Enter your income
to see your tax estimate
What is self-employment tax?
When you work for yourself, you pay both the employee and employer portions of payroll taxes. In the US, that is called the Self-Employment (SE) Tax—15.3% of 92.35% of your net earnings—on top of your regular federal and state income tax. In the UK, self-employed individuals pay Class 4 National Insurance and Income Tax. In Canada, self-employed workers pay both the employee and employer sides of CPP contributions plus federal and provincial income tax.
The result is that the headline tax rate on self-employment income is significantly higher than on W-2 or PAYE income at the same gross number. This calculator works through the full stack so you know exactly where your money goes.
How to use this calculator
Select your market. Choose US, UK, or CA at the top. The calculator switches formulas, currency, and payment schedules automatically.
Enter your income. Use the Annual or Monthly toggle depending on how you think about your rate. The calculator annualizes monthly input before computing tax.
Add business expenses. Software subscriptions, equipment, home office costs, and professional fees reduce your taxable net earnings before any tax is applied. For example, a US freelancer earning $90,000 gross with $8,000 in deductible expenses pays SE Tax on $82,000—not $90,000—saving roughly $1,200 in SE Tax alone.
Check the Tax Buffer. The monthly savings amount shown in the blue card is the single most practical number on this page. Transfer it to a separate account every time a client pays you. When quarterly deadlines arrive, the money is already there.
Open Quarterly Planning. The second tab breaks your annual tax liability into the exact payment schedule for your market—with dates and amounts—plus an option to add each deadline to Google Calendar or iCal and mark payments as done.
If you are deciding between hiring employees and working with contractors, use our Employee Cost Calculator alongside this tool.