1099 Tax Calculator

Freelance and 1099 income gets taxed twice on the federal level: self-employment tax (15.3%) AND income tax. This calculator estimates both from your net self-employment income, applies the standard deduction and the half-of-SE-tax deduction, and shows your all-in effective rate. Single-filer federal estimate — state tax is not included.

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How 1099 income is taxed (2026 estimate)

SE tax = 92.35% × net income × 15.3%; Income tax = brackets × (income − ½ SE tax − standard deduction)

Self-employment tax: only 92.35% of net self-employment income is subject to it (the equivalent of the employer half is excluded). The 15.3% splits into 12.4% Social Security (up to the wage base) and 2.9% Medicare (no cap).

Income tax: taxable income = net SE income + W-2 wages − standard deduction − half of SE tax. This estimate uses single-filer 2025–2026 brackets; married filers will owe less in most cases.

Quarterly estimated payments: if you expect to owe more than $1,000 for the year, the IRS requires quarterly payments (April / June / September / January) — divide the total by 4 as a starting point.

Frequently asked questions

How much should I set aside for taxes on 1099 income?

A common rule is 25–30% of net income for federal (SE + income) at moderate incomes. This calculator gives you a sharper number for your situation.

Can I reduce this with business expenses?

Yes — every legitimate business expense reduces net income before both taxes. Deductions like the home office and mileage (see our mileage calculator) come out first.

Does this include state tax?

No — this is a federal estimate. High-tax states (CA, NY) can add another 5–11%; no-income-tax states (TX, FL, WA and others) add zero.

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Sources & notes

Last updated: 2026-09-08