Salary Intelligence

What's your raise
actually worth?

Enter your current salary and raise amount to see exactly how much more you'll take home after federal, state, and FICA taxes — updated for 2026.

$
%
Your raise is worth
$2,248
after tax per year (+$187/mo)
Current
Gross salary$75,000
Annual take-home$57,345
Monthly take-home$4,779
Tax rate23.5%
After raise
New salary$78,750
Annual take-home$59,593
Monthly take-home$4,966
Tax rate24.3%
Gross increase
+$3,750/yr
+$313/mo gross
Net increase
+$2,248/yr
+$187/mo after tax

Single filer · California · 2026 tax brackets

How a Raise Affects Your Tax Bracket

A common misconception: getting a raise into a higher bracket does not mean all your income is taxed at the new rate. Only the income above the threshold is taxed at the higher rate.

Example: the 22% federal bracket starts at $48,475 for single filers in 2026. If you earn $47,000 and get a $5,000 raise:

  • Your first $48,475 is still taxed at 10% and 12%
  • Only the $3,525 above the threshold is taxed at 22%
  • Your marginal rate goes up, but your effective rate rises only slightly

This means a raise is nearly always worth taking, even if it crosses a bracket line.

What You Actually Take Home After a Raise

Not all of a raise lands in your pocket. Here is a rough breakdown for a $5,000 annual raise in a moderate-tax state:

  • Federal income tax: roughly 22% → $1,100
  • State income tax: varies — $0 in no-tax states, up to 9%+ in CA, NY, NJ
  • FICA (Social Security + Medicare): 7.65% below the wage base → $382

In a mid-range state, you would likely net $3,000–$3,600 of a $5,000 raise. Use this calculator to see the exact number for your salary, state, and filing status.

Frequently Asked Questions

Will a raise push me into a higher tax bracket?+

Possibly, but only the income above the new bracket threshold is taxed at the higher rate — not your entire salary. Crossing a bracket line is almost always a net financial win.

How much of my raise do I actually keep?+

It depends on your bracket and state. In a moderate-tax state, expect to keep roughly 60–75% of a raise after federal, state, and FICA taxes.

Does a raise affect my Social Security or Medicare withholding?+

Yes. Both are taxed at 7.65% on earned income up to the Social Security wage base ($176,100 in 2026). Income above that limit is only subject to the 1.45% Medicare portion.