Self-employment tax calculator (2026)
Freelancers, contractors and gig workers pay Social Security and Medicare themselves through self-employment tax, on top of income tax. Enter your 2026 numbers to estimate both, and what to pay in quarterly estimated taxes.
General information, not tax advice. A federal estimate with 2026 figures (checked October 15, 2026). It does not include state tax, credits, capital-gains rates or retirement contributions.
New to filing yourself? Start with how to file your own taxes. Stuck on something? See where to get help, free options first.
How self-employment tax works
Self-employment tax is Social Security and Medicare for people who work for themselves: 15.3% in total, both the employee and employer shares. You figure it on Schedule SE:
- Multiply net profit by 92.35%. If the result is under $400, there is no self-employment tax.
- Social Security: 12.4% of that amount, up to the 2026 wage base of $184,500. W-2 wages you earned count toward the base first.
- Medicare: 2.9% of the full amount, with no cap.
- Additional Medicare Tax: another 0.9% on wages plus self-employment earnings over $200,000 single or head of household, $250,000 married filing jointly, $125,000 married filing separately (Form 8959).
You then deduct half of the self-employment tax from income, and many sole proprietors also get the qualified business income deduction. Both lower income tax, not self-employment tax.
Worked example
A single freelancer with $80,000 of net profit and no other income:
| Net earnings (92.35% of profit) | $73,880 |
| Social Security (12.4%) | $9,161 |
| Medicare (2.9%) | $2,143 |
| Self-employment tax | $11,304 |
| Adjusted gross income (profit minus half of SE tax, $5,652) | $74,348 |
| Standard deduction | −$16,100 |
| QBI deduction | −$11,650 |
| Taxable income | $46,599 |
| Income tax | $5,344 |
| Total federal tax | $16,647 |
That is 20.81% of profit. Without prior-year figures, the safe-harbor payment is 90% of this year's tax, $14,983, or about $3,746 a quarter.
2026 estimated tax due dates
| Payment | Covers income earned | Due |
|---|---|---|
| 1st | January 1 to March 31 | April 15, 2026 |
| 2nd | April 1 to May 31 | June 15, 2026 |
| 3rd | June 1 to August 31 | September 15, 2026 |
| 4th | September 1 to December 31 | January 15, 2027 |
Pay through your IRS online account, IRS Direct Pay or EFTPS. The penalty is figured quarter by quarter, so a large final payment does not fully erase an earlier shortfall; if your income came mostly late in the year, the annualized method on Form 2210 can lower or remove it. Most states with an income tax have their own estimated payments too. See every date on our tax deadlines page.
Frequently asked questions
What is the self-employment tax rate?
15.3%: 12.4% for Social Security and 2.9% for Medicare, applied to 92.35% of your net profit. The Social Security part stops at the 2026 wage base of $184,500, counting any W-2 wages first. An extra 0.9% Additional Medicare Tax applies to earnings over $200,000 single ($250,000 joint).
Why is it 92.35% of profit?
Employees pay 7.65% and their employer pays another 7.65% that is not counted as the employee's income. Multiplying profit by 92.35% (100% minus 7.65%) puts the self-employed on the same footing before the 15.3% applies.
Do I owe self-employment tax on a small side gig?
Only if your net earnings (92.35% of profit) are $400 or more. You still report all of the income for income tax, even if no 1099 arrives.
Is self-employment tax deductible?
Half of it is, as an adjustment to income on Schedule 1, which lowers your adjusted gross income. The Additional Medicare Tax is not part of that deduction.
Do I have to make quarterly estimated payments?
Generally yes if you expect to owe $1,000 or more after withholding. You avoid the underpayment penalty by paying, on time, the smaller of 90% of this year's tax or 100% of last year's tax (110% if last year's adjusted gross income was over $150,000, or $75,000 married filing separately).
Can my W-2 job withholding cover my side income?
Yes. Withholding counts as paid evenly through the year, no matter when it was taken out, so raising withholding on Form W-4 late in the year can make up for missed estimated payments.
What is the QBI deduction?
The qualified business income deduction lets many sole proprietors deduct up to 20% of business profit (after half of SE tax) from taxable income. Below $201,750 of taxable income ($403,500 joint) it is simply the smaller of 20% of that profit or 20% of taxable income. Above that, limits based on W-2 wages paid, property and the type of business apply, so this calculator leaves it out.
Official sources
- IRS: Self-employment tax (Social Security and Medicare taxes)
- IRS Instructions for Schedule SE (Form 1040)
- IRS: Questions and answers for the Additional Medicare Tax
- IRS: Qualified business income deduction
- IRS Publication 505, Tax Withholding and Estimated Tax
- IRS Form 1040-ES, Estimated Tax for Individuals
- Social Security Administration: 2026 COLA fact sheet (maximum taxable earnings)
- IRS Rev. Proc. 2025-32 (2026 inflation adjustments)
Related: estimated taxes guide · tax refund calculator · 2026 tax brackets · independent contractor tax checklist · Schedule 1-A calculator (tips earned in self-employment count)