Gross pay is the amount of money you earn from
your employer before tax deductions and other withholding, such as
Social Security, Medicare, payments for health insurance, and
contributions to your retirement account
(An
account, usually tax-deferred, designed to provide savings for
retirement. Examples include 401(k) and IRA accounts.) ,
pension fund, and savings account. Tracking each of these
deductions in Money will help you with tax information and
planning.
Net pay is the amount that remains after the
taxes and other withholdings are deducted. This amount is sometimes
called take-home pay.