Pay Stub vs Paycheck vs Earning Statement
What's the Difference?
Quick Answer
Paycheck = payment • Pay stub = record
A paycheck is the actual money you receive. A pay stub (or earning statement) is the documentation showing how that amount was calculated. They're different things used for different purposes.
These terms often get confused. This guide clearly explains each one, what information they contain, and when you need which document.
The Three Documents Explained
Paycheck
The actual payment—paper check or direct deposit
Shows: Net pay only
Pay Stub
The documentation—record of earnings and deductions
Shows: Gross, net, deductions, YTD
Earning Statement
Same as pay stub—just a different name
Shows: Gross, net, deductions, YTD
What Information Each Contains
Pay Stub / Earning Statement
Paycheck (paper)
Direct Deposit
Other Names for the Same Thing
Pay stubs go by many names depending on your employer, industry, or country:
Pay Stub
Most common term in the US
United StatesPayslip
Common British English term
UK, Australia, CanadaEarning Statement
Formal/corporate term
Corporate AmericaWage Statement
Legal/compliance term
Government, legalPay Statement
Neutral alternative
VariousRemittance Advice
Formal banking term
Finance industryEarnings Record
HR terminology
HR departmentsBottom line: If someone asks for your "earning statement," "wage statement," "payslip," or "remittance advice," they want your pay stub—the document showing your gross pay, deductions, and net pay.
When You Need Which Document
Rental application
Landlords need to verify gross income and employment
Loan application
Lenders calculate debt-to-income from gross pay
Tax preparation
Verify W-2 accuracy, track withholdings
Buying something
The actual payment method
Government benefits
Prove income for eligibility
Employment verification
Proves you work there and your income
The Key Difference: Gross vs Net
Paycheck Shows:
$3,200
Net pay (what you receive)
Pay Stub Shows:
That's why landlords and lenders want your pay stub—they need to see the $4,000 gross pay, not just the $3,200 net pay.
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Generate professional pay stubs with all required information. Perfect for rental applications, loan verification, and income documentation.
Frequently Asked Questions
What's the difference between a pay stub and a paycheck?
A paycheck is the actual payment you receive (paper check or direct deposit). A pay stub is the documentation that shows how that payment was calculated—your gross wages, deductions, and how they arrived at your net pay. You receive the paycheck; the pay stub is your record.
Is an earning statement the same as a pay stub?
Yes. 'Earning statement' and 'pay stub' are different names for the same document. Some employers and payroll systems use 'earning statement' as a more formal term, but the content is identical: gross pay, deductions, net pay, and year-to-date information.
What is a payslip vs paystub?
'Payslip' is primarily British English, while 'paystub' is American English. They refer to the same document—the itemized record of your earnings and deductions. In Australia and Canada, 'payslip' is also commonly used.
Why do landlords want pay stubs, not paychecks?
Landlords need to verify your gross income (before taxes) to apply the 3x rent rule. A paycheck only shows net pay (after taxes). A pay stub shows gross income, your employer's information, and year-to-date earnings—all crucial for income verification.
Can I use a bank statement instead of a pay stub?
Sometimes. Bank statements show deposit amounts but not gross pay, deductions, or employer details. Some landlords and lenders accept bank statements as supplementary proof, but most prefer pay stubs for complete income verification.
Do I get a pay stub with direct deposit?
Usually yes. Even with direct deposit (no paper check), employers typically provide pay stubs electronically through an employee portal, email, or payroll app. Federal law doesn't require pay stubs, but most states do. Check your employee portal or ask HR.
How many pay stubs should I keep?
Keep at least one year of pay stubs for tax verification. For major financial applications (mortgages, loans), keep 2-3 years. Some financial advisors recommend keeping them for 3-7 years for audits or disputes.
What if my employer calls it something different?
Employers use various terms: pay stub, earning statement, wage statement, remuneration statement, pay advice, pay slip. They all mean the same thing—the document showing your gross pay, deductions, and net pay for a pay period.
Understand Your Pay Documents
Now you know the difference. Need to create professional pay stubs for income verification? We can help.
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