What taxes will I owe on 1099 income for 2026 or 2027 planning?
Use this 1099 tax calculator to estimate federal income tax and self-employment tax on contractor, freelance, or gig income. It helps turn gross 1099 income and deductions into an estimated tax set-aside or quarterly payment target.
1099 tax calculator
Quick answer
1099 income is usually taxed through both income tax and self-employment tax after business deductions. This calculator estimates tax from net profit and helps decide how much to set aside.
Also answers
- freelance tax calculator
- contractor tax calculator
- gig worker tax calculator
- self-employed income tax calculator
Good fit when
- Estimating tax on freelance or contractor income
- Planning quarterly payments
- Turning gross 1099 pay into after-tax income
Have ready
- 1099 income and business deductions
- Filing status and other income
- Withholding or estimated payments already made
Result you get
Estimated income tax, self-employment tax, total tax, and set-aside target.
How this calculation works
- Starts with net profit after business expenses.
- Calculates self-employment tax using SE earnings rules.
- Estimates federal income tax using standard deduction and IRS brackets.
- Combines totals to estimate overall federal tax.
Common mistakes and caveats
- Credits, phaseouts, and AMT are not fully modeled.
- Accurate net profit and deductions are critical for reliable results.
- State income taxes are not included.
FAQ
Does this include state taxes?
No. This is a federal estimate only. Add state taxes separately.
Last updated & sources
Last updated June 21, 2026.
How 1099 tax estimates work
A 1099 tax estimate should start with net profit, not gross deposits. Net profit is gross business income minus ordinary and necessary business expenses. That amount is the base for Schedule C and the starting point for Schedule SE.
Self-employment tax is separate from income tax. IRS guidance generally treats 92.35% of net self-employment profit as net earnings for self-employment tax. The tax rate combines Social Security and Medicare taxes. For 2026, the Social Security wage base is $184,500, while Medicare tax has no wage base cap.
The calculator then subtracts the deductible portion of self-employment tax before estimating regular federal income tax. Finally, it compares the combined tax with estimated payments already made. If the balance is positive, you may need to set aside more cash or increase quarterly estimated payments.
Worked 1099 examples
Freelancer with $80,000 net profit
A single freelancer enters $80,000 of net profit and $0 of other income. The tool estimates self-employment tax on net earnings, deducts the allowable half of that tax before income tax, applies the standard deduction, then estimates federal income tax using the selected year brackets.
W-2 employee with side income
A taxpayer with wages and $20,000 of side-business net profit enters wages as other income and the side profit as net profit. The estimate includes self-employment tax on the side profit and regular income tax on the combined taxable income.
TaxGuide Pro provides free state and federal tax calculators for individuals, freelancers, and small businesses.