Self-employment tax calculator for your net business income

Self-employment tax surprises a lot of new business owners. On top of regular income tax, you owe roughly 15.3 percent for Social Security and Medicare on your net self-employment income, the share an employer would otherwise split with you. If you have never had to budget for it, the number can be jarring, and underestimating it can lead to a penalty.

TaxFile gives you a self-employment tax calculator that takes your net business income and figures the Social Security and Medicare portion, including the deduction for the employer-equivalent half. It shows the result in plain terms so you can plan ahead. When you file, the same figures roll into a complete return with your Schedule C and deductions, e-filed through an authorized IRS e-file provider after you review and approve. Estimates are for planning and not tax advice. For complex situations, consult a CPA or tax professional.