1099 Tax Calculator
Estimate taxes for independent contractor and freelance income.
Selected state
California
State
California
Estimated total annual tax
$20,236.56
Federal + state + self-employment tax
Quarterly estimate
$5,059.14
Monthly set-aside
$1,686.38
Effective tax rate
27.0%
Percent of net business income
Tax breakdownOpen details+
| Gross self-employed income | $90,000.00 |
| Business expenses | -$15,000.00 |
| Net business income | $75,000.00 |
| SE Social Security portion | $8,588.55 |
| SE Medicare portion | $2,008.61 |
| Self-employment tax | $10,597.16 |
| Federal income tax | $6,504.31 |
| State income tax | $3,135.08 |
| Total estimated annual tax | $20,236.56 |
How to use this estimateOpen details+
- Enter projected yearly income and deductible business expenses.
- Review annual and quarterly tax estimates for planning.
- Set aside the monthly amount so quarterly deadlines are easier to manage.
A 1099 reports revenue; your tax estimate starts with profit
Form 1099-NEC or 1099-K can help document business receipts, but the amount on the form is not automatically the amount taxed as profit. Ordinary and necessary business expenses reduce Schedule C profit, which then affects self-employment tax and income tax. Personal spending is not a business deduction.
This calculator makes the sequence visible: gross contractor revenue minus entered expenses becomes estimated net profit, then self-employment, federal, and state taxes are modeled separately. Keep records that support each expense rather than choosing an expense number only to reach a desired tax result.
Worked example
$70,000 revenue and $12,000 business expenses
- Estimated Schedule C profit: $70,000 − $12,000 = $58,000.
- Approximate earnings subject to self-employment tax: $58,000 × 92.35% = $53,563.
- Self-employment tax before thresholds: about $8,195.
Federal and state income tax are additional; the total reserve should not be based on the 1099 amount alone.
Before you rely on the result
- Reconcile every 1099 with your books so revenue is not counted twice.
- Classify and document deductible business expenses.
- Include W-2 wages when Social Security wage-base rules may interact.
- Recalculate quarterly as actual revenue and expenses replace projections.
IRS Schedule C instructionsOfficial instructions for reporting sole-proprietor profit and deductible business expenses.