✓ Updated for 2025–2026 · Free

Know exactly what you owe on your 1099

Enter your 1099 income and we'll calculate your income tax and self-employment tax — in plain English, in under 2 minutes.

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What a 1099 actually means for your taxes

When a client, platform, or payer sends you a 1099, it means they paid you money and reported it to the IRS — but withheld nothing. No income tax, no Social Security, no Medicare. That responsibility falls entirely on you.

Most first-time 1099 recipients are surprised by how much they owe. The reason: you're not just paying income tax like a W-2 employee — you're also paying self-employment tax (15.3% on net earnings), which covers Social Security and Medicare for both you and your "employer" (also you). Combined, most freelancers owe 25–35% of net income in federal taxes.

The good news: you can legally reduce that number significantly through business deductions — and our estimator accounts for them automatically.

Quick answers to common 1099 questions

A 1099 is an IRS information return that reports income you received from someone other than an employer. Common versions include the 1099-NEC (freelance and contractor income), 1099-MISC (miscellaneous income), and 1099-K (payment platform income). Unlike a W-2, a 1099 means no taxes were withheld — you're responsible for paying them yourself.
Two types of tax apply to 1099 income: income tax (based on your tax bracket) and self-employment tax (15.3% on net earnings). Our estimator calculates both automatically. A rough rule of thumb: set aside 25–30% of every 1099 payment for taxes.
Yes, if your net self-employment income is $400 or more. Self-employment tax covers Social Security (12.4%) and Medicare (2.9%) — the same taxes that employees split with their employer. As a self-employed person, you pay both halves.
If you expect to owe $1,000 or more in taxes, you're required to make quarterly estimated payments: April 15, June 15, September 15, and January 15. Failing to pay quarterly can result in an IRS underpayment penalty.

Try the 1099 Deductions Checklist

Before you calculate your tax bill, make sure you're claiming every deduction you're entitled to. Our interactive deductions checklist walks you through every common 1099 write-off — check the ones that apply, and get a running total of how much you can deduct.

Open the Deductions Checklist →