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Self-Employment Tax Calculator

Self-employed? Your taxes are more complex than W-2 employees. Calculate your true take-home pay after self-employment tax, income tax, and deductions.

Income

$
Total business income before expenses
$
Deductible business costs

Deductions

$
Self-employed health insurance deduction
$
SEP-IRA, Solo 401(k), etc.

Filing Status

Tax Breakdown

Net Self-Employment Income -- Revenue minus business expenses
Self-Employment Tax -- 15.3% on 92.35% of net income
Federal Income Tax -- After deductions
State Income Tax --
Total Taxes -- Effective rate: --
Annual Take-Home Pay -- Monthly: --

Quarterly Estimated Payments

Self-employed individuals must pay estimated taxes quarterly to avoid penalties.

Q1 (Apr 15) --
Q2 (Jun 15) --
Q3 (Sep 15) --
Q4 (Jan 15) --

Your Deductions Breakdown

1/2 Self-Employment Tax --
Health Insurance --
Retirement Contributions --
Standard Deduction --
Total Deductions --
Taxable Income --

Tax Reduction Strategies

Max Retirement Contributions

SEP-IRA: up to 25% of net self-employment income (max $69,000 in 2024). Solo 401(k): up to $23,000 employee + 25% employer contribution.

S-Corp Election

If earning $80K+, consider S-Corp election. Pay yourself a reasonable salary and take remaining profits as distributions to avoid some self-employment tax.

Track All Deductions

Home office, mileage, equipment, software, education, professional services. Every legitimate deduction reduces your taxable income.

Health Insurance Deduction

Self-employed can deduct 100% of health insurance premiums for yourself, spouse, and dependents. This is an above-the-line deduction.

How Self-Employment Tax Works

The 15.3% burden: Employees only see 7.65% for Social Security and Medicare because employers pay the other half. Self-employed pay both halves: 12.4% Social Security (up to $168,600 in 2024) + 2.9% Medicare on all income.

The deduction offset: You can deduct half of your self-employment tax from your income. This reduces your income tax (but not the SE tax itself).

Important: This calculator provides estimates. Consult a tax professional for your specific situation, especially regarding state taxes, local taxes, and advanced strategies.