What is the self-employment tax rate?

15.3% — 12.4% for Social Security (up to the annual wage base) plus 2.9% for Medicare. It's the self-employed version of FICA: you pay both the employee and employer halves. It applies to 92.35% of your net earnings.

How much should I set aside for 1099 taxes?

A common rule of thumb is 25–30% of net income, but it depends on your bracket and state. This calculator estimates your total tax and divides it into four quarterly payments.

Can I deduct half of my self-employment tax?

Yes. Half of your SE tax is deducted from income before federal and state income tax is calculated — this tool already applies that deduction.

Does this include the QBI deduction?

No. The 20% Qualified Business Income deduction, business credits, and retirement contributions can lower your tax further. This is a baseline estimate — consult a tax professional for your full situation.

Stivenza · Free tool

Self-Employment Tax Calculator

Freelancer, contractor, or sole proprietor? Estimate your 2026 self-employment tax, income tax, take-home pay, and how much to set aside each quarter. For W-2 wages, use the paycheck calculator.

Estimated take-home

$58,294

Set aside about $5,426 per quarter for estimated taxes

Self-employment tax breakdown
Net business income	$80,000
Self-employment tax (15.3%)	$11,304
Federal income tax	$7,527
State income tax	$2,875
Total tax	$21,706
Take-home pay	$58,294

Frequently asked questions

What is the self-employment tax rate?: 15.3% — 12.4% for Social Security (up to the annual wage base) plus 2.9% for Medicare. It's the self-employed version of FICA: you pay both the employee and employer halves. It applies to 92.35% of your net earnings.
How much should I set aside for 1099 taxes?: A common rule of thumb is 25–30% of net income, but it depends on your bracket and state. This calculator estimates your total tax and divides it into four quarterly payments.
Can I deduct half of my self-employment tax?: Yes. Half of your SE tax is deducted from income before federal and state income tax is calculated — this tool already applies that deduction.
Does this include the QBI deduction?: No. The 20% Qualified Business Income deduction, business credits, and retirement contributions can lower your tax further. This is a baseline estimate — consult a tax professional for your full situation.

How this is calculated

Estimates use 2026 tax rules and run entirely in your browser — nothing you type is sent to a server. We compute federal income tax, Social Security, Medicare, and your state's income tax from your gross pay and pre-tax deductions.

Data sources & what's included

Federal income tax & standard deduction: IRS Revenue Procedure 2025-32 (2026 tax-year rate schedules, all filing statuses).
Social Security & Medicare: SSA 2026 wage base ($184,500) and IRS Topic 751, including the 0.9% Additional Medicare Tax.
State income tax: 2026brackets and standard deductions for all 50 states and DC, from the Tax Foundation's 2026 dataset cross-checked against state Departments of Revenue.

Pre-tax deductions: 401(k) reduces income-tax wages but not Social Security/Medicare wages; HSA, FSA, and health premiums reduce both.

Not included: local/city/county income taxes, personal-exemption credits, itemized deductions, tax credits, and deduction phase-outs. Your actual withholding and tax return may differ.

Reviewed by Colson, Founder, ColsonSuperApps LLC · Last updated June 1, 2026 · Full methodology & sources