. All rights reserved.