Self-Employment Tax Calculator
Estimate 2026 self-employment tax (15.3% on 92.35% of net earnings) plus income tax, with quarterly estimated payments.
Freelancers and sole proprietors pay both halves of Social Security and Medicare. Enter net self-employment earnings to get the 2026 SE tax breakdown — including the $184,500 Social Security wage base — plus an income tax estimate and your quarterly payment amount.
Tax year 2026: SE rates and the $184,500 Social Security wage base per SSA/IRS; income tax via 2026 brackets (IRS Rev. Proc. 2025-32) with the standard deduction. Ignores QBI, credits, and state taxes. Estimates only — consult a tax professional.
How to use this calculator
- Enter your net self-employment earnings (profit after business expenses) for the year.
- If you also have W-2 wages, enter them — they use up the Social Security wage base first.
- Select your filing status for the income-tax estimate.
- Click Calculate to see the SE tax breakdown, income tax estimate, and quarterly payment.
The formula
SE base = net earnings × 92.35%. SE tax = 12.4% × min(SE base, $184,500 − W-2 wages) + 2.9% × SE base + 0.9% × max(0, wages + SE base − threshold). Income tax: 2026 brackets on (net earnings − SE tax ÷ 2 − standard deduction).
Worked example
A single freelancer with $100,000 of net earnings has an SE base of $92,350. Social Security tax is $11,451.40 and Medicare is $2,678.15, for $14,129.55 in SE tax. After deducting half the SE tax and the $16,100 standard deduction, income tax is about $11,615.75 — a quarterly estimated payment of about $6,436.32.
Frequently Asked Questions
What is the self-employment tax rate for 2026?
15.3% on 92.35% of your net self-employment earnings: 12.4% for Social Security plus 2.9% for Medicare. Employees split this with their employer (7.65% each), but when you are self-employed you pay both halves. The 92.35% factor mirrors the employer tax exclusion regular businesses get.
Is there a cap on self-employment tax?
Partly. The 12.4% Social Security portion applies only to the first $184,500 of combined wages and self-employment earnings in 2026. The 2.9% Medicare portion has no cap, and earnings over $200,000 (single) or $250,000 (joint) owe an additional 0.9% Medicare tax. W-2 wages use up the cap before self-employment earnings do.
Can I deduct self-employment tax?
Half of it, yes. You deduct the employer-equivalent half of your SE tax above the line when computing adjusted gross income, which this calculator does before estimating your income tax. Note the income-tax half of your bill is separate — the total most freelancers should budget is SE tax plus income tax, which is why this tool shows both.
How much should I set aside per quarter?
A common rule of thumb is 25–30% of net profit, but this calculator gives you a personalized number: it divides your estimated total (SE tax + income tax) by four. Pay these as quarterly estimated payments (Form 1040-ES) to avoid underpayment penalties — the IRS expects tax paid as you earn.
Does this include the QBI deduction?
No. The 20% qualified business income deduction can significantly lower the income-tax portion for eligible pass-through businesses, but eligibility has income limits and exceptions by business type. This tool also ignores credits and state taxes, so treat the income-tax line as a conservative estimate.