Self-Employment Tax Calculator

Self-employment tax covers the combined Social Security (12.4%) and Medicare (2.9%) taxes that self-employed workers must pay in full. Employees split these taxes with employers (each pays half), but self-employed workers pay both halves, totaling 15.3% on net self-employment income up to the Social Security wage base ($176,100 in 2025), then 2.9% above that.

Yes. You can deduct half of your self-employment tax from your gross income as an above-the-line deduction on Schedule 1. This mimics the tax treatment of employees, whose employer's FICA contribution is not considered taxable income. This deduction reduces your adjusted gross income before calculating income tax.

Quarterly estimated tax payments are due in April, June, September, and January (for the prior year's Q4). Specifically, for 2025: April 15, June 16, September 15, and January 15, 2026. Missing these deadlines can result in an underpayment penalty, which this calculator helps you avoid.

Common deductible business expenses for freelancers and the self-employed include: home office (if used exclusively for business), health insurance premiums, retirement plan contributions (SEP-IRA, Solo 401k), business equipment and software, internet and phone (business portion), business travel, and professional development. Enter your estimated deductions in this calculator to see their impact on taxable income.

Eligible self-employed workers can deduct up to 20% of qualified business income under Section 199A (QBI deduction), reducing federal income tax. This deduction phases out for certain service businesses above income thresholds ($197,300 for single filers in 2025). This calculator does not model the QBI deduction; consult a tax professional.