Self-Employment Tax Calculator
When you work for yourself you cover both halves of Social Security and Medicare, which surprises many new freelancers. Enter your net profit to see your estimated self-employment tax and the part you can deduct.
Self-employment tax on $100,000 of net profit is about $14,130 (15.3% on 92.35% of profit). You can deduct half — $7,065 — against your income tax. Set aside this plus income tax for quarterly payments.
Worked examples
Real results from this calculator, computed for a few common scenarios. Move the sliders above to run your own numbers.
| Net self-employment profit = $81,000 | Self-employment tax on $81,000 of net profit is about $11,445 (15.3% on 92.35% of profit). You can deduct half — $5,722 — against your income tax. Set aside this plus income tax for quarterly payments. |
| Net self-employment profit = $201,000 | Self-employment tax on $201,000 of net profit is about $27,219 (15.3% on 92.35% of profit). You can deduct half — $13,610 — against your income tax. Set aside this plus income tax for quarterly payments. |
| Net self-employment profit = $320,000 | Self-employment tax on $320,000 of net profit is about $30,406 (15.3% on 92.35% of profit). You can deduct half — $15,203 — against your income tax. Set aside this plus income tax for quarterly payments. |
Your next step
Taxes & Take-Home Pay
See what you really keep, and where every dollar of tax actually goes.
Related toolPaycheck Take-Home Calculator
See what actually lands in your account after taxes and deductions come out of each paycheck.
Related toolFederal Income Tax Calculator
Estimate the federal income tax you owe and see your effective and marginal rates.
How this math works
Self-employment tax is 15.3 percent, made up of 12.4 percent for Social Security up to the annual wage base plus 2.9 percent for Medicare, and it is charged on 92.35 percent of your net profit. The calculator applies that rate and shows the total.
It also shows the deductible half of the tax, which you can subtract when figuring your income tax. Plan to set aside this amount along with your income tax for quarterly estimated payments.
Common questions
Why is only 92.35 percent of profit taxed?
The law lets you exclude a portion of net profit roughly equal to the employer share an employee would not pay, so the tax is figured on 92.35 percent rather than the full amount.
Is self-employment tax on top of income tax?
Yes. Self-employment tax covers Social Security and Medicare and is separate from federal income tax. You generally owe both, which is why setting money aside matters.
What are quarterly estimated payments?
Because no employer withholds for you, the system expects you to send tax payments four times a year. Setting aside your self-employment tax plus income tax helps you cover them on time.
Put this calculator on your website
Bloggers, teachers, credit unions, HR teams: embed the live Self-Employment Tax Calculator free. Copy the snippet below — the tool keeps working and stays up to date automatically, no maintenance on your side.
The Flourish Letter
One useful money idea every Friday, with the interactive chart so you can check the math. Free. Welcome path: free printable toolkit (calendar, debt sheet, raise script, and more).