The amount of tax taken out of your paycheck depends on several factors including your income level, filing status, and the information you provide on your W-4 form. Here are the main types of taxes typically withheld from your paycheck:
- Federal income tax: This is withheld based on progressive tax brackets ranging from 10% to 37% for 2025. Your taxable income and filing status determine which tax brackets apply to you. For example, the 2025 federal tax brackets for single filers start at 10% for income up to $11,925 and go up to 37% for income over $626,350
- Social Security tax: 6.2% of your wages is withheld up to a wage base limit ($160,200 in 2023, slightly adjusted yearly). Your employer matches this amount
- Medicare tax: 1.45% of all wages is withheld with no wage limit, plus an additional 0.9% Medicare tax on wages above $200,000 (single filer)
- State and local taxes: These vary widely depending on where you live. Some states have no income tax, while others have flat or progressive rates.
The exact federal income tax withholding is calculated by your employer using IRS tax tables and your W-4 form details, which include your filing status, number of dependents, and any additional withholding amounts you specify. This withholding aims to approximate your annual tax liability so you neither owe a large amount nor receive a large refund at tax time
. In summary, your paycheck will have federal income tax withheld according to your income and filing status (10%-37%), plus 6.2% for Social Security (up to the wage limit), 1.45% for Medicare, and potentially state and local taxes. The total tax withheld can vary significantly based on your personal situation.