Disclaimer

General Disclaimer

The content, tools, and calculations provided on PayPeek ("the Site") are intended solely for general educational and informational purposes. While we make every effort to ensure accuracy, financial situations are highly individual and complex.

The outputs generated by our tools should be treated as estimates and starting points for further research — not as definitive figures or professional advice. Individual tax situations vary significantly based on factors our simplified models cannot fully capture.

Federal Tax Disclaimer

Our federal income tax calculations are based on IRS Revenue Procedure 2024-40, which governs tax year 2025 brackets, standard deductions, and related figures. Specifically, we apply:

• Seven progressive tax brackets (10%, 12%, 22%, 24%, 32%, 35%, 37%)
• 2025 standard deductions: $15,000 single, $30,000 MFJ, $22,500 HOH
• Social Security wage base: $176,100
• Medicare rate: 1.45% base + 0.9% surtax on wages exceeding $200,000 (single) or $250,000 (MFJ)
• 401(k) employee contribution limit: $23,500

Our tools do not account for:

• Tax credits of any kind — Child Tax Credit, Earned Income Tax Credit, education credits, energy credits, foreign tax credits, or any other credits that reduce your actual tax liability
• Itemised deductions (mortgage interest, charitable contributions, medical expenses, SALT deductions)
• Alternative Minimum Tax (AMT)
• Self-employment tax (15.3% on net self-employment income)
• Investment income, capital gains (short or long-term), qualified dividends
• Rental income or passive activity income
• Net Investment Income Tax (3.8% surtax)
• Mid-year salary changes or variable compensation (bonuses, RSUs, commissions)
• Multiple jobs or household income from a spouse
• Tax treaty benefits for non-resident aliens
• Any tax law changes enacted after our last update

State Income Tax Disclaimer

Our state income tax estimates use each state's top marginal rate (or flat rate where applicable) as an approximation of tax owed on W-2 wages. This is a simplification. In reality:

• Most progressive-bracket states (like California, New York, Minnesota) apply lower rates to lower income tiers — our estimates may overstate tax for mid-income earners
• State-specific deductions, exemptions, and credits are not modelled
• Local city taxes (New York City, Philadelphia, Detroit, Columbus, etc.) are not included
• State tax treatment of 401(k) contributions varies by state — some states do not recognise the federal pre-tax treatment
• Some states have special rates for certain income types
• State rates are updated annually and may have changed since our last review

State tax rates in our tool are reviewed and updated periodically. If you notice a discrepancy, please contact us at hello@paypeek.app.

401(k) & Retirement Disclaimer

Our calculator models traditional (pre-tax) 401(k) contributions only. We do not model:

• Roth 401(k) contributions (after-tax, no immediate tax benefit)
• 403(b), 457, SIMPLE IRA, or SEP-IRA plans
• Employer matching formulas or vesting schedules
• After-tax 401(k) contributions (mega backdoor Roth)
• Catch-up contributions for employees aged 50 or older (additional $7,500 in 2025)
• The impact of 401(k) contributions on state taxes (varies by state)

The 2025 employee 401(k) contribution limit is $23,500, per IRS Notice 2024-80. Contributions above this limit are not tax-advantaged and may result in penalties.

Health Insurance Disclaimer

Our tool treats health insurance premiums as pre-tax deductions that reduce both federal and state taxable income. In practice:

• Employer-sponsored health insurance premiums paid via payroll deduction are typically pre-tax under a Section 125 cafeteria plan — our model is generally correct for this scenario
• Individual health insurance premiums (not employer-sponsored) are generally not pre-tax for payroll purposes
• HSA contributions are also pre-tax but are not modelled separately in our calculator
• Dental, vision, FSA, and other benefit deductions are not modelled

No Professional Relationship

Using PayPeek does not create a client-advisor, attorney-client, accountant-client, or any other professional relationship between you and PayPeek or its operators. We are not licensed financial advisors, CPAs, enrolled agents, tax attorneys, or investment managers. We are not registered with the IRS, SEC, FINRA, or any state financial regulatory body.

For personalised tax advice: consult a CPA or enrolled agent. For financial planning: consult a CFP. For legal matters: consult a licensed attorney.

Accuracy & Updates

We review and update our tax rates and figures at least annually following IRS announcements, typically in November when the IRS releases the following year's inflation adjustments. State tax rates are reviewed throughout the year as state legislatures pass changes.

Despite our best efforts, errors may exist. If you identify a calculation error or outdated tax rate, please report it to hello@paypeek.app — we take accuracy seriously and will investigate and correct promptly.

External Links

PayPeek links to third-party resources including IRS.gov, state revenue department websites, and educational financial resources. These links are provided for reference only. We do not control, and are not responsible for, the accuracy, content, or availability of external websites. Linking to a third-party site does not constitute endorsement.

Limitation of Reliance

You use PayPeek at your own risk. We expressly disclaim all liability for:

• Tax underpayments or penalties resulting from reliance on our calculations
• Financial decisions made based on our tool outputs
• Any discrepancy between our estimates and your actual paycheck, W-2, or tax return
• Outdated tax rates or figures not yet reflected in our tools

Our full limitation of liability provisions are set out in our Terms of Use.

Questions

If you have questions about the limitations of our tools or notice something that appears incorrect, please contact us: