Gross Up Paycheck Calculator

Formula

To calculate the Gross Up Paycheck (GUP):

\[ GUP = \frac{FPA}{1 - \frac{TR}{100}} \]

Where:

$GUP$ is the Gross Up Paycheck amount in dollars
$FPA$ is the Final Payment Amount after taxes are taken out in dollars
$TR$ is the Tax Rate in percentage

What is a Gross Up Paycheck?

A gross-up paycheck is a method of calculating a paycheck amount that a business wants to give a person for them to receive a certain amount after taxes are taken into account. For example, if a company wants a person to receive $4,000.00 after taxes, they need to pay them more than $4,000.00, which is the gross-up paycheck amount.

Example Calculation

Let's assume the following values:

Final Payment Amount ($FPA$) = $4,000
Tax Rate ($TR$) = 25%

Using the formula:

\[ GUP = \frac{4000}{1 - \frac{25}{100}} = \frac{4000}{1 - 0.25} = \frac{4000}{0.75} = 5333.33 \text{ dollars} \]

The Gross Up Paycheck is $5,333.33.