Self-Employment Tax Calculator
The 15.3% tax every 1099 driver owes on profit, explained and calculated.
| Taxable base (92.35% of profit) | |
| Social Security part (12.4%) | |
| Medicare part (2.9%) |
Results update as you type. Last updated October 2026.
What self-employment tax is
When you work a regular job, your employer pays half of your Social Security and Medicare taxes and you pay the other half through withholding. As a 1099 gig driver, you are both the worker and the employer, so you pay both halves yourself. Together that's 15.3% on your net profit: 12.4% for Social Security and 2.9% for Medicare.
How it's figured
- Start with your gig earnings and subtract your business deductions, like the mileage deduction (72.5 cents per mile in 2026).
- Multiply the profit by 92.35%. This adjustment mirrors the employer half being deductible.
- Apply 12.4% for Social Security (only up to the 2026 wage base of $184,500, combined with any W-2 wages) and 2.9% for Medicare.
- If your profit is under $400, you don't owe self-employment tax.
The deductible half
You can deduct half of your self-employment tax when figuring your income tax. It doesn't lower the self-employment tax itself, but it does lower your federal income tax.
It's not all bad news
These payments build your Social Security record, which counts toward your future retirement and disability benefits. To see your full tax bill including income tax, use the quarterly tax calculator.