Pay Stubs

How to Read Your Pay Stub: A Line-by-Line Guide

OakPaystubs Team

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May 28, 2026

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1 min read


Your pay stub is more than a receipt for your paycheck — it's a complete record of what you earned, what was withheld, and why. Yet most people glance at the final number and file it away. Learning to read every line helps you catch payroll errors, budget accurately, and prove income when you need to.

The three numbers that matter most

Every pay stub revolves around three figures:

  • Gross pay — what you earned before anything is taken out.
  • Deductions — taxes, benefits, and other withholdings.
  • Net pay — your take-home amount, after deductions.

Net pay is sometimes called your "take-home pay." It's the number that actually lands in your bank account.

Earnings section

The earnings section lists how your gross pay was calculated. You'll typically see:

FieldWhat it means
RateYour hourly wage or salary period rate
HoursHours worked in the pay period
CurrentEarnings for this pay period
YTDYear-to-date total earned so far

Overtime, bonuses, and commissions appear as separate line items so you can verify each one.

Deductions and withholdings

This is where gross pay shrinks into net pay. Common deductions include:

  1. Federal income tax — based on your W-4 and the IRS tax tables.
  2. State income tax — varies by state; some states have none.
  3. FICA — Social Security (6.2%) and Medicare (1.45%).
  4. Pre-tax benefits — health insurance, 401(k), HSA contributions.

Why year-to-date totals matter

The YTD columns track your cumulative earnings and withholdings for the year. They're essential at tax time and when applying for a loan or apartment, since lenders often want to see consistent income.

Generate a clear, accurate pay stub

If you need to create a pay stub for yourself, an employee, or a contractor, OakPaystubs calculates federal and state taxes automatically and produces a clean, print-ready PDF in minutes.

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#deductions
#net pay
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