Enter Your Tax Information
Your Estimated Tax Breakdown
Based on 2026 IRS brackets and current self-employment tax rates:
How the Freelance Tax Calculator Works
As a freelancer in the United States, you are responsible for paying both self-employment tax (Social Security and Medicare) and income tax (federal and state). Unlike W-2 employees, no one withholds these taxes from your paychecks — it is entirely up to you to calculate, save, and pay them.
1. Self-Employment Tax (15.3%)
The self-employment (SE) tax covers your Social Security and Medicare contributions. As a W-2 employee, your employer pays half (7.65%) and you pay half (7.65%). As a freelancer, you pay the full 15.3% yourself.
However, you only pay SE tax on 92.35% of your net profit (gross income minus business expenses). This is because the IRS allows you to deduct the "employer portion" before calculating the tax.
2. Federal Income Tax
After subtracting your business expenses and the standard deduction (or itemized deductions if you choose), your remaining taxable income is subject to federal income tax brackets. For 2026, the IRS uses a progressive system:
- 10% on income up to $11,600 (Single) / $23,200 (Married)
- 12% on income between $11,601 and $47,150 (Single)
- 22% on income between $47,151 and $100,525 (Single)
- 24% on income between $100,526 and $191,950 (Single)
- 32%, 35%, and 37% on higher brackets
3. State Income Tax
Most US states also charge income tax, ranging from 0% (Texas, Florida, Nevada, Washington) to over 13% (California). Enter your approximate state rate in the calculator above to get a more accurate estimate.
4. Quarterly Estimated Taxes
The IRS requires freelancers to pay taxes quarterly if they expect to owe more than $1,000 for the year. The deadlines are:
- Q1: April 15
- Q2: June 15
- Q3: September 15
- Q4: January 15 (of the following year)
If you are starting fresh, divide your total estimated tax by 4 to get your quarterly payment. If you have already paid Q1-Q3, enter that amount in the "Taxes Already Paid" field to see what you still owe for Q4.
Tips to Reduce Your Freelance Tax Burden
- Maximize deductions: Home office, software, equipment, internet, phone, travel, education, and health insurance premiums are all deductible.
- Consider an S-Corp election: If your net profit exceeds $80,000-$100,000, an S-Corp structure can significantly reduce your self-employment tax.
- Contribute to a retirement account: SEP-IRA, Solo 401(k), and SIMPLE IRA contributions reduce your taxable income.
- Pay yourself a salary: If you have an LLC taxed as an S-Corp, paying yourself a "reasonable salary" can optimize your tax situation.
- Track everything: Use accounting software like QuickBooks or Wave to automatically categorize expenses and generate tax-ready reports.