Freelance Tax Set-Aside Calculator
How much of every client payment should you save for tax? Enter a few numbers to get a rough set-aside %, a yearly estimate, and a quarterly payment amount. US federal model, 2026 figures.
Rough estimate only. Not tax, legal, or financial advice. It simplifies a lot (see "What does this calculator leave out?" below). Check IRS Form 1040-ES or a tax professional before you pay.
1. Your numbers
2. Your set-aside
| Net profit (income − expenses) | — |
| Self-employment tax (15.3% on 92.35% of profit) | — |
| Federal income tax (rough, on profit − ½ SE tax) | — |
| State income tax (rough, on profit) | — |
| Total estimate | — |
3. Quick check: one client payment
Move — to your tax savings account. You can spend —.
How this works
Self-employed people in the US pay self-employment tax (Social Security 12.4% + Medicare 2.9% = 15.3%) on 92.35% of their net profit, with the Social Security part capped at the 2026 wage base of $184,500. Regular income tax comes on top. Half of the SE tax is deductible, so the calculator applies your federal rate to profit minus half the SE tax, and your state rate to profit. The set-aside % is the total divided by your income, rounded up.
Worked example (the default numbers, made up): $40,000 of income − $4,000 of expenses = $36,000.00 profit. Self-employment tax: $36,000.00 × 92.35% × 15.3% = $5,086.64. Federal income tax at a rough 12%: ($36,000.00 − half the SE tax) × 12% = $4,014.80. State: $0. Total ≈ $9,101.44, which is 22.8% of $40,000, rounded up to 23%. Quarterly payment ≈ $2,275.36. On a $1,200 payment, save $276.00 and you can spend $924.00.
2026 federal estimated tax due dates (from IRS Form 1040-ES): April 15, June 15, and September 15, 2026, and January 15, 2027. The IRS generally expects quarterly payments if you'll owe $1,000 or more for the year. Your state may have its own schedule.
These tax figures are for 2026 and change every year, so check irs.gov before relying on them. For the full habit (separate account, move it the day you're paid), read How much should freelancers set aside for taxes?
Frequently asked questions
How much should a freelancer set aside for taxes?
A common starting point is 25 to 30% of every payment. This calculator gives a rough personal estimate from your income, expenses, and tax rates, and rounds it up. Whatever number you use, saving it from every payment matters more than getting it exact on day one.
Why is the result a percentage of gross payments?
Because that's what you see when a client pays you. The calculator works out tax on your profit, then divides it by your total income, so you can apply one percentage to every payment as it arrives without subtracting expenses each time.
What is self-employment tax?
In the US, self-employed people pay Social Security and Medicare themselves. The calculator uses 2026 figures: 15.3% (12.4% + 2.9%) on 92.35% of net profit, starting at $400 of net earnings, with the Social Security part capped at a $184,500 wage base. These figures change; check irs.gov for the current year.
What does this calculator leave out?
It skips the standard deduction, credits, other income and withholding, other deductions, and the extra 0.9% Medicare tax for high earners. It also applies one flat federal rate to all of your profit. For most people that leans high, which is the safer direction for savings, but it isn't a tax return.
When are 2026 federal estimated tax payments due?
April 15, June 15, and September 15, 2026, and January 15, 2027 (for September to December income). Your state may have its own schedule. See IRS Form 1040-ES for details.
Does this work outside the US?
The self-employment tax part is US-only. The habit still works anywhere: pick a percentage, move it to a separate account every time you're paid, and confirm the right rate with a local tax professional.
Related free tools
- Freelance rate calculator: build your tax set-aside into your hourly rate so you aren't underpricing.
- Offline copy of this calculator: one HTML file you can keep (free, name your price).
- Freelance Rate Cheat Sheet: the floor-rate formula on one printable page.
Want each payment logged and sorted into its IRS quarter? The paid Tax Set-Aside Tracker is a spreadsheet that does that and flags money you haven't moved yet.
Not tax, legal, or financial advice. This calculator is a planning tool. Tax rules and rates vary by location and situation, and pricing depends on your market and skills. Check with a qualified professional before making tax or financial decisions.