Free tool · 2026 tax year
1099 Tax Calculator: What Gig Work Really Pays After Taxes
Apps show what you earned, not what you keep. Enter your gig or freelance income and costs to estimate self-employment tax, income tax and your real take-home pay, per month or per year, and per hour worked.
How the calculator works
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- Net profit = gross income − business expenses − (business miles × IRS standard mileage rate).
- Self-employment tax applies when net earnings are $400 or more. It is 15.3%: 12.4% for Social Security and 2.9% for Medicare, figured on 92.35% of net profit. For 2026, Social Security tax applies to the first $184,500 of combined earnings.
- Income tax estimate = (net profit − half of your self-employment tax, which the IRS lets you deduct) × the bracket you choose, plus state tax if any. This skips the standard deduction and other credits, so for many people it overestimates income tax. That makes it a cautious “set aside” number, not your final bill.
- Take-home = net profit − all estimated taxes. Divide by your real hours to compare gigs fairly.
Sources: IRS, Self-Employment Tax; IRS Schedule SE (92.35% factor); SSA, 2026 contribution and benefit base ($184,500); IRS, standard mileage rates (2026: 72.5¢ Jan–Jun, 76¢ Jul–Dec). Checked October 2026.
Three things gig workers often miss
1. Income is taxable even without a tax form. You must report self-employment income whether or not a platform sends you a 1099. Keep your own records of every payout. See the IRS Gig Economy Tax Center.
2. You may need to pay four times a year. The IRS says individuals generally must make estimated tax payments if they expect to owe $1,000 or more when they file, using Form 1040-ES. Paying as you go helps avoid penalties and a big bill in April. See IRS, Estimated Taxes.
3. Miles are often your biggest deduction. For drivers, the standard mileage rate can cut taxable profit a lot, but only with a mileage log (date, miles, purpose). Start the log on day one; rebuilding it later is hard.
Example: the same $1,500 a month, two different gigs
| Delivery driving | Remote freelance | |
|---|---|---|
| Gross per month | $1,500 | $1,500 |
| Expenses + miles (800 mi × 72.5¢) | $100 + $580 | $60 + $0 |
| Net profit | $820 | $1,440 |
| Hours per week | 15 | 15 |
Illustration only, using the calculator’s method with a 12% bracket and no state tax. Mileage lowers taxable profit, but the car costs behind it are real money too, so compare take-home per hour, not gross pay.
Use the calculator above with both scenarios to see the difference in take-home per hour.
Next steps. Know your number with the Income Gap calculator, compare work paths in the Route Finder, or see gig apps ranked with real costs and taxes.
Estimates only, for 2026, assuming a single job’s self-employment income below the Social Security wage base unless entered otherwise. It does not include the standard deduction, the qualified business income deduction, credits, other income, or the 0.9% Additional Medicare Tax on high earners. General information, not tax advice; for your situation, see IRS.gov or a qualified tax professional. The numbers you enter stay in your browser. Reviewed by the DebtRoute Editorial Team, October 2026. Some links on DebtRoute may be affiliate links; see our Affiliate Disclosure.