Your SE tax on net profit, with the deductible half.
Educational estimate using 2026 figures. Not tax advice.
SE tax applies to 92.35% of net profit: 12.4% Social Security up to the wage base and 2.9% Medicare on all of it, plus 0.9% above $200k/$250k. Half is deductible against income tax.
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An employee splits Social Security and Medicare with their employer — 7.65% each. On your own, you pay both halves: 12.4% Social Security (up to the $176,100 wage base in 2026) and 2.9% Medicare with no cap, plus a 0.9% surtax on high earners. The one break: you only pay on 92.35% of net profit, and you deduct half of what you owe against income tax.
On $80,000 of net profit, about $73,880 is taxable, producing roughly $11,304 in SE tax — and a ~$5,652 deduction that softens your income-tax bill. Remember SE tax is separate from income tax; the 1099 calculator shows the full picture.
15.3% — 12.4% Social Security and 2.9% Medicare — on 92.35% of net profit.
The Social Security portion stops at the 2026 wage base ($176,100); Medicare has no cap.
Yes — half of your SE tax is deductible against income tax.
Yes — SE tax is in addition to federal income tax.
No — it's an educational estimate.