# What is my self employment tax?

Works out 2026 self-employment tax on Schedule SE: 15.3% Social Security and Medicare on 92.35% of net profit, the wage base with W-2 wages, the Additional Medicare Tax, and the half you deduct.

- Page: https://www.acalculator.org/finance/self-employment-tax-calculator
- JSON spec: https://www.acalculator.org/finance/self-employment-tax-calculator.json
- Version: b5cfbc8552c1

## Default answer

Example with the default inputs (Net self-employment profit $50,000.00, W-2 wages $0.00, Filing status Single, Tax year 2,026): On $50,000.00 of net profit, your self-employment tax is $7,064.78, and you deduct $3,532.39.

## Inputs

| Key | Label | Description |
| --- | --- | --- |
| profit | Net self-employment profit | Net profit from your business for the year (Schedule C line 31 or Schedule F line 34). |
| wages | W-2 wages | Your own wages from a job that also paid Social Security and Medicare tax (Form W-2 boxes 3 and 5). |
| status | Filing status | Your filing status, which sets the Additional Medicare Tax threshold. |
| year | Tax year | The tax year. A year with no published wage base uses the latest year this site has. |

## Outputs

| Key | Label | Description |
| --- | --- | --- |
| tax | Self-employment tax | Social Security plus Medicare tax on self-employment earnings (Schedule SE line 12). |
| socialSecurity | Social Security part | 12.4% of net earnings up to the wage base left after your W-2 wages (line 10). |
| medicare | Medicare part | 2.9% of all net earnings (line 11). |
| netEarnings | Net earnings from self-employment | 92.35% of net profit (Schedule SE lines 4a to 6); no tax when it is below $400. |
| deduction | Deduction for half of the tax | Half of the self-employment tax, an adjustment to income on Schedule 1 (line 13). |
| additionalMedicare | Additional Medicare Tax | 0.9% of self-employment earnings above the threshold less your wages (Form 8959 Part II). |
| total | Total with Additional Medicare | Self-employment tax plus the Additional Medicare Tax on self-employment earnings. |
| rate | Share of profit | Self-employment tax as a percent of net profit. |
| ratesYear | Rates of tax year | The tax year whose wage base was used. |
| notice | Note | A note when another year’s wage base was used. |

## Method

Net earnings e = 92.35% × profit (none below $400). SE tax = 12.4% × min(e, $184,500 − W-2 wages) + 2.9% × e. Deduction = SE tax ÷ 2. Additional Medicare = 0.9% × max(0, e − max(0, threshold − W-2 wages)).

## Assumptions

- An estimate for tax year 2026 (Schedule SE, SSA wage base $184,500), not tax advice.
- Not modelled: the farm and nonfarm optional methods, church employee income, the Conservation Reserve Program exclusion, and income tax on the profit (see the income tax calculator).
- The W-2 wages are your own, and they are both Social Security and Medicare wages. On a joint return each spouse files a separate Schedule SE; enter one person at a time.
- The Additional Medicare Tax threshold is $200,000 ($250,000 jointly, $125,000 separately) and counts only the wages typed here.

## Worked examples

1. profit = $50,000.00, status = single gives netEarnings = $46,175.00, socialSecurity = $5,725.70, medicare = $1,339.08, tax = $7,064.78, deduction = $3,532.39. Source: Schedule SE (Form 1040) lines 4a to 13 with the 2026 wage base $184,500 (SSA); 0.9% over the Form 8959 threshold.
2. profit = $200,000.00, wages = $150,000.00, status = single gives socialSecurity = $4,278.00, medicare = $5,356.30, tax = $9,634.30, additionalMedicare = $1,212.30, total = $10,846.60. Source: Schedule SE lines 8a to 10 (wages use up the wage base) and Form 8959 lines 8 to 13; 0.9% over the Form 8959 threshold.
3. profit = $433.00, status = single gives tax = $0.00, netEarnings = $399.88. Source: 0.9% over the Form 8959 threshold.
4. profit = $150,000.00, status = mfs gives tax = $21,194.33, additionalMedicare = $121.73. Source: Form 8959: $125,000 threshold when married filing separately; 0.9% over the Form 8959 threshold.

## FAQ

### What is the self-employment tax rate?

15.3%: 12.4% for Social Security and 2.9% for Medicare, the employee and employer halves together. It applies to 92.35% of your net profit, so the tax is about 14.13% of profit until the Social Security wage base ($184,500 in 2026).

### Why is only 92.35% of my profit taxed?

An employee does not pay Social Security and Medicare on the employer half of those taxes. To match that, Schedule SE takes 7.65% (the employer half) off your profit first: 100% − 7.65% = 92.35%.

### Do I pay self-employment tax if I also have a W-2 job?

Yes, on your self-employment earnings. But your W-2 wages use up the Social Security wage base first. If your wages are $150,000, only $34,500 of self-employment earnings is left for the 12.4% part in 2026; Medicare's 2.9% has no cap.

### Is there a minimum?

Yes. If your net earnings (92.35% of profit) are under $400, you owe no self-employment tax. A profit of about $433 or more crosses the line.

### Can I deduct self-employment tax?

You deduct half of it as an adjustment to income (Schedule 1 line 15), which lowers your income tax, not the self-employment tax itself. The calculator shows that deduction.

### What is the Additional Medicare Tax?

An extra 0.9% on wages and self-employment earnings above $200,000 ($250,000 married filing jointly, $125,000 separately), figured on Form 8959. Your wages count toward the threshold first.

### What does this calculator leave out?

Income tax on the profit (use the income tax calculator), the optional methods for low earnings, church employee income, and state taxes. It is an estimate, not tax advice.

## Sources

- IRS, Schedule SE (Form 1040), Self-Employment Tax, and its instructions. https://www.irs.gov/pub/irs-pdf/f1040sse.pdf
- Social Security Administration, Contribution and benefit base: $184,500 for 2026. https://www.ssa.gov/oact/cola/cbb.html
- IRS, Form 8959, Additional Medicare Tax, Part II (self-employment income). https://www.irs.gov/forms-pubs/about-form-8959
- IRS, Self-employment tax (Social Security and Medicare taxes). https://www.irs.gov/businesses/small-businesses-self-employed/self-employment-tax-social-security-and-medicare-taxes