Gross to Net Salary Calculator

Use our gross to net salary calculator to estimate take-home (net) pay from gross pay using a tax rate. Includes the gross to net calculation, how to convert gross to net salary, and a simple gross-to-net formula.

Gross amount (USD)
Amount before tax (gross).
Insert the tax rate (%)
Tax rate as a percent of net (e.g., 20).
Results
Net amount (USD)
Net = gross / (1 + tax rate).
Tax amount (USD)
Tax amount = gross − net.
net = gross/(1+r), tax = gross − net (where r is tax rate as a decimal).
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Gross Pay vs Net Pay

Gross pay is the total amount you earn before taxes and deductions. Net pay (take-home pay) is what you receive after taxes and withholdings are taken out.

A gross to net salary calculator helps you estimate your net pay when you know your gross pay and an effective tax rate.

This is a simplified estimate. Real paychecks may include multiple taxes and additional deductions (benefits, retirement contributions), so your actual net pay can differ.

Gross to Net Calculation

If you model taxes and withholdings as a single effective tax rate, net pay is gross pay multiplied by (1 − tax rate).

Net pay from gross (effective rate model) =
Net = Gross × (1 Tax rate)

Tax rate is an effective rate as a decimal (e.g., 0.22 for 22%).

Taxes withheld (estimate) =
Taxes Gross Net

This returns a combined estimate of total withholdings.

Example: gross to net
Gross = $5,000, Tax rate = 20% → Net = 5,000 × 0.80 = $4,000

Estimated take-home pay using an effective tax rate.

How to Convert Gross to Net Salary

  1. 1

    Enter your gross pay amount.

  2. 2

    Enter your estimated effective tax rate (%).

  3. 3

    The calculator computes net pay using Net = Gross × (1 − tax rate).

  4. 4

    It also returns estimated taxes withheld as Gross − Net.

Frequently Asked Questions

How do I convert gross to net salary?

Choose an effective tax rate (based on your pay stub or estimate) and multiply gross by (1 − rate).

What tax rate should I use?

Use an effective withholding rate from a similar paycheck: (total withholdings ÷ gross pay) × 100. If you don’t have that, use an estimate and treat the result as approximate.

Does this include benefits and other deductions?

No. This calculator uses a single combined tax rate and doesn’t model fixed or pre-tax deductions like insurance or retirement contributions.

Why can my real net pay differ from this estimate?

Real payroll can include progressive income taxes, different tax types, pre-tax deductions, post-tax deductions, and caps/thresholds, which can make net pay higher or lower than a simple percentage estimate.