US Self-Employment Tax Calculator (SECA)
Self-employment (SE) tax is how sole proprietors, freelancers, gig workers, and partners pay into Social Security and Medicare. The combined rate is 15.3% (12.4% Social Security + 2.9% Medicare), applied to 92.35% of your net self-employment profit, in US dollars (USD). You report it on IRS Schedule SE, and you can deduct half of it above the line on your Form 1040.
Calculate your self-employment tax
Enter your net profit (business income minus business expenses), before the SE tax deduction.
How self-employment tax works
When you work for an employer, you and the employer split Social Security and Medicare (FICA) taxes — you each pay 7.65%. When you are self-employed, you cover both halves, which is why the self-employment (SE) tax rate is 15.3%. The calculation follows IRS Schedule SE:
- Net earnings: Multiply your net self-employment profit by 92.35% (0.9235). This adjustment roughly mirrors the employer-side FICA deduction employees never pay tax on.
- Social Security portion: 12.4% on net earnings, but only up to the 2026 Social Security wage base of $176,100. Earnings above that are not subject to the Social Security portion.
- Medicare portion: 2.9% on all net earnings — there is no wage cap.
- Total SE tax: Social Security portion + Medicare portion.
- Deductible half: You can deduct one-half of your SE tax as an above-the-line adjustment to income on Form 1040, which lowers your federal income tax (but not the SE tax itself).
Worked example
Suppose Maria, a freelance designer, has $60,000 of net self-employment profit in 2026:
- Net earnings: $60,000 × 0.9235 = $55,410.00
- Social Security: 12.4% × $55,410 = $6,870.84 (below the $176,100 cap, so all of it counts)
- Medicare: 2.9% × $55,410 = $1,606.89
- Total SE tax: $6,870.84 + $1,606.89 = $8,477.73
- Deductible half: $8,477.73 ÷ 2 = $4,238.87
Maria owes about $8,478 in self-employment tax and can deduct roughly $4,239 against her income tax.
2026 reference table
| Net profit | Net earnings (×0.9235) | Social Security (12.4%) | Medicare (2.9%) | Total SE tax | Deductible half |
|---|---|---|---|---|---|
| $20,000 | $18,470.00 | $2,290.28 | $535.63 | $2,825.91 | $1,412.96 |
| $40,000 | $36,940.00 | $4,580.56 | $1,071.26 | $5,651.82 | $2,825.91 |
| $60,000 | $55,410.00 | $6,870.84 | $1,606.89 | $8,477.73 | $4,238.87 |
| $100,000 | $92,350.00 | $11,451.40 | $2,678.15 | $14,129.55 | $7,064.78 |
| $200,000 | $184,700.00 | $21,836.40* | $5,356.30 | $27,192.70 | $13,596.35 |
*Social Security portion capped at the $176,100 wage base ($176,100 × 12.4% = $21,836.40).
Frequently asked questions
What is the self-employment tax rate for 2026?
The 2026 self-employment tax rate is 15.3%, made up of 12.4% for Social Security and 2.9% for Medicare. It applies to 92.35% of your net self-employment earnings.
Do I pay self-employment tax on all my income?
No. You pay it on 92.35% of your net profit. The 12.4% Social Security portion only applies up to the 2026 wage base of $176,100, while the 2.9% Medicare portion has no cap.
Can I deduct my self-employment tax?
You can deduct one-half of your self-employment tax as an above-the-line adjustment on Form 1040. This reduces your federal income tax but does not reduce the SE tax itself.
When do I not owe self-employment tax?
If your net earnings from self-employment are less than $400 for the year, you generally do not owe self-employment tax and do not need to file Schedule SE for that income.
Is self-employment tax the same as income tax?
No. Self-employment tax covers Social Security and Medicare only. It is separate from, and in addition to, federal and state income tax, which are calculated on your taxable income.
Related Calculators
- Income Tax Calculator — estimate federal and state income tax.
- Take-Home Paycheck Calculator — see your net pay after taxes.
- Tax Bracket Calculator — find your marginal and effective tax rates.
Last reviewed: June 2026. Figures use 2026 IRS rates and the $176,100 Social Security wage base. This tool is an estimate for educational purposes and is not tax advice.