Ever wonder why your paycheck is smaller than your salary suggests? The gap between gross pay and net pay comes down to taxes and deductions—some mandatory, others optional. This guide breaks down each step of the calculation, including income tax, FICA, pre- and post-tax deductions, and even the Social Security wage cap. Learn how benefits like 401(k) and dependent care FSAs affect your take-home pay—and how to read your pay stub with confidence.