Following up on the self-employment tax breakdown from earlier — here's an actual worked number, since abstract percentages don't stick the same way a real figure does.

Say you're single, no W-2 job, and expect $75,000 net self-employment income this year.

1. Self-employment tax base: $75,000 × 92.35% = $69,262.50

2. Social Security (12.4%): $69,262.50 × 12.4% = $8,588.55

3. Medicare (2.9%): $69,262.50 × 2.9% = $2,008.61

4. Self-employment tax total: ~$10,597

5. Deduct half of that ($5,298) from taxable income, subtract the standard deduction ($15,000), apply federal brackets → federal income tax comes to roughly $6,800

6. Total estimated annual tax: ~$17,400

7. Per quarter: ~$4,350

That's before state tax, and it assumes flat income all year (real income is lumpier, which changes safe-harbor math a bit). The point: at $75k, roughly 23% of gross goes to federal taxes alone — most people guess low because they're anchoring on income tax brackets and forgetting the self-employment tax stacks on top.

Built a tool that runs this exact math for your own numbers instead of a made-up example — Quarterly Tax Estimator, $9 one-time. Drop your numbers in the comments if you want me to sanity-check your specific situation.

Quick update on the Quarterly Tax Estimator I posted about earlier this week: dropped the price from $39 to $9.

Reasoning: it's software, not a service — there's no marginal cost per customer, so the original price was me pricing it like a consultation instead of like a tool. A calculator that answers one specific, high-anxiety question ("what do I actually owe this quarter") should be an easy yes, not a considered purchase.

Still the same two calculators — self-employment quarterly tax estimate with due dates, and a W-2 vs 1099 take-home comparison. One-time payment, no subscription: grab it here.

If you bought it at $39 already, appreciate you being early — reply here or DM me and I'll sort you out.

Talked to a handful of freelancers this month who got hit with an IRS underpayment penalty, and it's almost always the same mistake: they estimate their quarterly taxes using a regular income tax calculator, not one built for self-employment income.

Here's the gap. A W-2 employee's employer automatically withholds and pays half of their Social Security and Medicare tax. When you're 1099, there's no employer — you owe both halves yourself, which is the 15.3% self-employment tax. That's on top of regular federal income tax, and it's calculated on 92.35% of your net income, not the full amount. Miss that adjustment and your estimate is wrong before you even get to the income tax brackets.

Most free calculators floating around are built for payroll withholding, not this. So freelancers either underpay (penalty + interest, compounding every quarter you're behind) or overpay and give the IRS an interest-free loan for a year.

Built a small tool for this exact problem: Quarterly Tax Estimator — $9, one time. Enter your expected net income, get your actual self-employment tax + federal estimate + the exact due date for each quarter. Also includes a W-2 vs 1099 take-home comparison if you're weighing a salaried offer against a contract one.

Happy to answer questions on the math in the comments if anyone's stuck on their own numbers.