A paycheck is a check used to pay an employee's wages, containing net wages after deductions for federal and state income taxes, Social Security, union dues, and other benefit adjustments.
Payday refers to the specific day set by employers on which employees receive their wages or salaries, typically in the form of paychecks or direct deposits into their bank accounts.
Withholding refers to the portion of an employee's wages retained by the employer for the purpose of paying various taxes, insurance plans, pension plans, union dues, and other deductions.
Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.