Self-Employment Tax Calculator
See what you'll owe in Social Security and Medicare tax on your freelance or business income — and the half you get to deduct back.
📖 How it works & FAQHow self-employment tax works
When you work for an employer, Social Security and Medicare taxes are split between you and the company. When you're self-employed, you pay both halves yourself — that's self-employment (SE) tax. The IRS starts with your net self-employment income (revenue minus business expenses), then multiplies it by 92.35% to get your taxable earnings. On that amount you pay 12.4% for Social Security up to the annual wage base, plus 2.9% for Medicare with no cap — a combined 15.3% below the base and 2.9% above it. This calculator runs entirely in your browser, so nothing you type is ever sent anywhere.
The deductible half
There's a silver lining: you can deduct half of your SE tax as an adjustment to income on your federal return. It doesn't reduce the SE tax itself, but it lowers the income your regular income tax is figured on — roughly what an employer's matching share would have been. The calculator shows this deductible half alongside the total so you can plug it straight into your estimates.
This tool provides estimates only and is not financial, tax, or legal advice — confirm your numbers with a tax professional or the IRS.
How to use it
- Enter your net self-employment income — total earnings minus deductible business expenses.
- Check the Social Security wage base. It's pre-filled with a recent figure (about $168,600) but the IRS adjusts it yearly, so edit it for your tax year.
- Read the results instantly: total SE tax, the deductible half, and the Social Security and Medicare portions broken out.
FAQ
- Do I owe SE tax on all my income?
- Only on 92.35% of your net self-employment income. And if your net earnings after that adjustment are under $400 for the year, you generally owe no SE tax at all.
- Why is only part of the tax capped?
- The 12.4% Social Security portion stops at the annual wage base, but the 2.9% Medicare portion applies to every dollar of taxable earnings, no matter how much you make.
- Does this include income tax?
- No. SE tax is separate from federal and state income tax — budget for both when setting aside money for quarterly estimated payments.
- What about the extra Medicare surtax?
- High earners may owe an additional 0.9% Medicare tax above certain thresholds ($200,000 single, $250,000 married filing jointly). This calculator covers the standard 15.3%/2.9% formula only.