Income Tax Calculator: Estimate Your Take-Home Pay

Navigate the complexities of taxes to see your real earnings.

Understanding your gross salary is one thing; knowing what actually hits your bank account is another. Our Income Tax Calculator estimates your federal, state/provincial, and social insurance deductions to provide a clear picture of your net income. This is an essential tool for families planning for a new job, a raise, or a move to a new region.

How Regional Tax Systems Work

While every country is different, most use a Progressive Tax System, where higher portions of income are taxed at higher rates.

1. United States (IRS)

• Federal Brackets: Range from 10% to 37%.
• FICA: Includes Social Security (6.2%) and Medicare (1.45%).
• Standard Deduction: A fixed amount of income that is not taxed, varying by filing status (Single vs. Married).

2. United Kingdom (HMRC)

• Personal Allowance: The first £12,570 is typically tax-free.
• National Insurance (NI): Mandatory contributions for the State Pension and NHS.
• Gift Aid & Pensions: Contributions to a SIPP or workplace pension can lower your taxable income.

3. Canada (CRA)

• Federal & Provincial: You pay both levels of tax. Provinces like Ontario or BC have different rates.+1
• CPP & EI: Mandatory deductions for the Canada Pension Plan and Employment Insurance.

Tips for Lowering Your Tax Bill

On familyhealthcalc.com, we highlight legal ways to maximize your family’s net income:

• Tax-Advantaged Savings: Contributions to a 401(k) (US), RRSP (Canada), or Workplace Pension (UK) are often deducted before taxes, lowering your overall taxable income.
• Child Benefits: Many regions offer tax credits or “Child Benefit” payments that effectively offset your tax liability.
• Health Spending: In the US, using an HSA (Health Savings Account) allows you to pay for medical expenses with pre-tax dollars.