Pay Stub

A pay stub is a record that shows how an employee's pay was calculated for a specific pay period. It typically includes gross pay, taxes, deductions, and the employee's final net pay, or take-home pay.

Pay stubs can also include details such as hours worked, hourly rate, overtime, bonuses, commissions, paid time off, benefit deductions, retirement contributions, and year-to-date totals. The exact information shown can vary based on the employee's pay structure and the employer's payroll setup.

Employees can use their pay stubs to confirm that their hours, pay rate, deductions, and taxes look correct. Pay stubs can also be useful when applying for a loan, renting a home, verifying income, or reviewing year-to-date earnings.

Employers should keep accurate payroll records and follow applicable federal, state, and local requirements for wage statements. Some states require employers to provide specific information on a pay stub, while others have different rules around how and when employees receive them.

Frequently asked questions

What information is included on a pay stub?

A pay stub commonly includes gross pay, taxes withheld, benefit and retirement deductions, other payroll deductions, and net pay. It may also show hours worked, pay rates, overtime, bonuses, commissions, and year-to-date totals.

What is the difference between a paycheck and a pay stub?

A paycheck is the payment an employee receives for their work. A pay stub is the accompanying record that explains how that payment was calculated, including earnings, taxes, deductions, and net pay.

Are employers required to provide pay stubs?

Requirements vary by state. Many states require employers to provide employees with a wage statement or pay stub containing specific payroll information, while others have different requirements. Employers should follow the rules that apply where their employees work.

Why should employees review their pay stubs?

Reviewing a pay stub can help employees catch issues with hours, pay rates, taxes, deductions, or benefit contributions. It's one of the simplest ways to make sure the numbers behind a paycheck add up.