Self-Employment Tax Calculator

Calculate your self-employment tax for 2026. See how much you owe for Social Security and Medicare, your deductible half for AGI, quarterly estimated payment amounts, and how SE tax compares to W-2 FICA.

Self-Employment Income

$
Schedule C net profit
$
Reduces SS wage room for SE tax

Self-Employment Tax Breakdown

Total SE Tax
$12,010
Deductible Half
$6,005
Reduces your AGI
Effective SE Rate
14.1%
Marginal Rate (All-In)
29.6%
Income + SE + state
ComponentBaseRateTax
Net SE income × 92.35%$85,00092.35%$78,498
Social Security (both halves)$78,49812.4%$9,734
Medicare (both halves)$78,4982.9%$2,276
Total Self-Employment Tax$12,010

SE Tax vs. W-2 FICA Comparison

If this income were W-2 wages instead, here's how the payroll taxes compare:

ComponentSelf-EmployedW-2 EmployeeDifference
Social Security + Medicare$12,010$6,503$5,508
Deductible half (AGI reduction)$6,005N/A
Federal Income Tax$8,549$9,870-$1,321
Total Federal Tax$20,559$16,373$4,187

Self-employed individuals pay both the employee and employer portions of FICA, but the deductible half partially offsets this through lower income tax.

Quarterly Estimated Payments

Total Annual Tax
$20,559
Federal
Quarterly Payment
$5,140
Each quarter via 1040-ES
Monthly Set-Aside
$1,713
QuarterDue DatePayment
Q1 (Jan–Mar)April 15, 2026$5,140
Q2 (Apr–May)June 16, 2026$5,140
Q3 (Jun–Aug)September 15, 2026$5,140
Q4 (Sep–Dec)January 15, 2027$5,140

Complete Tax Summary

Gross Income$85,000
Deductible Half of SE Tax-$6,005
Adjusted Gross Income$78,995
Deduction(standard)-$16,100
Taxable Income$62,895
Federal Income Tax$8,549
Self-Employment Tax$12,010
Total Credits-$0
Net Federal Tax$20,559

How Self-Employment Tax Works

Self-employment taxis the self-employed person's equivalent of FICA payroll taxes. When you work for an employer, you each pay half of Social Security (6.2%) and Medicare (1.45%). When self-employed, you pay both halves — a combined rate of 15.3%.

The 92.35% rule:Only 92.35% of your net self-employment income is subject to SE tax. This mirrors the fact that employers pay their half on your full wages — the 7.65% “employer half” effectively reduces your taxable SE earnings.

  • Social Security: 12.4% on SE earnings up to the wage base ($176,100 in 2026), minus any W-2 wages
  • Medicare: 2.9% on all SE earnings (no cap)
  • Additional Medicare: 0.9% on combined wages + SE earnings over $200,000 (single) or $250,000 (MFJ)

Deductible half: You can deduct half of your SE tax (excluding the 0.9% Additional Medicare Tax) as an above-the-line deduction on Schedule 1. This reduces your AGI before computing income tax.

Quarterly estimated payments: Self-employed individuals must make quarterly estimated tax payments (Form 1040-ES) by April 15, June 15, September 15, and January 15 of the following year. The safe harbor rule requires paying at least 100% of prior-year tax (110% if AGI exceeds $150,000) to avoid underpayment penalties.