paychecks

Paychecks are the compensation provided by an employer to an employee for labor or services performed, issued at regular intervals. In many places the term refers to the payment instrument (a check or electronic transfer) and the accompanying document known as a pay stub or payslip that explains how the amount was calculated.

A paycheck typically lists gross pay, deductions, and net pay. Gross pay is earnings before deductions and may include hourly wages, salary, overtime, bonuses, and commissions. Deductions subtract from gross pay and can include payroll taxes (income tax withholdings, Social Security/Medicare in the United States or similar programs elsewhere), employee benefit contributions (health insurance, retirement plans), wage garnishments, and other withholdings. Net pay is the amount the employee receives.

Payment methods have shifted from physical checks to electronic means such as direct deposit, payroll cards, or online access, though some employers still issue paper checks. Pay frequency varies by country and employer policy, commonly biweekly, semimonthly, or monthly.

Legal and regulatory frameworks govern payroll. Employers must comply with wage and hour laws, provide accurate and timely pay, and maintain records for payroll taxation and reporting. In many jurisdictions, payroll taxes fund social insurance, healthcare, and other programs.

Common payroll issues include incorrect withholdings, late payments, and disputes over calculation errors. Payroll departments typically resolve these through internal audits or appeals to labor or tax authorities. The term “paycheck” may also be used to refer to the overall compensation package, not solely the physical instrument.