What is a pay statement?

A pay statement, also known as a pay stub or paycheck stub, is a document provided by an employer to employees that outlines their earnings for a specific pay period. It typically includes details such as gross pay, deductions (like taxes and benefits), and net pay, which is the amount the employee takes home. Pay statements also often provide information on year-to-date earnings and deductions, helping employees track their income and tax withholdings throughout the year.