Self-Employment Tax Calculator

Freelancer, contractor or gig worker? Estimate your 2026 self-employment tax, income tax and quarterly payments on 1099 income.

Updated October 28, 2026Checked against IRS Pub 15-T & state tables15.3% SE taxQuarterly estimates

Your 2026 tax on self-employment income

Self-employment tax: $11,304
Federal income tax (on business): $5,344
State income tax (est.): $0
Total tax on profit: $16,647
Quarterly estimate: $4,162
Effective rate on profit: 20.8%

Step	Amount
Net profit (Schedule C)	$80,000
× 92.35% = net SE earnings	$73,880
Social Security 12.4%	$9,161
Medicare 2.9%	$2,143
Deduct half of SE tax	−$5,652
Qualified business income deduction (20%)	−$11,650
Federal marginal rate	12%

Quarterly estimated payments for 2026 are due April 15, June 15 and September 15, 2026, and January 15, 2027. Paying at least 100% of last year's tax (110% if AGI was over $150,000) avoids the underpayment penalty.

How self-employment tax works

When you're an employee, you pay 7.65% FICA and your employer pays the other 7.65%. When you work for yourself, you pay both halves, which is the 15.3% self-employment tax. To make it fair, you can:

Calculate SE tax on only 92.35% of net profit, mirroring the employer's share not being wages.
Deduct half of your SE tax from your income for income tax purposes.

Lower your self-employment taxes

Track every business expense. Home office, mileage (70¢/mile was the 2025 rate), software, equipment and health insurance premiums can all reduce profit.
Open a Solo 401(k) or SEP-IRA. They cut income tax, though not SE tax.
Consider an S corporation once profit is consistently above about $60,000–$80,000. Paying yourself a reasonable salary can reduce SE tax on the rest.

Frequently asked questions

What is the self-employment tax rate for 2026?

15.3% of net self-employment earnings: 12.4% Social Security on the first $184,500 and 2.9% Medicare on everything. An extra 0.9% Medicare applies above $200,000 ($250,000 joint). Net SE earnings are 92.35% of your net profit.

How much should I set aside for taxes as a 1099 worker?

A common rule is 25–30% of net profit in a no-income-tax state and 30–35% in higher-tax states. Use the calculator for a figure based on your income, filing status and state.

When are 2026 quarterly estimated taxes due?

April 15, 2026; June 15, 2026; September 15, 2026; and January 15, 2027. Pay through IRS Direct Pay or EFTPS.

Do I pay self-employment tax if I also have a W-2 job?

Yes, but the Social Security part stops once your combined W-2 wages and SE earnings reach the wage base. Enter your W-2 wages in the calculator to apply that cap correctly.

What is the QBI deduction?

The qualified business income deduction lets many sole proprietors deduct up to 20% of their business profit from taxable income. The One Big Beautiful Bill Act made it permanent. Specified service businesses face limits at higher incomes.