Self-Employment Tax Calculator 2026
Calculate your self-employment tax, income tax, and quarterly estimated payments as a freelancer or 1099 contractor.
🏢 Calculate Self-Employment Tax
Understanding Self-Employment Tax
Self-employment tax covers Social Security (12.4%) and Medicare (2.9%) for a total of 15.3%. Unlike W-2 employees where the employer pays half, self-employed individuals pay both the employee and employer portions.
- Only 92.35% of net earnings are subject to SE tax (the employer-equivalent portion adjustment).
- You can deduct half of SE tax from your adjusted gross income, reducing your income tax.
- Quarterly estimated payments are due on April 15, June 15, September 15, and January 15.
- If you owe ,000+ in taxes, you must make quarterly payments or face penalties.
💡 SE Tax Deductions
Deduct half of your SE tax from AGI. Also deduct health insurance premiums, home office expenses, business travel, and equipment. Consider an S-Corp election if earning + to save on SE tax.
❓ Self-Employment Tax FAQ
Any income from freelancing, gig work, sole proprietorship, or 1099 contract work. This includes Uber/Lyft driving, tutoring, consulting, selling goods online, and any work where you receive a 1099-NEC or 1099-MISC instead of a W-2. If you earn + in SE income, you must file and pay SE tax.
Q1: April 15, 2026 · Q2: June 15, 2026 · Q3: September 15, 2026 · Q4: January 15, 2027. You can pay via IRS.gov/payments (free ACH), IRS Direct Pay, or mail Form 1040-ES with a check. Missing deadlines triggers penalties of approximately 0.5% per month.
Key strategies: (1) Deduct all legitimate business expenses, (2) Contribute to a SEP-IRA or Solo 401(k) to reduce taxable income, (3) Consider S-Corp election if earning + — pay yourself a reasonable salary and take remaining profit as distributions (not subject to SE tax), (4) Use the home office deduction if you qualify.