Freelance Tax Set-Aside Calculator
Freelancers set aside 18% to 31% of net profit for federal tax in 2026, plus state tax where it applies. This calculator returns the exact percentage for your income, using the 15.3% self-employment tax, 2026 federal brackets, and your state rate, then splits the total into four quarterly payments.
Software, insurance, equipment, home office
0% for TX, FL, WA · ~5% mid · ~13% CA top bracket
Set aside per payment
$22,039 total on $78,000 of profit
Each quarterly payment
$5,510
Due April 15, June 15, September 15, January 15
How much should freelancers set aside for taxes?
Freelancers set aside 18% to 31% of net profit for federal tax in 2026, before state tax. The self-employment tax takes 15.3% of 92.35% of profit, covering Social Security at 12.4% and Medicare at 2.9%. Federal income tax then applies to profit minus half the self-employment tax and the $16,100 standard deduction. State income tax adds 0% in Texas, Florida, and Washington, and up to 13.3% in California.
Freelancers who transfer the set-aside percentage into a separate account on the day each invoice clears never face an April shortfall. The IRS requires quarterly estimated payments when a freelancer expects to owe $1,000 or more for the year, and the safe-harbor rule waives penalties for anyone who pays 100% of last year's liability, or 110% above $150,000 of adjusted gross income. Deductions lower the bill directly, and the freelance expenses you can write off guide lists the twelve categories that apply.
This tool provides an estimate for planning, not tax advice. Confirm your numbers with a CPA. Rates reference IRS self-employment tax guidelines.