How to Make a Pay Stub

1. Gather employer and employee details

Collect the names and identifying information needed to match the pay record to the right employer and employee. Use accurate details and keep them with the corresponding payroll records.

2. Set the pay period

Enter the start and end dates for the work period and the date wages are paid. These dates should describe the actual payment, not an invented period.

3. Enter earnings

For hourly work, calculate hours at the applicable rate and show overtime separately where relevant. For salary, enter the amount earned for the period. The earnings total before deductions is gross pay.

4. Work out deductions

List each deduction separately and use amounts supported by payroll records. The paycheck calculator estimates paycheck amounts; the nanny tax calculator estimates federal household employment taxes. Those tools are estimates, not payroll processing or tax filing.

5. Check gross, deductions and net

Add deductions and subtract them from gross pay. The result should match the amount paid: gross − deductions = net. Resolve any mismatch before providing the statement.

6. Add year-to-date totals and keep a copy

Update year-to-date totals through the current payday. Generate the statement, give it to the employee and keep a copy with the records for the payroll. For a nanny-specific walkthrough, see the nanny guide; this page covers the general process for any employer.

Before finalizing, review the document as the employee will read it: the pay period and date should be easy to find, earnings should be distinguishable from deductions, and the net amount should agree with the payment. Correct any entry that does not match the underlying payroll record.