You worked 20 hours last week at $12 an hour. That’s $240, right? Then your paycheck shows up and it’s $208. What gives?

Gross pay is what you earn before anything gets taken out.

Net pay (aka, “take-home pay”) is what actually lands in your account.

Federal income tax
What you pay is relative to what you make. For some entry-level and most part-time jobs, you’ll get it all back in April when you file your taxes.

Note: Florida doesn’t have a state income tax, so they’re not touching your check.

FICA
This one sneaks up behind you and yoinks almost 10% of your pay. FICA covers your mandatory contributions to the Social Security and Medicare funds.

Head’s up: If you pick up gig work, like delivering or driving apps, freelance jobs, or social media managing, you may get paid as an independent contractor. This income is reported on a Form 1099 instead of the usual W-2 — and it means that no taxes are withheld at all. In April, you’ll have to pay those taxes, plus cover the employer’s share of FICA. Set aside at least 25% to avoid end-of-year shocks.

And if you earn tips, keep a weekly record. Florida law allows employers to pay you a lower minimum wage, but they’re required to top up your pay if your tips don’t get you to the standard (in 2026, it’s $14/hr). A shady employer might try to skirt this rule — don’t let them!