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Self-Employment Tax Calculator
Calculate SE tax (Social Security & Medicare) for freelancers, Uber drivers, and 1099 contractors.
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How to use Self-Employment Tax Calculator
- Choose the tax year: Select the tax year (for example, 2024 or 2025) so the calculator applies the correct Social Security wage base and current brackets.
- Enter net self‑employment income: Input your total self‑employment income minus allowable business expenses; this is typically the net profit from Schedule C or similar records.
- Select filing status and other income: Pick your filing status and optionally add W‑2 wages or other taxable income so the tool can estimate overall federal income tax.
- Add deductions and credits: Include retirement contributions, health insurance, and other adjustments or credits to refine your income‑tax estimate.
- Review SE tax, income tax, and net income: The results show Social Security and Medicare SE tax, estimated federal income tax, and your final after‑tax income.
About Self-Employment Tax Calculator
What the Self‑Employment Tax Calculator does
The Self‑Employment Tax Calculator estimates how much self‑employment (SE) tax and federal income tax you owe on freelance, contractor, or small‑business income.
It focuses on Social Security and Medicare contributions at the combined 15.3% SE tax rate, then layers in federal income tax brackets so you see both total tax and after‑tax profit.
Self‑employment tax basics
Self‑employment tax covers Social Security and Medicare contributions that employers normally split with employees, so self‑employed people pay both halves themselves.
The core SE tax rate is 15.3%, made up of 12.4% for Social Security and 2.9% for Medicare, applied to most net earnings from self‑employment.
- Income threshold and wage base: SE tax generally applies if your net self‑employment earnings are 400 USD or more, and the Social Security portion only applies up to the annual wage base (for example, 176,100 USD for 2025).
- Additional Medicare tax: High earners may owe a 0.9% Additional Medicare Tax on SE income above certain thresholds, pushing the effective Medicare rate higher on that top slice.
- Half SE tax deduction: You can deduct the “employer‑equivalent” half of your SE tax as an adjustment to income, reducing taxable income for federal income tax.
How the Self‑Employment Tax Calculator works
- Step 1 – Determine net earnings: The calculator starts with your net self‑employment income (income minus expenses) and multiplies it by 92.35% to find the portion subject to SE tax.
- Step 2 – Social Security portion: It applies the 12.4% Social Security rate to that amount, up to the Social Security wage base for the chosen year.
- Step 3 – Medicare portion: It applies the 2.9% Medicare rate (plus any Additional Medicare Tax for high earners) to the same base without a wage cap.
- Step 4 – Total SE tax and deduction: The tool adds the Social Security and Medicare pieces to get total SE tax, then computes the deductible half that reduces your income for federal tax.
- Step 5 – Federal income tax and net income: Using your filing status, other income, and deductions, the calculator estimates federal income tax and subtracts it along with SE tax to show after‑tax income and an effective tax rate.
Outputs you will see
- Self‑employment tax total: Combined Social Security and Medicare SE tax for the year on your freelance or business income.
- Federal income tax estimate: Approximate federal income tax due on your total income after factoring in the SE tax deduction and other adjustments.
- After‑tax income and effective rate: Your net income after all federal and SE taxes, plus an effective tax rate so you see what share of your earnings goes to taxes.
- Suggested quarterly payments: Many tools also suggest how much to set aside or pay each quarter to avoid underpayment penalties.
Who should use the Self‑Employment Tax Calculator
- Freelancers and independent contractors: People working on 1099, gig platforms, or side hustles can estimate how much of each payment needs to be reserved for taxes.
- Small‑business owners and sole proprietors: Owners without traditional payroll can quickly forecast SE tax, plan quarterly estimates, and decide on retirement or health deductions.
- Newly self‑employed workers: Anyone transitioning from W‑2 employment to self‑employment can compare their old paycheck tax situation with the new SE tax burden and adjust pricing or savings targets.