Side Hustle Income Calculator

Calculate what you actually keep from side hustle income after self-employment tax, federal, and state taxes.

By Konstantin Iakovlev · Updated April 2026 · Source: IRS — Gig Economy Tax Center

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Net Take-Home

$10,332.25

Total Tax

$6,667.75

Effective Rate

39.2%

Income & Tax Breakdown

Gross Income$20,000.00
Business Expenses- $3,000.00
Net Self-Employment Income$17,000.00
SE Tax (15.3% on 92.35%)- $2,402.02
Federal Income Tax (22%)- $3,475.78
State Income Tax (5%)- $789.95
Total Tax- $6,667.75
Net Take-Home$10,332.25

Self-Employment Tax Detail

Net SE Income$17,000.00
SE Taxable (92.35%)$15,699.50
Social Security (12.4%)$1,946.74
Medicare (2.9%)$455.29
Total SE Tax$2,402.02
SE Tax Deduction (50%)- $1,201.01

Quarterly Estimated Payments

Q1 (Jan-Mar)$1,666.94 due April 15
Q2 (Apr-Jun)$1,666.94 due June 16
Q3 (Jul-Sep)$1,666.94 due September 15
Q4 (Oct-Dec)$1,666.94 due January 15 (next year)
For every $1,000 you earn, you keep approximately $516.61 after all taxes and expenses.

Use the Side Hustle Income Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

How It Works

The gap between what a side hustle grosses and what you keep can be surprisingly wide once taxes enter the picture. Enter your earnings here to estimate net income after self-employment, federal, and state taxes are stripped out, giving you an honest view of profitability that holds up even as tax law shifts heading into 2026.

Calculation runs in sequence. It starts with your net earnings from self-employment, then layers on self-employment tax: 15.3% on the first $168,600 of net earnings for Social Security and 2.9% for Medicare, with the Social Security cap rising for inflation each year. Federal income tax follows, drawn from progressive brackets such as 10%, 12%, and 22% for single filers and adjusted for 2026 inflation, before state income tax rates are applied on top.

Diligent expense tracking pays off directly, since every legitimate business deduction shrinks the income that gets taxed. Quarterly estimated payments are easy to overlook, yet missing them invites penalties, so set aside a slice of each payment for taxes the moment it arrives rather than scrambling at filing time.

Example: Freelance Designer in California

  1. 1 Input: Gross side hustle income: $15,000. Business expenses: $2,000. State: California. Filing Status: Single.
  2. 2 Calculation: Net earnings from self-employment: $13,000. Self-employment tax (estimated): $1,989. Federal income tax (estimated after deductions): $1,100. California state income tax (estimated): $350.
  3. 3 Result: Estimated Net Take-Home Pay: $11,561.
  4. 4 Context: This means for every dollar earned, approximately $0.77 is kept after taxes. This calculation assumes no other income sources and standard deductions. Actual results may vary based on individual tax situations and additional deductions.

Source: IRS — Gig Economy Tax Center · Last updated: April 2026

Frequently Asked Questions

How much tax do I pay on side hustle income?
Side hustle income is subject to self-employment tax (15.3% for Social Security and Medicare) plus federal and state income tax at your marginal rate. A common mistake is not realizing the SE tax alone takes 15.3% off the top before income tax.
Do I need to pay quarterly estimated taxes on side income?
Yes, if you expect to owe $1,000 or more in taxes from self-employment income. Quarterly payments are due April 15, June 15, September 15, and January 15. Missing these deadlines triggers underpayment penalties.
What expenses can I deduct from side hustle income?
You can deduct ordinary and necessary business expenses: supplies, software, home office (simplified method: $5/sq ft up to 300 sq ft), mileage (70 cents/mile in 2026), internet (business portion), equipment, and professional development directly related to your hustle.