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Compensation Research Guide (2022)

Outlines compensation research strategies and sources.

Taxes

Factoring tax and other deductions out of gross salary to estimate "take home pay" will need to be considered when determining salary requirements. 

How the U.S. Tax System Works:

In the United States, personal income is taxed by the federal government. Taxing occurs at the federal, state, and local levels in order to support infrastructure and government programs. In addition, compensation packages can include health insurance, retirement plans, and other programs employees may pay for using pre-tax dollars. 

The sources below assist in explaining how the U.S. tax system works:

International:

Use the FAQ below if you are an internationally-born resident of the U.S. to see how the tax system, the Affordable Care Act, and other government requirements apply to your personal situation. 

Paycheck Calculators:

Paycheck calculators can be used to do factor "take home pay"; however, results will vary based on relevant state taxes and any additional withdrawals made at employee discretion (e.g. retirement savings, employee wellness opportunities, etc.).