Quarterly Tax Set-Aside Calculator (US Freelancers)
Estimate how much of each payment to set aside for self-employment tax, federal and state income tax as a US freelancer or gig worker.
US only. Estimates self-employment tax plus income tax. Not a substitute for a tax professional.
Total payments from clients before any expenses.
Deductible costs such as software, supplies and business travel.
Your estimated effective rate on this income. 10 to 22 is typical for many freelancers.
Enter 0 if your state has no income tax.
How it works
Net profit = income − expenses. Self-employment tax = 15.3% × 92.35% × net profit. We then subtract half of that tax, apply the income tax rates you entered to the remainder, and add everything together. The result is shown as a dollar amount and as a share of your gross income, so you can move that percentage into a tax account every time you are paid.
Frequently asked questions
What is self-employment tax?
In the US, self-employed people pay both the employee and employer share of Social Security and Medicare taxes, a combined 15.3% on 92.35% of net earnings. Half of it is deductible when computing income tax.
Why not just use one percentage for everything?
Because expenses vary. A fixed rule like 25 to 30% of every payment is a fine starting point, but this calculator shows what the real number looks like for your quarter.
What are the quarterly due dates?
US estimated tax payments are generally due in April, June, September and January. Check the IRS website for the exact dates each year.
Where does this calculator fall short?
It ignores the Social Security wage cap, the standard deduction, credits, the qualified business income deduction and other situations. For high earners or complicated returns, get professional help.