BTHE BARATELLI INSTITUTE · Mentoring at Scale
FOR CLASSROOM TEACHERS · DEPARTMENT HEADS · COACHES · SPECIALISTS · AND THE SPOUSES WHO HELP DECIDE

The offer letter is the gross. The take-home is somewhere else entirely.

The district pay schedule says $62,400. The deposit hits at $3,140 a month. Where did the other $25,720 go? Federal, FICA (or the state pension that replaces it), state, local, the STRS / TRS contribution, the family health premium, the union dues, the 403(b) you signed up for at orientation. Put them all on one paystub — then decide if the budget you wrote actually fits.

Gross
What they offered
Net
What lands
Per check
10mo / 12mo / biweekly
Where it went
The honest pie
YOUR PAYCHECK
1
Position
2
Salary & stipends
3
Tax withholding
4
Pension contribution
5
Health & other & results
STAGE 1 OF 5

Your position

State matters more than anything else here. 15 states pay teachers outside Social Security and the contribution rate to the state pension can swing 6-13% of your gross. Pick honestly.

Sets state income tax + pension system + whether you're in Social Security. The 15 non-SS states are flagged.
Federal + state withholding depend on this. Most-married-teachers default is MFJ.
Larger districts typically have richer salary schedules but heavier health premium share.
Stipends and differentials in Stage 2 depend on the role.
Where you are on the district's "Step" column. Use full years even if you're mid-year.
Most schedules pay by Lane × Step. BA+30 and MA add real money on most schedules.
What this tool actually shows. Most paycheck calculators online quietly use the W-2 worker model: gross → fed → FICA → state → done. That model is wrong for a third of US teachers. If you teach in CA, TX, OH, MO, IL, MA, CT, KY, LA, ME, NV, RI, CO — or partial-coverage GA or OK — your district may not withhold FICA at all, but you'll pay 7-15% of every paycheck into a state pension system. This tool models that correctly. Run it once with your real numbers and the gap between the offer letter and the deposit will stop being a mystery.
STAGE 2 OF 5

Salary & stipends

Base salary from the district schedule, plus every extra-duty stipend, plus differential pay. The stipends often add 8-15% — they also push you into higher brackets and bigger pension contributions.

Base salary (district schedule)
From the district's Step × Lane schedule. Median US teacher 2024-25: $68k. Range $42k (rural starting) to $130k (NY/CA top-step MA+30).
$
Some districts pay a flat bonus at step 15, 20, 25. Zero if you're not at one of those steps.
$
Extra-duty stipends
Head coach high-school football: $4-9k. Assistant or club sport: $1-3k. Sum across all sports/seasons.
$
Yearbook, drama, robotics, NHS, debate, student council. $500-3500 typical.
$
Per-hour or per-session rate × hours. Annual total.
$
Summer curriculum committees, district trainings, mentor-teacher stipends.
$
Many districts add $1-5k for hard-to-staff certs. Enter the annual differential if any.
$
NBPTS-certified teachers get $1.5–7k extra in many states.
$
STAGE 3 OF 5

Tax withholding

Federal + FICA (or not, if you're a non-SS-state teacher) + state + city/local. The single biggest line item on most paystubs.

Effective (not marginal) federal income tax rate. MFJ teacher household with $90k AGI is roughly 9-11%. Single $70k is ~12-14%. Use last year's 1040 line 24 ÷ line 15 if unsure.
%
In a non-SS state (CA, CT, IL, KY, LA, MA, ME, MO, NV, OH, RI, TX + parts of GA/OK) districts often do NOT withhold the 6.2% Social Security portion. Medicare 1.45% is always withheld.
No state tax: AK, FL, NV, SD, TN, TX, WA, WY (NH no broad wage tax). High-tax states (CA, NY, NJ, OR) run 4-7% effective for teacher incomes. Use last year's state return / federal AGI if unsure.
%
NYC, Philadelphia, several Ohio cities, parts of MI, MD county tax, KY county tax. Zero for most districts.
%
The FICA gotcha. If you're in a non-SS state and your district doesn't pay into Social Security on your behalf, you avoid the 6.2% — but you also won't accrue SS credits for those years. If you also worked in private sector and were expecting a Social Security benefit on top of your pension, see the WEP/GPO calculator. (As of Jan 2024 the Social Security Fairness Act repealed WEP and GPO, so 2024-forward retirees see full benefits. Pre-2024 retirees had benefits reduced.)
STAGE 4 OF 5

Pension contribution

The mandatory employee contribution to the state teacher retirement system. Not optional. Comes out before you see it. Rates vary 6%–15% of salary depending on state.

Typical: TX TRS 8.0% · CA CalSTRS 10.25% · IL TRS 9.0% · OH STRS 14% · MO PSRS 14.5% · KY TRS 12.86% · MA MTRS 11% · NY TRS 4.5-6%. Check your most recent pay stub line "TRS" or "STRS" or "PSRS" — that's the percent of gross.
%
Most state pension contributions are pre-tax for federal (reduces W-2 Box 1) and pre-tax for state. A few states (NJ, MA) have specific quirks — when in doubt, leave as "Yes" — this matches 95% of districts.
For context only — does not affect your paycheck. Your district / state typically contributes another 10-25% on top. Affects long-term pension health, not net pay.
%
For context — most state systems require 5-10 years of service before you have a non-refundable claim to a future pension. Leaving before vesting means refund of your contributions only (no employer match, no interest beyond a low statutory rate).
What pension contribution actually buys you. Your 10% (or 14% or 8%) of gross is buying a future annuity calculated as: final-average-salary × years-of-service × multiplier (typically 2-2.5%). If you'll teach 25+ years, the math favors staying. If you'll leave at year 6 with five-year vesting, you'll get a small deferred pension at 62-65 — or take a refund of your contributions and roll it to an IRA. See the Pension vs 403(b) Decision tool for the full math.
STAGE 5 OF 5

Health, union, 403(b) & the honest paystub

The four lines that decide whether teaching is a livable income — or a stipend. Run them honestly.

Single coverage: $80-220/mo. Family coverage: $350-900/mo depending on district contribution. The number on your benefits enrollment form, not the total premium.
$
Usually $15-60/mo combined.
$
NEA/AFT/state affiliate dues typically run $500-950/year. Withheld in equal installments.
$
Pre-tax retirement savings on top of the mandatory pension. Default $0 but the $25k+ teachers contribute makes a huge long-run difference. 2025 IRS limit: $23,500 (under 50) / $31,000 (50+).
$
Healthcare-FSA limit 2025: $3,300. HSA limit: $4,300 single / $8,550 family. Pre-tax.
$
How the district splits your annual into checks. 10-month means no summer paychecks unless you elect 12-month spread.
HERE, TRY THESE. THEY MAY HELP.

Three honest resources. No form. No newsletter trap.

The take-home gap is real and it doesn't get easier when you compound it with the pension-vs-403(b) decision, the WEP/GPO question, and the loan-forgiveness paperwork. The guides and the rest of the toolkit are free. Use what's useful, ignore what isn't.

Read the Money Reality First Job Edition Read the Family Office Guide All free tools
This is not tax, legal, or financial advice. Pension rules vary by state and by hire date — many systems have multiple tiers with different contribution rates and benefit formulas. SS rules changed in 2024 with WEP/GPO repeal. PSLF / SAVE / TLF are evolving — verify current status with your servicer and StudentAid.gov before relying on any number. Cross-check with your district's payroll/benefits office and a qualified CPA before making any decision.
WANT THE METHODOLOGY BEHIND THIS TOOL?
This calculator pairs with Money Reality · First Job & Career Edition and the Family Office Guide.
The tool gives you the honest paystub. The guides give you the surrounding decision frame — the offer-letter-to-bank-deposit gap on every job (not just teaching), the 403(b) vendor-fee trap, the Roth-vs-traditional decision in your bracket, the pension-coordination question for two-earner households, and the survivor-benefit choice at retirement.
Methodology references: Money Reality Ch 3 (W-2 vs offer-letter reality) and Ch 7 (Employer retirement plans) and FO Guide Ch 5 (Household tax planning) & Ch 11 (Public-sector pension coordination).
Read Money Reality → Browse all guides
PROFESSIONAL DISCLAIMER · PLEASE READ

Educational and informational purposes only. This calculator and any output it produces are intended solely for general educational and decision-support purposes. They do not constitute investment, tax, legal, accounting, or any other professional advice, and they do not create a fiduciary, attorney-client, accountant-client, or advisor-client relationship of any kind.

Estimates based on your inputs. All results are estimates derived from the data and assumptions you provide. Tax law, pension-system rules (which vary by state and by tier within a state), and Social Security treatment (including the 2024 WEP/GPO repeal under the Social Security Fairness Act) can materially change the answer. The Baratelli Institute, its affiliates, and any co-branding professional make no warranty of accuracy, completeness, currency, or fitness for any particular purpose, and disclaim all liability for decisions made in reliance on the output.

Consult your own qualified professionals. Before acting on anything calculated here, consult your district payroll/benefits office, your own CPA or financial advisor, and where appropriate your union’s benefits counselor. The Baratelli Institute is a publisher of practitioner reference material. It is not a registered investment adviser, broker-dealer, law firm, or accounting firm.

Co-branded versions: If a professional advisor’s name and contact information appear on this tool, that advisor has elected to make the tool available to clients as a courtesy. Inclusion of an advisor’s name does not constitute the advisor’s endorsement of any specific result, nor does it transfer professional responsibility for the underlying methodology to that advisor.

Educational references and tools — not legal, tax, accounting, or investment advice, and not a recommendation to buy or sell any security. Consult a qualified professional about your specific situation. © 2026 The Baratelli Institute.