Self-Employed Tax Calculator
Estimate your US self-employment tax for 2025: 15.3% on 92.35% of net profit (12.4% Social Security up to $176,100 plus 2.9% Medicare), with the deductible half shown.
Updated 2026-06-14 · Free · No sign-up · Runs privately in your browser
Show the formula & steps
2025 Social Security wage base: $176,100. This estimates federal self-employment (FICA) tax only — not federal/state income tax.
How the Self-Employed Tax Calculator Works
If you are a freelancer, contractor, or sole proprietor in the US, you pay self-employment (SE) tax to cover Social Security and Medicare — the equivalent of the FICA taxes an employer and employee normally split. This calculator estimates your 2025 SE tax from your net self-employment profit, with an optional field for W-2 wages already taxed for Social Security. It returns the total SE tax, the Social Security and Medicare portions, and the deductible half.
The Formula
SE tax is built on three steps:
1. Taxable SE base = net profit × 0.9235 2. Social Security = 12.4% × min(SE base, wage base − W-2 SS wages) 3. Medicare = 2.9% × full SE base
The combined rate is 15.3% when income is below the Social Security wage base, which is $176,100 for 2025. Above that base, only the 2.9% Medicare portion continues. Net earnings below $400 are exempt.
Worked Example
A freelancer with $80,000 net profit and no W-2 wages:
- Taxable SE base = 80,000 × 0.9235 = $73,880
- Social Security = 73,880 × 12.4% = $9,161.12 (under the $176,100 cap, so all of it is taxed)
- Medicare = 73,880 × 2.9% = $2,142.52
- Total SE tax = 9,161.12 + 2,142.52 = $11,303.64
- Deductible half = $5,651.82
- Effective rate on profit = 11,303.64 ÷ 80,000 = ≈ 14.13%
SE Tax at a Glance (2025)
| Item | Value |
|---|---|
| Adjustment factor | 92.35% of net profit |
| Social Security rate | 12.4% (up to $176,100 base) |
| Medicare rate | 2.9% (no cap) |
| Combined rate (below base) | 15.3% |
| Minimum to owe SE tax | $400 net earnings |
| Income-tax deductible portion | 50% of SE tax |
What This Estimate Does and Does Not Include
This calculator covers federal self-employment (FICA) tax only. It does not include:
- Federal or state income tax on your profit.
- The 0.9% Additional Medicare Tax on earnings over $200,000 (single) / $250,000 (married filing jointly), which is reported separately on Form 8959.
- The Qualified Business Income (QBI) deduction, which affects income tax but not SE tax.
Use it to size your quarterly estimated payments, then confirm the exact figures on Schedule SE or with a tax professional.
Frequently asked questions
How much is self-employment tax?+
The self-employment tax rate is 15.3% — 12.4% for Social Security plus 2.9% for Medicare. It applies to 92.35% of your net self-employment profit. The Social Security portion only applies up to the annual wage base, which is $176,100 for 2025.
Why is SE tax based on 92.35% of profit?+
You only pay SE tax on 92.35% of net earnings because that factor (1 minus the 7.65% employer-equivalent share) approximates the deduction an employee's wages would receive. It keeps the self-employed roughly even with employees who split FICA with an employer.
Is half of the self-employment tax deductible?+
Yes. You can deduct one-half of your self-employment tax as an above-the-line adjustment to income on your federal return. This lowers your income tax, though it does not reduce the SE tax itself. The calculator shows this deductible half.
Do I owe SE tax if I have a W-2 job too?+
Possibly less. Social Security tax has a single annual wage base shared across all earnings. Wages already taxed for Social Security at your W-2 job reduce the amount of self-employment income subject to the 12.4% portion. Medicare's 2.9% still applies to all SE earnings.
Is there a minimum before SE tax applies?+
Yes. If your net earnings from self-employment are less than $400, you do not owe self-employment tax. At or above $400 of net earnings (after the 92.35% adjustment), the full SE tax calculation applies.