Estimate Your Freelance Taxes (2026)
Stop guessing. Get instant, accurate estimates for your self-employment taxes and know exactly what to set aside.
How Freelance Taxes are Calculated
Self-employment tax consists of the employer and employee portions of Medicare and Social Security taxes (15.3%). As a freelancer, you are responsible for both sides.
- Deductible Expenses: Lower your taxable income by writing off business costs.
- Quarterly Payments: Avoid penalties by paying estimated taxes 4 times a year.
Frequently Asked Questions
How much should I save?
We recommend setting aside 25-30% of your profit. This safe buffer accounts for federal, state, and self-employment taxes.
What is "Self-Employment Tax"?
It's a flat 15.3% tax on your net earnings that funds Social Security (12.4%) and Medicare (2.9%). Employees split this with their boss, but you pay it all.
When do I pay?
The IRS requires quarterly payments if you expect to owe more than $1,000. Due dates are roughly mid-April, June, September, and January.
Maximize Your 2026 Savings
As your income grows, consider these strategies to lower your tax burden:
- S-Corp Election: If you net over $60k, switching to an S-Corp could save you thousands in self-employment tax.
- Business Liability Insurance: Protect your assets. Many contracts now require General Liability or Professional Liability insurance.
- High-Yield Business Savings: Don't let your tax buffer sit idle. Put it in a high-yield business savings account to earn 4-5% APY.