Self-Employment Tax Calculator
Calculate your taxes as a freelancer, 1099 contractor, or small business owner. See your SE tax, income tax, and estimated quarterly payments.
Your Business Income
Enter your self-employment income for 2025
Office supplies, software, equipment, travel, etc.
Simplified: $5/sq ft up to 300 sq ft ($1,500 max)
100% deductible above-the-line
Max: $18,587 (25% of net SE earnings)
Your Take-Home
After taxes and deductions
SE Tax Deduction (50%)
$5,651.82
Reduces your taxable income
Estimated Quarterly Tax Payments
Self-employed individuals must pay estimated taxes quarterly if you expect to owe $1,000 or more. Use Form 1040-ES to make payments.
Self-Employment Tax Breakdown (2025)
How SE Tax is Calculated
1. Net earnings × 92.35% = $73,880.00
2. Social Security: 12.4% on first $176,100
3. Medicare: 2.9% on all earnings (+ 0.9% above $200k)
4. Deduct 50% of SE tax from income
Your SE Tax Summary
Self-Employed Retirement Options
SEP-IRA
Up to $70,000
25% of net SE earnings. Easy to set up, no employee contributions.
Solo 401(k)
Up to $70,000
$23,000 employee + 25% employer. Roth option available.
SIMPLE IRA
Up to $16,000
Good for businesses with employees. 3% match or 2% contribution.
Self-Employment Tax Explained
What is Self-Employment Tax?
SE tax is how self-employed individuals pay into Social Security and Medicare. Employees split these taxes with their employer, but self-employed people pay both portions - a total of 15.3%.
SE Tax Rates for 2025
- • Social Security: 12.4% (up to $176,100)
- • Medicare: 2.9% (no limit)
- • Additional Medicare: 0.9% (over $200k single)
- • Total: 15.3% (on 92.35% of net earnings)
The 50% Deduction
You can deduct half of your self-employment tax when calculating your adjusted gross income. This reduces your income tax, partially offsetting the higher SE tax rate compared to employees.
Who Pays SE Tax?
- • Freelancers and 1099 contractors
- • Sole proprietors
- • Partners in a partnership
- • Single-member LLC owners
- • Anyone with net SE earnings of $400+
Common Self-Employed Deductions
Home Office
$5/sq ft simplified method, up to 300 sq ft
Health Insurance
100% deductible for self, spouse, dependents
Retirement (SEP/Solo 401k)
Up to $69,000 for 2025
Business Equipment
Section 179 deduction up to $1.22M
Vehicle Expenses
$0.67/mile for 2024, $0.70/mile for 2025
Professional Services
Accounting, legal, consulting fees