How much should I set aside for 1099 taxes?

A common rule of thumb is 25–30%, but the real number depends on your income, filing status, and state. This calculator computes your exact set-aside percentage from federal income tax, the 15.3% self-employment tax, and your state.

Do I have to pay quarterly estimated taxes?

Generally, if you expect to owe $1,000 or more when you file, the IRS expects quarterly estimated payments. Paying the safe-harbor amount (90% of this year, or 100%/110% of last year) avoids the underpayment penalty.

What is the safe harbor rule?

You avoid the underpayment penalty if you pay at least the smaller of 90% of this year’s tax or 100% of last year’s tax (110% if last year’s AGI was over $150,000). Enter last year’s tax above to use it.

When are 2026 quarterly taxes due?

For the 2026 tax year: April 15, 2026; June 15, 2026; September 15, 2026; and January 15, 2027.

How much should you set aside for 1099 taxes?

Enter your expected self-employment profit and get your exact set-aside percentage, quarterly payment amount, and next deadline — federal income tax + the 15.3% self-employment tax + your state.

Your situation

Filing status

State

All 50 states + DC. State amounts use single-filer brackets and exclude local/city taxes — treat them as estimates. Choose “Other” for a federal + SE-only estimate.

Expected net self-employment profit (revenue − expenses)

Tax year 2026 · federal rates per IRS Rev. Proc. 2025-32 · updated September 2026

Enter your expected net profit to see how much to set aside.

How this is calculated

Your estimate combines three things most free calculators skip: (1) self-employment tax — 15.3% on 92.35% of your net profit (12.4% Social Security up to the wage base + 2.9% Medicare); (2) federal income tax on your taxable income after the standard deduction, the deductible half of SE tax, and a simplified 20% QBI deduction; and (3) your state income tax. The “set aside” percentage is your total estimated tax divided by your gross profit.

Frequently asked questions

How much should I set aside for 1099 taxes?: A common rule of thumb is 25–30%, but the real number depends on your income, filing status, and state. This calculator computes your exact set-aside percentage from federal income tax, the 15.3% self-employment tax, and your state.
Do I have to pay quarterly estimated taxes?: Generally, if you expect to owe $1,000 or more when you file, the IRS expects quarterly estimated payments. Paying the safe-harbor amount (90% of this year, or 100%/110% of last year) avoids the underpayment penalty.
What is the safe harbor rule?: You avoid the underpayment penalty if you pay at least the smaller of 90% of this year’s tax or 100% of last year’s tax (110% if last year’s AGI was over $150,000). Enter last year’s tax above to use it.
When are 2026 quarterly taxes due?: For the 2026 tax year: April 15, 2026; June 15, 2026; September 15, 2026; and January 15, 2027.

Estimates only — not tax advice. CalciTools is not a CPA or law firm. These figures are educational estimates based on published IRS and state rates and a simplified model (they don't cover every deduction, credit, or situation). Verify with the IRS, your state tax agency, or a tax professional before making payments. Sources: IRS Rev. Proc. inflation adjustments & state Departments of Revenue.