Self-employment tax calculator 2025 and 2026

Work out Social Security and Medicare tax on self-employment income: 92.35% of profit, 15.3% up to the wage base, 2.9% above it, and the half-SE-tax deduction.

Figures last checked 21 Oct 2026

Estimates only, not tax advice. Results are for general information. Your actual tax depends on your full return; check with the IRS or a qualified tax professional.

Schedule C line 31 (and partnership self-employment earnings). Use a minus sign for a loss.
Form W-2 boxes 3 + 7. These use up part of the Social Security wage base.
Form W-2 box 5. Leave blank to use the same figure as above.
Enter your numbers to see the estimate.

How self-employment tax works

When you work for yourself there is no employer paying half of your Social Security and Medicare, so you pay both halves as self-employment (SE) tax: 15.3% = 12.4% Social Security + 2.9% Medicare. It is figured on Schedule SE:

  1. Net earnings = net profit × 92.35%. If that is under $400, you owe no SE tax.
  2. Social Security part: 12.4% of net earnings, but only up to the wage base ($184,500 for 2026, $176,100 for 2025) minus any Social Security wages and tips you already had from a job.
  3. Medicare part: 2.9% of all net earnings (no limit).
  4. Deduction: you deduct half of the SE tax when working out your adjusted gross income. It lowers your income tax, not the SE tax itself.

Additional Medicare tax of 0.9% also applies to self-employment income above $200,000 ($250,000 joint, $125,000 separate), with the threshold reduced by any Medicare wages you had. It is figured on Form 8959, separately from SE tax.

Worked example: $50,000 net profit, 2026

Net profit$50,000.00
× 92.35% = net earnings$46,175.00
Social Security: 12.4% × $46,175$5,725.70
Medicare: 2.9% × $46,175$1,339.08
Self-employment tax$7,064.78
Deduction for half (lowers AGI)$3,532.39

Worked example: a job and a side business

In 2026 you have $150,000 of W-2 Social Security wages and $60,000 of side-business profit. Net earnings are $55,410. Only $184,500 − $150,000 = $34,500 of room is left under the wage base, so the Social Security part is 12.4% × $34,500 = $4,278. The Medicare part is 2.9% × $55,410 = $1,606.89. SE tax = $5,884.89.

Frequently asked questions

Why 92.35%?

It mirrors the employer-equivalent half of the tax: 100% − 7.65% = 92.35%. Schedule SE applies it on line 4a.

Do I pay SE tax if I'm already getting Social Security?

Yes. The IRS says SE tax rules apply no matter how old you are and even if you already receive Social Security or Medicare.

Is SE tax the same as income tax?

No. SE tax is Social Security and Medicare only. Income tax on your profit is separate; use our federal income tax calculator and enter half of your SE tax as an adjustment.

What about a loss?

A net loss means no SE tax for that business. If you have more than one business, Schedule SE combines them.

Is my data stored?

No. Everything is calculated in your browser.

Official sources

Every figure on this page was checked against these official pages on 21 Oct 2026.