Self-Employment Tax Calculator
Enter your net profit to estimate your self-employment tax.
- Net Earnings Subject to SE Tax —
- Deductible Half (Form 1040) —
Self-Employment Tax Formula
Net Earnings = Net Profit × 92.35%
Self-Employment Tax = Net Earnings × 15.3% (12.4% Social Security + 2.9% Medicare)
What Each Input Means
Net Profit from Self-Employment is your Schedule C net profit — business income minus business expenses, before self-employment tax.
Worked Example
$50,000 net profit: Net Earnings = $50,000 × 0.9235 = $46,175. Self-Employment Tax = $46,175 × 0.153 = $7,064.78. Half of that, $3,532.39, is deductible on your Form 1040.
Frequently Asked Questions
How is self-employment tax calculated?
Net profit is first multiplied by 92.35% to get net earnings from self-employment. That figure is then taxed at 15.3% (12.4% Social Security + 2.9% Medicare) to get the self-employment tax owed.
Do I owe SE tax on a small side income?
If your net earnings from self-employment (after the 92.35% adjustment) are under $400, you generally don't owe self-employment tax.
Does this account for the Social Security wage base or the Additional Medicare Tax?
No. This calculator applies the flat 15.3% rate, which is accurate for net earnings under the annual Social Security wage base (around $170,000 and rising each year). Above that, the Social Security portion caps out and high earners may also owe an extra 0.9% Medicare tax — this calculator will overstate your SE tax in that case. Check current IRS Schedule SE for the precise figures.
Can I deduct any of this?
Yes — half of your self-employment tax is deductible as an above-the-line adjustment to income on Form 1040, shown here as the deductible half.
The calculators and information on FreeBusinessCalcs.com are provided for general informational and educational purposes only. Results are estimates and may not match your actual results. We do not provide legal, tax, accounting, financial, investment, or other professional advice. Laws, rates, and other information can change, so you should verify important information and talk with a qualified professional when needed. You are responsible for how you use the results. To the fullest extent allowed by law, FreeBusinessCalcs.com is not responsible for losses or damages resulting from your use of our calculators or information. The calculators contained on FreeBusinessCalcs.com were developed for United States residents only. Rates as of tax year 2026 (SE tax rate and the 92.35% net earnings factor are set by statute and unchanged for decades; this calculator does not apply the Social Security wage base cap or the Additional Medicare Tax for high earners — see FAQ).