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Self-employment tax set-aside calculator

Self-employment tax is about 15.3% of 92.35% of net profit (US). On $80,000 profit that is $11,304. Add a 22% flat federal rate ($17,600) and 4% state ($3,200) and the estimated set-aside is about $2,675 a month, 40.1% of profit. This is a conservative estimate, not tax advice.

Your numbers

Set aside each month
-
Self-employment tax-
Federal income tax (flat)-
State tax-
Effective set-aside rate-
Per quarter-
Simplified: ignores deductions, credits and the Social Security wage cap, so it tends to overestimate. Verify at IRS.gov.
Keep business money separate: see bookkeeping toolsAffiliate link: we may earn a commission at no cost to you.

How the estimate works

SE tax = profit x 0.9235 x 0.153, plus profit x federal % plus profit x state %. Divide by 12 for a monthly amount.

Because the federal rate is applied flat to all profit and deductions are ignored, the result is intentionally cautious. See the methodology.

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Frequently asked questions

How much should a freelancer set aside for taxes?

Many US freelancers start by saving 25 to 30 percent of profit. The calculator estimates self-employment tax plus a flat income tax rate you choose; your real bill depends on deductions, credits and state rules.

What is self-employment tax?

In the US, self-employed people pay both the employee and employer halves of Social Security and Medicare tax. The calculator uses 15.3 percent applied to 92.35 percent of net profit.

Is this calculator exact?

No. It is a planning estimate. It ignores the standard deduction, the Social Security wage cap, the deduction for half of self-employment tax and credits. Check IRS.gov or ask a tax professional before filing.

When are quarterly estimated taxes due?

US estimated payments are generally due in April, June, September and January. Confirm exact dates on IRS.gov.