{"id":3063,"date":"2023-12-31T02:20:00","date_gmt":"2023-12-31T02:20:00","guid":{"rendered":"https:\/\/www.irstaxapp.com\/?p=3063"},"modified":"2023-12-31T12:18:42","modified_gmt":"2023-12-31T12:18:42","slug":"2020-self-employment-tax-calculator","status":"publish","type":"post","link":"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/","title":{"rendered":"Self-Employment Tax Calculator for 2024 &#038; 2023"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><picture><source srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-1024x576.webp 1024w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-300x169.webp 300w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-768x432.png 768w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-150x84.webp 150w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-750x422.webp 750w,https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-1140x641.webp 1140w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator.png 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" type=\"image\/webp\"><img src=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-1024x576.png\" height=\"576\" width=\"1024\" srcset=\"https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-1024x576.png 1024w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-300x169.png 300w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-768x432.png 768w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-150x84.png 150w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-750x422.png 750w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator-1140x641.png 1140w, https:\/\/www.irstaxapp.com\/wp-content\/uploads\/2023\/12\/2024-self-employment-tax-calculator.png 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" class=\"wp-image-7476 sp-no-webp\" alt=\"self-employment tax calculator\" decoding=\"async\" loading=\"lazy\"  > <\/picture><\/figure>\n\n\n\n<p><strong>The self-employed tax calculator<\/strong>  a quick tool based on <a href=\"https:\/\/irc.bloombergtax.com\/public\/uscode\/doc\/irc\/section_1401\" target=\"_blank\" rel=\"noopener\">Internal Revenue Code, \u00a7 1401<\/a> to help a freelancer or self-employed taxpayer to compute three kinds of taxes &#8211; the Social Security tax, Medicare tax and additional Medicare tax that must be deducted and deposited to IRS . Self-employment tax calculator makes it easy for anyone to quickly get an estimated tax view for deposit of self-employment tax . <\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_62 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6629611d6134b\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6629611d6134b\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#Self-employment_tax_calculator\" title=\"Self-employment tax calculator\">Self-employment tax calculator<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#Who_needs_to_pay_self-employment_tax\" title=\"Who needs to pay self-employment tax ?\">Who needs to pay self-employment tax ?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#Who_are_self-employed_individuals\" title=\"Who are self-employed individuals &nbsp;?\">Who are self-employed individuals &nbsp;?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#Are_Individuals_who_are_not_US_citizen_pay_self_emplyment_tax\" title=\"Are Individuals who are not US citizen pay self emplyment tax ?\">Are Individuals who are not US citizen pay self emplyment tax ?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#What_is_self-employment_income_for_the_purpose_of_self-employment_tax\" title=\"What is self-employment income for the purpose of self-employment tax?\">What is self-employment income for the purpose of self-employment tax?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#What_is_self_employment_tax_rate_for_2024_2023\" title=\"What is self employment tax rate for 2024 &amp; 2023?\">What is self employment tax rate for 2024 &amp; 2023?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#What_is_threshold_for_paying_additional_medicare_tax\" title=\"What is threshold for paying additional medicare tax?\">What is threshold for paying additional medicare tax?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#What_if_someone_is_already_charged_FICA_tax\" title=\"What if someone is already charged FICA tax ?\">What if someone is already charged FICA tax ?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.irstaxapp.com\/2020-self-employment-tax-calculator\/#How_to_report_pay_self_employment_tax\" title=\"How to report &amp; pay self employment tax?\">How to report &amp; pay self employment tax?<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Self-employment_tax_calculator\"><\/span>Self-employment tax calculator<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>This calculator is not for a person earning who is a.minister, member of a religious order, or Christian Science practitione.<\/strong><\/p>\n\n\n\n<div class=\"\u201dresponsive-embed-container\" embed-responsive-16by9\u2033=\"\"> <iframe loading=\"lazy\" src=\"https:\/\/gsheetpress.com\/calculator?id=1666501163433\" name=\"calculator\" frameborder=\"no\" width=\"100%\" height=\"900px\" align=\"center\"><\/iframe><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_needs_to_pay_self-employment_tax\"><\/span>Who needs to pay self-employment tax ?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The law regaring payment of self-employment tax is provided by Internal Revenue Code, \u00a7 1401 that provides in its first clause (a ) as under :<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\">\n<p><strong>(a)Old-age, survivors, and disability insurance<\/strong><\/p>\n\n\n\n<p>In addition to other taxes, there shall be imposed for each taxable year, on the&nbsp;self-employment income&nbsp;of every individual, a tax equal to 12.4 percent of the amount of the&nbsp;self-employment income&nbsp;for such taxable year.<\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_are_self-employed_individuals\"><\/span>Who are self-employed individuals &nbsp;?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>An individual who falls in any of the following three types , must pay self-employment tax  if income is more than<strong> $400 or more<\/strong>  he\/she earn  <strong>$108.28 <\/strong>or more in income from church employment. <\/p>\n\n\n\n<ol>\n<li>carrying on a trade or business as a&nbsp;<a href=\"https:\/\/www.irs.gov\/businesses\/small-businesses-self-employed\/sole-proprietorships\" target=\"_blank\" rel=\"noreferrer noopener\">sole proprietor<\/a>&nbsp;or an&nbsp;<a href=\"https:\/\/www.irs.gov\/businesses\/small-businesses-self-employed\/independent-contractor-defined\" target=\"_blank\" rel=\"noreferrer noopener\">independent contractor<\/a><\/li>\n\n\n\n<li>Being a member of a&nbsp;partnership&nbsp;that carries on a&nbsp;trade or business<\/li>\n\n\n\n<li>Being otherwise in business for yourself (including a part-time business)&nbsp;<\/li>\n<\/ol>\n\n\n\n<p>These taxes must be paid by every individual who is carrying on business or profession or on his salary or wages if income is more than<strong> $400 or more<\/strong> . You also need to pay self-employment tax if you  he\/she earn  $108.28 or more in income from church employment. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Are_Individuals_who_are_not_US_citizen_pay_self_emplyment_tax\"><\/span>Are Individuals who are not US citizen pay self emplyment tax ?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p> The law of self-emplyment tax does not apply on a peron who is not a US citizen or is a non-resident align.I<a href=\"https:\/\/www.irs.gov\/individuals\/international-taxpayers\/self-employment-tax#:~:text=Self%2Demployment%20income%20is%20income,the%20payer%20and%20the%20payee.\" target=\"_blank\" rel=\"noopener\">RS has clarified<\/a> &#8220;The Internal Revenue Code does not impose self-employment tax on the self-employment income of an individual who is neither a U.S. citizen nor a U.S. resident within the meaning of IRC section 7701(b)(1)(A), unless the self-employment tax liability is imposed under the terms of a\u00a0<a href=\"https:\/\/www.irs.gov\/individuals\/international-taxpayers\/totalization-agreements\" target=\"_blank\" rel=\"noopener\">Totalization Agreement<\/a>.\u00a0&#8220;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_self-employment_income_for_the_purpose_of_self-employment_tax\"><\/span>What is self-employment income for the purpose of self-employment tax?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Self-employment income is income that arises from the performance of personal services, but which cannot be classified as wages because an employer-employee relationship does not exist between the payer and the payee. The self emplyment tax is imposed only if the earner of self-emplyment income is a U.S. citizen or a&nbsp;<a href=\"https:\/\/www.irs.gov\/individuals\/international-taxpayers\/determining-an-individuals-tax-residency-status\" target=\"_blank\" rel=\"noopener\">U.S. resident<\/a>&nbsp;as defined in section 7701(b)(1)(A) .<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-text-align-left\"><span class=\"ez-toc-section\" id=\"What_is_self_employment_tax_rate_for_2024_2023\"><\/span><strong>What is self employment tax rate for 2024 &amp; 2023?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The total self-employment tax rate is <strong>15.3%<\/strong> comprising 12.4% for Social Security and 2.9% for Medicare for both 2022 and 2023.&nbsp;But note that social security tax is applied on a maximum maxed  $160,200 for the tax year 2022 (This was $147,000 for 2022). No such limits apply to the computation of Medicare tax.<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-2\">\n<div class=\"wp-block-column is-layout-flow\" style=\"flex-basis:100%\">\n<figure class=\"wp-block-table\"><table class=\"has-black-color has-text-color has-background\" style=\"background-color:#c7e6fa\"><tbody><tr><td><strong>Particulars<\/strong><\/td><td><strong>Who needs to pay<\/strong><\/td><td><strong>2024 tax rate<\/strong><\/td><td><strong>2023<\/strong> tax rate<\/td><\/tr><tr><td>Social Security Deposit<\/td><td>Employer and Employee (Both)<\/td><td>6.2%<\/td><td>6.2%<\/td><\/tr><tr><td>Medicare Tax<\/td><td>Employer and Employee (Both)<\/td><td>1.45%<\/td><td>1.45%<\/td><\/tr><tr><td>Additional Medicare Tax<\/td><td>Only employee<\/td><td>.0.9%<\/td><td>0.9%<\/td><\/tr><\/tbody><\/table><\/figure>\n<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_threshold_for_paying_additional_medicare_tax\"><\/span>What is threshold for paying additional medicare tax?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Additional Medicare Tax @ 0,9% is imposed on an Individual only if the individual\u2019s wages, compensation, or self-employment income (together with that of his or her spouse if filing a joint return) exceed the threshold amount for the individual\u2019s filing status. The threshold is based on the filing status of the indiviual status .The threshold for additional medicare for both the year 2022 and 2023 are.<\/p>\n\n\n\n<ul>\n<li><strong>Married filing jointly: $250,000<\/strong><\/li>\n\n\n\n<li><strong>Married filing separately: $125,000<\/strong><\/li>\n\n\n\n<li><strong>All other filing statuses: $200,000<\/strong><\/li>\n<\/ul>\n\n\n\n<p class=\"has-background has-medium-font-size\" style=\"background-color:#fdd567\"><strong>Additional medicare tax is not contributed by an employer.<\/strong>Only paid as an employee!<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_if_someone_is_already_charged_FICA_tax\"><\/span>What if someone is already charged FICA tax ?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Section 1401 of IRC provides that additional medicare tax amount  shall be reduced (but not below zero) by the amount of&nbsp;<a href=\"https:\/\/www.law.cornell.edu\/definitions\/uscode.php?width=840&amp;height=800&amp;iframe=true&amp;def_id=26-USC-112890955-1447327299&amp;term_occur=999&amp;term_src=\" target=\"_blank\" rel=\"noopener\">wages<\/a>&nbsp;taken into account in determining the tax imposed under&nbsp;<a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/26\/3121#b_2\" target=\"_blank\" rel=\"noopener\">section 3121(b)(2)<\/a>&nbsp;with respect to the taxpayer. Thus , it is clear same amount will not suffer both additional medicare tax and <a href=\"https:\/\/www.irstaxapp.com\/2021-fica-tax-calculator\/\">FICA tax<\/a> at the same time. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_report_pay_self_employment_tax\"><\/span>How to report &amp; pay self employment tax?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You need to report your self-employment earnings via  &nbsp;<a href=\"https:\/\/www.irstaxapp.com\/question\/question\/what-is-a-schedule-c-form\/\">IRS Schedule C<\/a>&nbsp;and also IRS Schedule SE to calculate how much self-employment tax you owe. Then, you may need to examine if you need to pay <strong>estimated tax <\/strong>which is to be paid quarterly .I suggest you to read <a href=\"https:\/\/www.irstaxapp.com\/estimated-tax-who-when-how-to-pay\/\">Estimated Tax :Who ,When &amp; How to Pay ?<\/a>. See this calculator on the <a href=\"https:\/\/www.irstaxapp.com\/form-2210-calculator-find-if-you-owe-estimated-tax-penalty\/\">estimated tax penalty calculator.<\/a><\/p>\n\n\n\n<p><strong><mark style=\"background-color:#fce800\" class=\"has-inline-color has-black-color\">Have you read <a href=\"https:\/\/www.irstaxapp.com\/self-employment-deductions-tax\/\">25 tax deductions for self employed business?<\/a><\/mark><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The self-employed tax calculator a quick tool based on Internal Revenue Code, \u00a7 1401 to help a freelancer or self-employed taxpayer to compute three kinds of taxes &#8211; the Social Security tax, Medicare tax and additional Medicare tax that must be deducted and deposited to IRS . Self-employment tax calculator makes it easy for anyone [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3],"tags":[1266],"amp_enabled":false,"_links":{"self":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3063"}],"collection":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/comments?post=3063"}],"version-history":[{"count":6,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3063\/revisions"}],"predecessor-version":[{"id":7482,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/posts\/3063\/revisions\/7482"}],"wp:attachment":[{"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/media?parent=3063"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/categories?post=3063"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.irstaxapp.com\/wp-json\/wp\/v2\/tags?post=3063"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}