Freelance Rate Calculator for US Freelancers

US freelance rates must cover federal income tax (10-37%), state income tax (0-13.3%), and self-employment tax of 15.3% on the first $184,500 (2026 Social Security wage base) plus 2.9% Medicare above. A $100,000 take-home typically requires $130-150/hour at 1,200 billable hours. IRS Publication 334 is authoritative.

The single biggest US-specific surprise for new freelancers is self-employment tax. As a W-2 employee, your employer paid half of FICA (7.65%) on your behalf and you barely noticed. As a 1099 freelancer or sole proprietor, you pay both halves — 15.3% on net SE income up to the Social Security wage base ($184,500 in 2026), then 2.9% (+0.9% Additional Medicare) above. That's before federal and state income tax.

The IRS stack for a typical 1099 freelancer: - Self-employment tax: 15.3% on first $184,500 of net SE income, 2.9% above (plus 0.9% Additional Medicare over $200k single / $250k MFJ) - Federal income tax: marginal rates 10% / 12% / 22% / 24% / 32% / 35% / 37% — applied to AGI after the 50% deduction for SE tax paid and any QBI deduction (up to 20% for qualified pass-through income, subject to phase-outs and SSTB rules) - State income tax: 0% (TX, FL, NV, WA, TN, NH, SD, WY, AK) up to 13.3% (CA top bracket) - Estimated tax payments: quarterly to IRS (Form 1040-ES) and most states, due 15 April / 15 June / 15 September / 15 January

Beyond tax, US freelancers pay for things employees get for free: - Health insurance: $400-1,500/month off-exchange depending on age, state, coverage - Self-funded retirement: SEP-IRA (up to 25% of net SE income capped at $72,000 in 2026) or Solo 401(k) (combined up to $72,000, $80,000 if 50+, up to $83,250 with the age 60-63 super-catch-up) - Disability / life insurance - Business deductions (home office, mileage, software, professional development)

The calculator takes your income target (inflate it by your tax buffer), overhead, and assumed billable hours and outputs the hourly rate required. Model the S-corp election break-even separately — usually worthwhile above $80-90k SE profit, depending on reasonable-comp rules and state. For tax specifics, IRS Publication 334 and Schedule SE instructions are authoritative.