1099 Self-Employment Tax Calculator (2026)
Freelancers, contractors, sole proprietors, and LLC owners: calculate your 15.3% SECA tax obligation, write off deductible business expenses, and estimate quarterly tax payments.
Estimates are for informational purposes only. Consult a CPA or tax professional before making tax decisions.
15.3% (12.4% SS + 2.9% Med)
Freelance Income & Deductions
Software, home office, equipment, travel, client meals, marketing, etc.
Net Take-Home:
help Frequently Asked Questions
What is self-employment tax (SECA tax)?
Self-employment tax is the tax paid by freelancers, independent contractors (1099), and sole proprietors to fund Social Security and Medicare. Because there is no employer paying half, self-employed individuals pay the full 15.3% (12.4% Social Security + 2.9% Medicare).
How is the 15.3% self-employment tax calculated?
SE tax is calculated on 92.35% of your net business profit (gross income minus deductible business expenses). The 15.3% rate applies up to the annual Social Security maximum wage cap ($176,100 for 2026), while the 2.9% Medicare tax applies to all net earnings.
Can I deduct half of my self-employment tax?
Yes! The IRS allows you to deduct 50% of your calculated self-employment tax from your gross income as an above-the-line deduction on Form 1040, which reduces your overall federal income tax liability.
When are quarterly estimated tax payments due?
Quarterly estimated taxes are typically due four times a year: April 15 (Q1), June 15 (Q2), September 15 (Q3), and January 15 of the following year (Q4). Missing these deadlines can trigger IRS underpayment penalties.
What business expenses can I write off to lower my self-employment tax?
Common write-offs include home office expenses, internet and phone bills, software subscriptions, equipment, mileage and travel, advertising, and health insurance premiums.
How Self-Employment Tax Works
When you work as a W-2 employee, your employer splits the Social Security and Medicare tax burden with you — each paying 7.65%. As a freelancer, independent contractor, or sole proprietor receiving 1099 income, there is no employer share, so you pay the full 15.3% SECA rate yourself: 12.4% for Social Security and 2.9% for Medicare.
Why Is SE Tax Calculated on 92.35% of Net Earnings?
The IRS does not apply the 15.3% rate to your entire net profit. Because an employer normally deducts its 7.65% share before calculating withholding, the IRS mirrors this symmetry by applying SE tax to 92.35% of your net business earnings (100% − 7.65% = 92.35%). This reduces your taxable SE base slightly before the 15.3% rate is applied.
Quarterly Estimated Tax Payments
Unlike W-2 employees whose taxes are automatically withheld from each paycheck, self-employed individuals must proactively pay the IRS on a quarterly schedule using Form 1040-ES. Missing these payments can result in an IRS underpayment penalty. The standard quarterly due dates are April 15, June 15, September 15, and January 15 of the following year.