Rate & Tax Calculator
Estimate contractor rates and understand tax implications.
Calculator
Enter your hourly rate and hours to see estimated calculations
Note: This is an estimate. Actual taxes depend on many factors including deductions, other income, and tax bracket. Self-employment tax rate is approximate for 2024. Consult with a tax professional for accurate calculations.
Understanding Self-Employment Tax
Independent contractors are responsible for paying self-employment tax, which covers Social Security and Medicare.
- Self-employment tax rate is approximately 15.3% (for 2024)
- This is in addition to regular income tax
- You may be able to deduct business expenses to reduce taxable income
- Quarterly estimated tax payments may be required