1099 tax calculator
Enter what you earned and what you spent. You get the number that actually matters: how much to set aside, and what each quarterly payment should be. 2026 federal rules, self-employment tax, and the QBI deduction included.
Your numbers
What you'll owe
Estimated total tax
$11,740
≈ 19.6% of profit · set aside 20% of every deposit
Each quarterly payment
$2,935
Due ~Apr 15, Jun 15, Sep 15, Jan 15
- Net business profit
- $60,000
- Self-employment tax (15.3%)
- $8,478
- QBI deduction
- − $11,152
- Taxable income
- $29,209
- Federal income tax
- $3,262
Hate Ledger reserves this percentage from every deposit as it lands, so the quarterly bill is already funded.
Calculate 1099 taxes by state
State income tax is the biggest variable in your reserve percentage. Pick your state for a pre-filled estimate, local tax notes and the reserve rate that fits where you file.
How 1099 taxes actually work
As a 1099 contractor you are both employer and employee, so you pay the full 15.3% Social Security and Medicare bill instead of splitting it. That applies to 92.35% of your net profit — income minus deductible expenses — not to the gross amount on the form.
On top of that, federal income tax applies to your profit after deducting half of the self-employment tax, the standard deduction, and up to 20% qualified business income. That last one is why aggressive expense tracking matters twice: each deductible dollar knocks out both SE tax and income tax.
The practical failure mode isn't the math — it's cash. The money arrives, it gets spent, and April is a crisis. The fix is mechanical: move the reserve percentage out the day each deposit lands.
Frequently asked questions
How much tax do I pay on 1099 income?
Most 1099 workers pay 15.3% self-employment tax on 92.35% of net profit, plus federal income tax on profit minus half of the SE tax, the standard deduction and any qualified business income deduction. A common rule of thumb is to reserve 25-30% of net profit.
What can I deduct as a 1099 contractor?
Ordinary and necessary business expenses: mileage or actual vehicle costs, tools and supplies, phone and internet used for work, insurance, home office, software subscriptions, professional fees and health insurance premiums.
Do I have to pay quarterly estimated taxes?
Generally yes, if you expect to owe $1,000 or more for the year. Estimated payments are due around April 15, June 15, September 15 and January 15 of the following year.
Is this 1099 tax calculator accurate?
It is an estimate using 2026 federal brackets, the standard deduction and simplified QBI rules. It does not model state tax, credits or unusual filing situations. Use it for planning and confirm with a tax professional.
Estimates only, using projected 2026 federal figures. Not tax advice.