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How much to set aside for taxes in Arizona

Enter what you get paid and how often. You get the percentage to move out of every deposit in Arizona, in dollars, plus what each quarterly payment should be — with the 2.5% state rate already applied.

What you get paid

Set aside

19% of every payment

That's $286 out of each week. Move it the day the money lands.

Gross for the year
$78,000
Net profit after expenses
$66,300
Self-employment tax
$9,368
Federal income tax
$3,824
State income tax
$1,658
Total tax for the year
$14,850
Each quarterly payment
$3,712

Quarterly estimates are due around April 15, June 15, September 15 and January 15.

The right reserve percentage for Arizona

Arizona applies a flat 2.5% individual income tax on top of federal income tax and the 15.3% self-employment tax. That is why the blanket "save 30%" advice misses here: Arizona filers typically need 28-33% of net profit, not a round number borrowed from someone in another state.

Arizona uses a 2.5% flat tax, one of the lowest in any state that taxes income.

The mechanic matters more than the number. Tax trouble is a cash failure, not a math failure — money arrives, looks like income, and gets spent. Moving the reserve out the day each deposit lands is what keeps the Arizona and federal bills funded.

Frequently asked questions

How much should I set aside for taxes in Arizona?

Most self-employed people in Arizona reserve 28-33% of net profit. Arizona applies a flat 2.5% individual income tax on top of federal income tax and the 15.3% self-employment tax. Use the calculator above with your own income and expenses for an exact percentage.

Should I save a percentage of gross or net in Arizona?

Tax is owed on net profit, but the practical move is a fixed percentage of every deposit the day it lands. The calculator converts your Arizona tax bill into a percentage of gross so the transfer can be automatic.

What are the quarterly deadlines in Arizona?

Federal estimates are due around April 15, June 15, September 15 and January 15, and Arizona runs a state estimate schedule on roughly the same dates.

Are there local taxes to reserve for in Arizona?

Arizona does not add a broad local income tax on self-employment earnings, so your reserve only needs to cover state and federal.

What if I under-reserve in Arizona?

You still owe the tax, plus a federal underpayment penalty if you owed $1,000 or more without making estimates, and Arizona charges its own interest on late state estimates. The penalty accrues like interest, so it grows until paid.

Estimates only, using projected 2026 federal figures and state rates for planning. Not tax advice.

Run the same numbers for another state

State income tax is the biggest variable in the result. Pick your state for a pre-filled estimate.

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