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# How do I calculate YTD income?

Updated November 22, 2016

Calculate your monthly gross income. Assume your annual income is £29,250. Take £29,250 and divide it by 12 to get your gross monthly income of £2,437. If you are paid on the 15th and 30th of the month you can calculate your gross income for each pay period. Divide your gross monthly income by 2 (number of pay periods in a month), which is £1,218. Your gross income will be £1,218 every pay period. This figure assumes you will not be earning any overtime, bonus or incentive pay.

Calculate your year-to-date income using your gross income per paycheck. Assume this is January 1. When you receive your first paycheck on January 15, the year-to-date income will be £1,218. When you are paid again on the 30th of the month, your year-to-date income will be £2,437. This figure is calculated by adding the previous year-to-date figure with income received for the new pay period. When you are paid again on February 15, the year-to-date income will be £3,656 and on February 28, the year-to-date income will be £4,875.

Calculate your year-to-date net income. When all deductions for 401ks, life and health insurance, dental, loans, taxes and savings have been deducted from the gross monthly income per pay period, you will see the year-to-date net income. This is a better reflection of what your take home pay is. This income figure will also be included on your pay stub in a separate category. Calculating the year-to-date net income will be more challenging because of all the deductions, which may change depending on your situation.

Consider pay increases in the calculations. When you receive your annual salary increase you can calculate year-to-date income the same way as using the higher annual income figure. Your end of the year pay stub will provide you with an accurate measure of your true year-to-date income for the year, including all bonuses, overtime and incentives.