DayCents

Retirement

401(k) Paycheck Impact Calculator

The number that stops people contributing is the wrong one. A pre-tax contribution reduces your taxable income, so take-home falls by less than the amount you save — and if your employer matches, more lands in the account than leaves your paycheck.

Federal plus state, on the last dollar you earn.

50 means 50 cents per dollar you contribute.

Your take-home falls by

$234

Less than the $300.00 you contribute, because the contribution is pre-tax.

Contribution per paycheck
$300
Tax saved per paycheck
$66
Employer match per paycheck
$90
Total into the account
$390
Your annual contribution
$7,800
Annual employer match
$2,340
Per paycheck$390
Take-home you give up$23460%
Tax you avoid$6617%
Employer match$9023%

How this calculator works

The contribution is your rate applied to gross pay per paycheck. For traditional deferrals, tax saved is the contribution × your marginal rate, and take-home falls by the difference; Roth deferrals save nothing up front, so take-home falls by the full contribution. The match is the lesser of your rate and the employer's limit, multiplied by the match percentage.

A single marginal rate stands in for federal and state brackets. FICA is not reduced by 401(k) deferrals — that is real, and it is why the take-home reduction here is a floor rather than an exact payroll figure. Contribution limits are not enforced; check the current IRS figures before setting a high rate.

Try an example

Frequently asked questions

How much does a 401(k) contribution really cost me?

Less than face value. A $300 pre-tax contribution at a 22% marginal rate reduces take-home by $234, because $66 of it would have gone to tax anyway. The higher your bracket, the less it costs — which is why high earners feel pre-tax contributions least.

What is an employer match worth?

A 50% match up to 6% of pay is an instant 50% return on that slice, before the market does anything. No investment reliably offers that. Contributing less than the match threshold leaves money on the table that the employer had already budgeted for you.

Traditional or Roth?

Traditional if your rate today is higher than in retirement; Roth if the reverse. Early in a career, with a low rate and decades of tax-free growth ahead, Roth usually wins. Mid-career at a peak salary, traditional usually does. Splitting between both hedges the guess.

Does the employer match count toward my contribution limit?

Not toward your elective deferral limit — $24,500 for 2026 — which applies to your own contributions. The match counts toward the much higher combined limit of $72,000 that covers everything going into the account from every source.

Is the match affected by choosing Roth?

No. The employer contributes the same amount either way. Since SECURE 2.0, plans may deposit the match as Roth if you elect it, in which case it is taxable income in the year received.

Disclaimer: DayCents provides this calculator for educational purposes only. Results are estimates based on your inputs and the stated assumptions — they are not financial advice, a quote, or an offer of credit. Consult a qualified financial professional before making major money decisions.