Last reviewed: June 2026 This calculator is for educational estimates only. It is not legal, tax, accounting, payroll, or financial advice.

Self-Employment Tax Calculator

This tool estimates the Social Security and Medicare tax portion of self-employment income. It does not calculate your full tax return. Federal income tax, state tax, credits, retirement deductions, and the Qualified Business Income deduction are separate.

Your business income

Used for the Social Security wage base limit.

Used to determine the threshold for the 0.9% Additional Medicare Tax.

Total business revenue before expenses. For example: 1099 income, client payments, consulting revenue, or freelance income.

Examples include software, supplies, business mileage, home office costs, professional fees, and other deductible business expenses.

W-2 wages count toward the Social Security wage base and can reduce the Social Security portion of SE tax on your business income.

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Estimated self-employment tax

Net business profit: $0
Taxable SE earnings: $0
Social Security (12.4%): $0
Medicare (2.9%): $0
Additional Medicare (0.9%): $0
Total self-employment tax: $0
Estimated 50% SE tax deduction: $0
Net profit vs. estimated SE tax
Net after SE tax (100%) Social Security (0%) Medicare (0%)
Estimated quarterly SE tax: $0

This is self-employment tax only. Quarterly estimated tax payments may also need to include federal income tax. Plan payments →

Note: This calculator applies SE tax to 92.35% of net profit. The 2026 Social Security wage base is $184,500. Income above that base is not subject to the 12.4% Social Security portion, but Medicare tax may still apply.

Quick answer: how much is self-employment tax?

The standard self-employment tax rate is 15.3%. That rate is made up of 12.4% for Social Security and 2.9% for Medicare. For 2026, the Social Security portion applies up to the $184,500 wage base. Medicare has no wage base cap.

The tax is usually calculated on net earnings from self-employment, not gross revenue. For a typical Schedule C business, that means you subtract deductible business expenses first, multiply the remaining profit by 92.35%, then apply the self-employment tax rates.

This is not your total tax bill

Self-employment tax is separate from federal income tax and state income tax. A freelancer or LLC owner can owe SE tax and income tax on the same business profit.

What this self-employment tax calculator includes

  • Net business profit: gross business income minus estimated deductible business expenses.
  • Taxable SE earnings: net profit multiplied by 92.35%, which mirrors the Schedule SE adjustment.
  • Social Security tax: 12.4% up to the annual wage base, after accounting for W-2 wages.
  • Medicare tax: 2.9% on taxable self-employment earnings, with no wage base cap.
  • Additional Medicare Tax: estimated 0.9% tax above the filing-status threshold, if enabled.
  • Estimated quarterly SE tax: the calculated self-employment tax divided by four.
  • Estimated SE tax deduction: an estimate of the employer-equivalent deduction that may reduce adjusted gross income.

How the self-employment tax formula works

Use this simplified formula to understand the calculator:

  1. Gross business income minus business expenses equals net profit.
  2. Net profit multiplied by 92.35% equals estimated net earnings from self-employment.
  3. Social Security tax is 12.4% up to the remaining wage base.
  4. Medicare tax is 2.9% on net earnings from self-employment.
  5. Additional Medicare Tax may apply at 0.9% above the filing-status threshold.
Example step Amount Explanation
Gross business income $100,000 Total payments before deductions.
Business expenses $20,000 Deductible business costs.
Net profit $80,000 Amount before the Schedule SE adjustment.
Estimated taxable SE earnings $73,880 $80,000 multiplied by 92.35%.
Estimated SE tax $11,303 15.3% before any wage-base or Additional Medicare adjustments.

Self-employment tax for LLC owners, freelancers, and 1099 contractors

This calculator is designed for income that is commonly reported by freelancers, consultants, independent contractors, sole proprietors, gig workers, and LLC owners. For a single-member LLC taxed as a disregarded entity, business profit usually flows to Schedule C and is generally subject to self-employment tax.

A 1099 form does not create the tax by itself. The tax is based on self-employment earnings. You can still owe self-employment tax even if a client does not send a 1099, and you may not owe it on every type of income that appears on a tax return.

How W-2 wages affect self-employment tax

If you have both a W-2 job and self-employment income, your W-2 wages matter because Social Security tax has an annual wage base. Once your combined W-2 wages and net self-employment earnings reach the wage base, the 12.4% Social Security portion stops applying.

Medicare works differently. The 2.9% Medicare portion generally has no wage base cap, and the 0.9% Additional Medicare Tax may apply once combined income exceeds the threshold for your filing status.

Using the result for quarterly estimated taxes

The quarterly result in this calculator divides estimated self-employment tax by four. That is only a planning shortcut. Actual quarterly estimated tax payments often need to cover federal income tax, self-employment tax, and other taxes together.

Use the result as a starting point, then add your estimated federal income tax and any applicable state tax. For a more complete planning workflow, use the quarterly tax payment estimator .

Ways to reduce self-employment tax legally

The most basic way to lower self-employment tax is to track legitimate business expenses. Self-employment tax is calculated after business expenses, so accurate bookkeeping matters.

  • Track business expenses: software, supplies, business mileage, professional fees, payment processing fees, home office costs, and other ordinary business costs may reduce net profit.
  • Separate income tax deductions from SE tax rules: some deductions lower income tax but do not reduce self-employment tax.
  • Consider S-Corp status at higher profit levels: an S-Corp election can reduce SE tax in some cases, but it adds payroll, reasonable salary rules, Form 1120-S, and additional accounting costs.
Do not treat S-Corp status as automatic savings

An S-Corp can reduce self-employment tax only if the salary, distribution, payroll cost, state tax, and compliance math still work. Compare the numbers before filing Form 2553.

Related tools: S-Corp Tax Savings Calculator and LLC vs S-Corp guide .

What this calculator does not include

  • Federal income tax: regular income tax brackets are separate from SE tax.
  • State income tax: state rules vary and are not included in this tool.
  • QBI deduction: the Qualified Business Income deduction may reduce income tax, but it generally does not reduce self-employment tax.
  • Retirement deductions: SEP IRA, solo 401(k), and other retirement calculations are not included.
  • Tax credits: credits, withholding, penalties, prior-year safe harbor rules, and refunds are not calculated here.
  • Special industries: clergy, farm income, certain partnership allocations, and unusual income types may require different treatment.

Official sources

Calculator disclaimer

This tool provides a generalized estimate of self-employment tax only. It does not replace Schedule SE, Form 1040-ES, payroll software, tax preparation software, or advice from a qualified tax professional. Your final tax liability depends on your filing status, W-2 wages, deductions, credits, state tax rules, prior-year tax, payment timing, and the facts of your business.