US Self-Employment Tax Optimization Simulator

US Self-Employment (SE) Tax Optimization Simulator

Tax Calculation, Strategy Exploration, and S-Corp Analysis for the Self-Employed

1. Enter Your Basic Financial Information

Gross Revenue ($)

Business Expenses ($)

Filing Status Single Married Filing Jointly

Initial Net Profit: $150,000

Sole Proprietor - Baseline Tax Analysis

Calculates your baseline tax liability without applying any additional deduction strategies.

Estimated Tax Breakdown

Self-Employment (SE) Tax: $0

Federal Income Tax: $0

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Total Estimated Federal Tax: $0

※ This is a baseline estimate reflecting only the standard deduction and the 1/2 SE tax deduction. State taxes are not included.

Tax Comparison After Applying Strategies

See the tax-saving effects of applying deductions for health insurance, retirement plans, and QBI.

Self-Employed Health Insurance Deduction ⓘ Deduct premiums paid for medical, dental, and long-term care insurance for yourself, your spouse, and dependents. Limited by your net business profit and eligibility for an employer-sponsored plan.

Retirement Plan Contribution Deduction ⓘ Reduce your taxable income by contributing to a retirement plan. Select a plan and enter your desired contribution below.

Solo 401(k) Max Contribution: $0

Actual Desired Contribution ($)

Qualified Business Income (QBI) 20% Deduction ⓘ Most sole proprietors can deduct up to 20% of their qualified business income. This deduction can be limited for higher-income earners.

Estimated QBI Deduction: $0

Final Taxes After Strategies

Self-Employment (SE) Tax: $0

Federal Income Tax: $0

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Total Estimated Federal Tax: $0

Total Estimated Tax Savings

$0

S-Corp Conversion Effect Simulator

Analyzes the SE (FICA) tax savings when splitting business profit into 'salary' and 'distribution'.

Set a Reasonable Salary

Use the slider to set the portion of your net profit () you'll take as a salary.

$0 $70,000 $150,000

Sole Proprietor (Baseline)

Total Profit (Subject to SE Tax): $0

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Self-Employment Tax: $0

S-Corporation

W-2 Salary (Subject to FICA): $0

Distribution (FICA Exempt): $0

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FICA Tax (on Salary): $0

SE / FICA Tax Burden Comparison

Disclaimer: This simulator is for educational and informational purposes only and cannot replace professional tax advice. Please consult with a qualified tax professional for your actual tax reporting.