How to Read Your Paystub: Every Line, Explained
Updated for tax year 2026 · 7 min read
Every common line, decoded
Payroll systems use different abbreviations for the same things (OASDI, FICA-SS, and SS EE are all Social Security), but the structure underneath is universal. The example column shows a single filer on $75,000 in Colorado, paid every two weeks.
| Line item | What it is | Per biweekly check |
|---|---|---|
| Gross pay | Salary for the period before anything is deducted. Salary ÷ pay periods, plus overtime or bonuses. | $2,885 |
| Federal income tax | Withholding toward your annual federal tax, estimated from your W-4. Not the final amount you owe. | ≈ $295 |
| Social Security (OASDI / FICA-SS) | 6.2% of gross wages, up to the 2026 cap. Sometimes labeled OASDI. | $179 |
| Medicare (FICA-Med / MWT) | 1.45% of all gross wages, no cap. High earners see an extra 0.9% line late in the year. | $42 |
| State income tax | Withholding toward your state's income tax. Zero in nine states. | ≈ $100 |
| Pre-tax deductions | 401(k), health/dental/vision premiums, HSA, FSA, commuter benefits. Reduce taxable wages (401k doesn't reduce FICA wages). | varies |
| Post-tax deductions | Roth 401(k), disability buy-ups, garnishments, charity. Taken after taxes; don't change your tax. | varies |
| Net pay | What actually hits your bank account. | ≈ $2,269 |
Why withholding is not your tax
The federal and state tax lines are estimates. Your employer runs your W-4 answers through IRS withholding tables and takes its best guess at your annual bill, spread across paychecks. The truth settles when you file: withhold too much all year and you get a refund; too little and you owe. A big refund isn't a bonus, it's a sign your W-4 overshot and you gave an interest-free loan for a year.
FICA lines are different: they're exact, not estimates. 6.2% and 1.45% of gross wages, computed per check, done.
The YTD column is the audit trail
Year-to-date totals let you verify payroll in one pass. Three checks worth doing every few months: YTD Social Security should be exactly 6.2% of YTD FICA wages (until the cap); YTD 401(k) should be on pace for the limit you intended; and YTD federal withholding divided by YTD gross should roughly match the effective rate our calculator predicts for your salary and state. A mismatch usually traces back to a stale W-4 or a benefits change that payroll missed.
Common paystub surprises
Three-paycheck months. Biweekly pay means 26 checks: two months a year contain three paydays, and some flat per-check deductions (like health premiums) may be skipped on the third check depending on your employer.
A mid-year paycheck jump.If your income passes the Social Security wage cap, the 6.2% line disappears until January. At $250,000, that's a noticeable raise starting around September.
Imputed income.Group life insurance over $50,000, some wellness perks, and domestic partner benefits show up as taxable "income" you never received in cash. It inflates gross pay and taxes slightly.
Paystub FAQ
What does OASDI mean on my paystub?+
Old-Age, Survivors, and Disability Insurance: the formal name for Social Security tax. It should equal exactly 6.2% of your FICA wages for the period.
Why did my federal withholding change without a raise?+
Usually a new W-4, a benefits election change (pre-tax deductions shift taxable wages), or the IRS's annual update to withholding tables each January.
Why is my paycheck smaller in January?+
The Social Security cap and many benefit limits reset on January 1. If your 6.2% OASDI line vanished in the fall, it returns in January, and updated tax tables or benefit prices can also nudge the number.
What's the difference between gross pay and FICA wages?+
FICA wages are gross pay minus the few things exempt from payroll tax (mainly health premiums and HSA contributions via payroll). 401(k) contributions reduce taxable wages but not FICA wages, so the two boxes often differ.