Straight answer
What is every line on my pay stub?
Your pay stub starts with gross pay, what you earned before anything is taken out, and ends with net pay, what actually lands in your account. In between are the deductions. Social Security takes 6.2% and Medicare 1.45% of your wages; together they're called FICA. Federal income tax withholding is set by the Form W-4 you gave your employer. You may also see state or local taxes and deductions for benefits like health insurance or retirement contributions, some of which come out before taxes.
Why does the Social Security line stop?
Social Security tax only applies up to an annual earnings limit, $184,500 for 2026. Once your pay for the year passes it, that deduction stops. Medicare has no limit, and an extra 0.9% Medicare tax is withheld on wages over $200,000 in a year.
Does my employer pay these taxes too?
Yes. Your employer pays a matching 6.2% for Social Security and 1.45% for Medicare on top of what's taken from your pay.
How do I change my federal withholding?
Fill out a new Form W-4 and give it to your employer. It's worth doing each year and whenever your personal or financial situation changes. The IRS's free Tax Withholding Estimator can help you get it right; check your withholding every January.
- IRS — Topic no. 751, Social Security and Medicare withholding rates
- IRS — About Form W-4, Employee's Withholding Certificate
- IRS — Tax Withholding Estimator
- CFPB — What is a debt-to-income ratio? (gross income)
Money Mechanics explains how things work in plain language. It is not personalized financial advice.
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