How to Easily Calculate Your Bring Home Pay for the Entire Year in Less Than 5 Minutes
We all know how much our hourly or salary pay is at work, right? I mean, it's easy to know you earn $60,000 per year or $28.84/hour. But, do you know exactly how much of that is bring-home money?
Today, I'm going to show you an easy-to-use method for determining your bring-home pay amount. All you need is a blank spreadsheet to do this. You'll be able to complete this in less than 5 minutes.
The reason it's important to do this is to know how much money you have available to spend. As you know, salary and spendable income are not the same amount.
Once you've got your Google Sheets spreadsheet opened, what you'll do is enter the amount you bring home every paycheck. You'll want to enter the number in two different rows and include your pay dates as well. Then you'll fill down for the rest of the year. Just like I covered in the video above.
You'll do this for every source of income that you have. It is best to estimate low for income, so if you're off, it will be in your favor. Than, once you have all paychecks entered, you can use the SUM function to add up the total.
If you want this even simpler, you can use the spreadsheet that I created above. You won't have to use any functions, as all calculations are done for you. The spreadsheet will calculate how much income you have brought home year-to-date, as well as the total amount you expect to earn for the year. These amounts will change as you go through the year and make updates.
Do yourself a favor, and take the 5 minutes to calculate your bring-home, spendable income for the year. It's a worthwhile number that every household should know.
