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PAYCHECKS 

Gross Pay

The Amount of money earned before deductions.

W-2

The form that an employer must send to

an employee and the IRS at the end of

the year. The form reports an

employee’s annual wages and the

amount of taxes withheld from his or her

paycheck.

Net Pay

The Amount of money you take home after deductions.

Deductions

Money withheld by your job.

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W-4

A form​ completed by a new employee.

The W​-4 form​ tells the employer the

correct amount of tax to withhold from

an employee's paycheck.

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