1099 Tax Calculator (Self-Employed)

If you are paid on a 1099, nobody withholds tax for you. You owe 15.3% self-employment tax on 92.35% of your profit, plus federal and state income tax. On $60,000 of profit, a single filer owes about $12,037 in federal tax for 2026 (20.1%), or $3,009 per quarterly payment.

1099 taxes at common profit levels (2026, single)

No state income tax, no other income, standard deduction. Above $201,750 of taxable income the QBI deduction phases out for businesses without W-2 employees, down to the $400 minimum.

How 1099 income is taxed

1. Net profit = 1099 income minus business expenses (Schedule C).
2. Self-employment tax = 15.3% of 92.35% of net profit: 12.4% for Social Security up to $184,500 and 2.9% for Medicare with no limit. Above $200,000 ($250,000 married filing jointly) another 0.9% of Medicare applies.
3. Income tax is figured on profit minus half of your self-employment tax, minus the standard deduction ($16,100 single in 2026), minus the QBI deduction (generally 20% of business income, at least $400 if you have $1,000 or more).

1099 contractor vs. W-2 employee

An employee earning $60,000 pays about $9,610 in federal income tax, Social Security and Medicare; the employer pays the other half of FICA. A contractor with $60,000 of profit pays both halves through self-employment tax, so the federal bill is about $12,037, $2,427 more, even after the QBI deduction. When comparing a 1099 offer with a salaried job, the 1099 rate should cover that difference plus benefits.

Quarterly estimated tax deadlines for 2026 income

To avoid an underpayment penalty, pay at least 90% of this year’s tax or 100% of last year’s (110% if your adjusted gross income was over $150,000) through quarterly payments. Pay at irs.gov/payments with Form 1040-ES.

Updated November 2026. Sources: IRS Topic 554, Self-Employment Tax, Rev. Proc. 2025-32 (2026 brackets and QBI thresholds), Form 1040-ES (2026). Methodology.