Understanding Your Paycheck: Gross Pay, Net Pay, and Deductions

Gross pay is what you earn. Net pay is what actually hits your bank account. The gap between those two numbers is where most people stop asking questions, and this episode fills it in. Ryan walks through every major line item: federal income tax, state income tax, FICA taxes for Social Security and Medicare, health insurance premiums, and 401k contributions.He also covers W-4 elections and why adjusting your withholdings does not change what you owe at the end of the year but can change how much comes out each paycheck. If you have ever looked at your pay stub and wondered where your money went, this episode explains each piece clearly and gives you a solid base for managing your take-home pay.Find "Your Fiscal Physical" the book on AmazonIf you have suggestions or feedback, please email us at: [email protected], as always, Stay the Course!