How Much to Save for Freelance Taxes (US)
A simple rule is to set aside 25 to 30 percent of profit, then refine with an estimate and a tax professional.
Why freelancers owe more
Self-employed people in the US pay both halves of Social Security and Medicare, about 15.3 percent on 92.35 percent of net profit, plus income tax.
A practical method
Move a fixed share of every payment into a separate savings account the day you are paid. Use the tax set-aside calculator for a monthly figure.
What the estimate misses
Deductions, credits, the Social Security wage cap and state rules change the real amount. Confirm on IRS.gov or with a CPA, and check the dates for quarterly estimated payments.