Pay-stub reconciliation
Follow a paycheck from gross wages to the bank deposit
Start with three separate amounts: gross cash pay, the wages used for each tax, and the final deposit. A benefit deduction can change one tax base without changing the others. Comparing only the net amount hides which line needs correction.
This constructed example uses a regular 2026 Texas wage payment, a single filer with a 2020-or-later W-4, Step 2 unchecked and Steps 3-4 blank. It excludes bonuses, tips, taxable noncash benefits, state/local tax and special employment exemptions.
Collect the current-period columns first
Use the pay date, pay frequency, current gross wages, current deductions and year-to-date taxable wages before this payment. Keep current amounts separate from year-to-date totals. Confirm the actual W-4 on file; the filing status on last year's return does not tell you which settings payroll used today.
A $3,000 check with two different benefit deductions
Annual cash salary is $78,000 over 26 checks. The employee contributes $200 to a traditional 401(k) and pays a $100 health premium through a qualifying Section 125 arrangement. Assume both elections are within applicable limits and the premium is exempt from federal income tax and FICA. Year-to-date wages are below the Social Security and Additional Medicare thresholds.
| Pay-stub line | Calculation | Amount |
|---|---|---|
| Gross cash pay | $78,000 / 26 | $3,000.00 |
| Traditional 401(k) | Employee election | $200.00 |
| Qualified health premium | Employee election | $100.00 |
| Federal taxable wages | $3,000 - $200 - $100 | $2,700.00 |
| Social Security / Medicare wages | $3,000 - $100 | $2,900.00 |
| Federal income tax withheld | Worksheet 1A calculation below | $254.38 |
| Social Security withheld | $2,900 x 6.2% | $179.80 |
| Medicare withheld | $2,900 x 1.45% | $42.05 |
| Net cash pay | $3,000 - $300 - $254.38 - $179.80 - $42.05 | $2,223.77 |
Rebuild the federal withholding line
Annualize the $2,700 taxable payment to $70,200. Worksheet 1A subtracts the $8,600 adjustment for this W-4 setup, leaving $61,600. The 2026 standard single schedule gives $5,800 + 22% x ($61,600 - $57,900) = $6,614. Dividing by 26 produces $254.384615, displayed as $254.38. The adjustment and schedule work together; subtracting the standard deduction again would count it twice.
Calculate this $2,223.77 example. The link enters the retirement amount once in federal-tax deductions and the health premium once in FICA-exempt deductions. The latter already reduces both tax bases. Additional voluntary after-tax deductions would still have to be subtracted from the result.
Match the deposit without subtracting an employer contribution
If the pay stub also shows a $100 employer retirement match, it does not reduce the employee's $2,223.77 cash payment. If payroll splits that payment between two bank accounts, add both deposits before declaring a mismatch. Expense reimbursements or taxable noncash benefits require a separate cash-versus-taxable-wage reconciliation; the simple salary example does not model them.
Common checks before contacting payroll
- If federal taxable wages differ, check retirement and health deductions first.
- If Social Security wages differ but federal wages match, check whether a deduction was incorrectly treated as FICA-exempt.
- If only income tax differs, compare the W-4 settings, pay frequency and withholding method.
- If taxes match but the deposit is lower, look for Roth contributions, loans, garnishments or a second deposit account.
These are invented payroll inputs, not a customer's payslip or a quote from a payroll provider. Amounts are calculated from the linked federal rules and checked against the PaycheckIndex engine. Cent rounding can differ from a payroll system's permitted rounding method.
Sources checked September 7, 2026: 2026 Publication 15-T, Worksheet 1A and annual schedules, 2026 Publication 15-B, accident and health benefits, IRS retirement contribution withholding table, and SSA contribution base.