Most people glance at their pay stub, see the net deposit amount, and file it away. But every line on that stub matters — especially the abbreviations that look like alphabet soup. This guide walks through the standard sections you'll find on a U.S. pay stub and what each one actually means.
The Header Section
The top of every pay stub identifies who paid you, who you are, and which pay period the stub covers. You'll typically see:
- Employer name and address — the legal name of the business paying you.
- Employee name and employee ID — your name and an internal employee number used by payroll.
- Pay period — the start and end dates of the work being paid for (not the same as the pay date).
- Pay date — when the money actually hit your account or check was issued.
- Filing status and allowances — pulled from the W-4 you filled out when you were hired.
Earnings
The earnings section shows your gross pay — what you earned before anything was taken out. For salaried workers, this is usually your annual salary divided by pay periods. For hourly workers, it's hours times rate, sometimes split across regular, overtime, holiday, and bonus lines.
Common earnings line items:
- Regular — base pay for hours worked at your standard rate.
- Overtime (OT) — hours over 40 in a workweek, typically at 1.5× your regular rate under the Fair Labor Standards Act.
- Holiday / PTO / Vacation / Sick — paid time off, broken out separately so you can track usage.
- Bonus / Commission — supplemental income, often taxed at the flat 22% federal supplemental rate.
- Reimbursement — non-taxable expense reimbursements (mileage, supplies) are sometimes shown here.
Pre-Tax Deductions
These come out of your gross pay before taxes are calculated, which lowers your taxable income. The big ones:
- 401(k) or 403(b) — your traditional retirement contribution.
- Health insurance premium — your share of medical, dental, and vision coverage.
- HSA (Health Savings Account) — pre-tax contributions to a savings account tied to a high-deductible health plan.
- FSA (Flexible Spending Account) — pre-tax dollars set aside for medical or dependent care.
- Commuter benefits — transit passes or parking, up to monthly IRS limits.
Taxes Withheld
This is the section that surprises most people. Federal, state, and FICA taxes are withheld every pay period:
- FED / FIT / FITW — Federal Income Tax Withholding.
- SS / OASDI — Social Security, 6.2% of wages up to the annual wage base ($176,100 in 2025).
- MED / FICA-HI — Medicare, 1.45% on all wages, plus an extra 0.9% above $200,000.
- SIT / STW — State Income Tax Withholding (zero in nine states).
- SDI / SUI — State Disability or Unemployment Insurance, in states that have them (CA, NJ, NY, RI, HI).
- Local / City tax — some cities (NYC, Philadelphia, parts of Ohio) have their own income taxes.
Post-Tax Deductions
Anything taken out after taxes — meaning it doesn't reduce your taxable income.
- Roth 401(k) — retirement contributions taxed now so withdrawals are tax-free later.
- Garnishments — court-ordered deductions for child support, defaulted student loans, etc.
- Union dues — typically a small percentage of pay.
- Life or disability insurance premiums if not pre-tax.
- Charitable contributions through employer giving programs.
Year-to-Date (YTD) Totals
Most stubs show two columns: this pay period and year-to-date. The YTD column is where you verify that what's being withheld matches what should be — for example, that your Social Security tax stops growing once you hit the wage base. It's also useful at year-end to spot-check your W-2 before tax filing.
Net Pay
The bottom line: gross pay minus everything else equals net pay (take-home). This should match your direct deposit amount to the penny.
What to Do If Something Looks Wrong
First, check your last W-4 — many surprises trace back to filing status or withholding adjustments you forgot about. Then talk to payroll. Errors do happen, and they're usually fixable in the next pay cycle once flagged.