Speedy Calculator

Gross to Net Calculator

Finance Updated October 25, 2026

Quick answer

The gross to net calculator removes tax or deductions from a gross amount – using a rate charged on the net amount (like VAT or sales tax) or a share of the gross (like income tax) – to give the net amount and the tax.

$
%
Net amount
$ —
Tax amount
$ —
Tax as a share of gross
— %

Whether you divide or multiply matters: removing 20% VAT from €120 gives €100 (divide by 1.2), but deducting 20% income tax from 120 gives 96. Choose the type of rate that matches your case.

How to use the Gross to Net Calculator

  1. Gross amount
  2. Tax rate type
  3. Tax rate

Results update as you type, and every field accepts the units shown in its menu.

How it works

Enter the gross amount, choose the type of rate, and enter the rate.

Tips

  • Tax figures here are estimates for planning – your actual tax depends on credits, deductions and local rules.
  • Check the tax year and filing status before you rely on a result.
  • Use gross (before-tax) figures unless a field asks for take-home pay.
  • When in doubt, confirm with the tax authority’s own calculator or a tax professional.

Common mistakes to avoid

  • Confusing marginal and effective tax rates.
  • Adding sales tax to a price that already includes it.
  • Forgetting payroll taxes (Social Security and Medicare) on wages.

Inputs explained

Field What to enter
Gross amount Amount in your currency
Tax rate type Choose one: Tax is added on top of the net amount (VAT, sales tax), Tax is a share of the gross amount (income tax)
Tax rate In %

What each result means

  • Tax amount = [Gross amount] – [Net amount]
  • Tax as a share of gross = [Tax amount]÷[Gross amount]×100

Example values

How the main result changes when Gross amount changes and everything else stays at the example values above:

Gross amount Net amount
600 500
900 750
1,200 1,000
1,500 1,250
1,800 1,500
2,400 2,000

Formula

Rate of the gross (e.g. income tax): net = gross × (1 − rate)Rate added to net (e.g. VAT): net = gross ÷ (1 + rate)Tax = gross − net

Worked example

Inputs — Gross amount: $1,200; Tax rate type: Tax is added on top of the net amount (VAT, sales tax); Tax rate: 20 %.
Results — Net amount = $1,000.00; Tax amount = $200.00; Tax as a share of gross = 16.67 %.

Frequently asked questions

How do I calculate net from gross?

For VAT, divide by (1 + rate); for income tax, multiply by (1 − rate).

Why are the results different?

VAT is a percentage of the net price; income tax is a percentage of gross pay.

What is net pay?

Pay after taxes and deductions.

What formula does the Gross to Net Calculator use?

Rate of the gross (e.g. income tax): net = gross × (1 − rate).

Cite this calculator

Speedy Calculator. (2026). Gross to Net Calculator. Speedy Calculator. https://speedycalculator.com/calculators/finance/gross-to-net/