Freelance Tools

Self-Employment Tax Calculator

Estimate your self-employment taxes — income tax, social contributions and quarterly installments. Full calculations for Canada, USA, UK, Australia and New Zealand.

Estimate Only — Not Tax Advice — Read This First

This tool provides rough estimates for planning purposes only. It is not a tax return, not legal or financial advice, and not a substitute for a qualified tax professional. Tax laws change annually and individual circumstances vary significantly — your actual tax bill may differ substantially from this estimate.

The calculator uses simplified bracket calculations and published rates for the selected tax year. It does not account for every deduction, credit, surtax, phase-out, surcharge, or special rule that may apply to your situation. Always consult a qualified accountant before making financial decisions based on any estimate.

Select Your Country

Full tax calculations are available for 5 countries. If your country is not listed, select Other for guidance on what to do.

Annual Income & Expenses

$
Total invoiced revenue before expenses and taxes
$
Home office, equipment, subscriptions, professional fees, etc.
$
T4/W-2/PAYE income — combined with self-employment for bracket calculations
$

Your Estimate Will Appear Here

Select your country, enter your revenue and click Calculate.

Countries with full tax calculations:
CA Canada — Federal + provincial income tax + CPP contributions
US United States — Federal + major state income tax + SE tax (15.3%)
GB United Kingdom — Income Tax bands + NI Class 4 contributions
AU Australia — ATO income tax + Medicare Levy (2%)
NZ New Zealand — IRD income tax + ACC earner levy
All other countries: guidance and official resource links provided when you select "Other Country".

Self-Employment Tax Strategies That Work Everywhere

Set aside tax every invoice
Transfer a fixed percentage of every payment to a dedicated tax savings account the moment it arrives. A common rule of thumb is 25-35% depending on income and country. Do it automatically so the money is never available to spend.
Track every deductible expense
Business expenses reduce taxable profit. Home office, equipment, software, professional development, internet, phone and professional fees are deductible in most countries. Use accounting software from day one. Reconstructing a year of expenses later is painful.
Maximise your retirement vehicle
Canada: RRSP. USA: SEP-IRA or Solo 401(k). UK: Personal pension. Australia: Super (voluntary). NZ: KiwiSaver. Contributions typically reduce taxable income and grow tax-sheltered. For freelancers with no employer pension, this is usually the most powerful legal tax reduction available.
Pay installments on time
Every supported country requires advance tax payments once you owe above a threshold. Missing or underpaying installments results in non-deductible interest or penalties. Set calendar reminders for every payment date the moment you know you will owe tax that year.
Hire a professional at least once
A qualified accountant in your country can identify deductions you missed, handle registration obligations (GST/VAT/etc.) and help you structure your business properly. The cost is almost always recovered in tax savings and time saved. Especially important in your first year.
Know when to incorporate
Incorporation typically makes sense when you earn significantly more than you need to live on — retained profits are taxed at a lower corporate rate. For most freelancers earning modestly, the added cost and complexity outweighs the benefit. Get professional advice before incorporating.

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Frequently Asked Questions

Self-employment tax systems are highly complex and change annually. We support Canada, USA, UK, Australia and New Zealand because their rules are clearly documented in English, reliably calculable with publicly available rates, and these countries represent the majority of our users. Adding other countries without sufficient confidence in accuracy would risk giving people dangerously wrong numbers. For countries not supported, we explain what to do and link directly to the official tax authority.

For straightforward cases — self-employed with no other income, using standard deductions — estimates are typically within 5-15% of the actual amount. Complex situations involving multiple income streams, rental income, capital gains, foreign income, business losses, or special credits may differ significantly. Use this tool for planning (deciding how much to set aside, whether to pay installments) not for filing. Always have a professional review your actual return.

Self-employment tax in the US is the combined Social Security (12.4%) and Medicare (2.9%) contribution paid entirely by self-employed individuals, totalling 15.3% on net self-employment income up to the Social Security wage base ($176,100 for 2025). Income above that threshold continues to attract the 2.9% Medicare portion. You can deduct half of SE tax from your gross income. This is separate from and in addition to federal and state income tax.

National Insurance Class 4 is paid by self-employed people on their trading profits. In 2024/25, Class 4 NI is 6% on profits between the Lower Profits Limit and the Upper Profits Limit, and 2% on profits above that. Class 2 NI was abolished from April 2024. NI contributions count toward your State Pension entitlement. Together with income tax, these are the primary tax obligations for UK self-employed people.

The Canada Pension Plan (CPP) is a mandatory retirement contribution. Employees pay one share and their employer pays the other. Self-employed Canadians pay both shares — effectively double the employee rate. The combined 2025 rate is 11.9% on net self-employment income between the basic exemption ($3,500) and the maximum pensionable earnings ($73,200). Half of your CPP contributions are deductible from income, partially offsetting the cost.

Registration thresholds vary significantly: Canada GST/HST is required above CAD $30,000 in taxable revenue per year. UK VAT registration is required above GBP 90,000 (2024/25). Australia GST is required above AUD $75,000. New Zealand GST is required above NZD $60,000. The USA has no federal sales tax but individual states have varying sales tax nexus rules. Once registered, you charge the tax on your invoices and remit it to the government on a regular schedule.