Maryland Self-Employment Tax Calculator (2026)
Federal self-employment tax, federal income tax and Maryland state income tax on 1099 income, plus how much to set aside for each estimated payment.
Federal 2026 and Maryland 2025 data checked against the official publications, last on 2026-09-05 Runs in your browser — nothing you type is sent anywhere, not even when you reload or share the link No sign-up Methodology and data status
- Total tax
- $17,618
- Effective rate
- 24.5%
- Set aside per quarter
- $4,405
- After-tax income
- $54,382
| Breakdown | |
|---|---|
| Net profit (income − expenses) | $72,000 |
| Self-employment tax | $10,173 |
| Social Security (12.4%) | $8,245 |
| Medicare (2.9%) | $1,928 |
| Federal income tax | $4,630 |
| Adjusted gross income | $66,913 |
| Standard deduction | −$16,100 |
| Qualified business income deduction (20%) | −$10,163 |
| Taxable income · marginal rate 12.0% | $40,651 |
| Maryland income tax | $2,815 |
| Total federal + state | $17,618 |
Local income tax (never in the total above): Every Maryland county and Baltimore City add a local income tax of 2.25% to 3.30% (3.20% in most large counties) on the same Maryland taxable income — often more than half as much again as the state tax. It is not included here.
Amounts to set aside, not bills: federal $3,701 for each Form 1040-ES installment (Apr 15, Jun 15, Sep 15, Jan 15). Maryland: $704 per installment on its own schedule. For the safe-harbor amount and payments you have already made, use the quarterly calculator with these inputs. Maryland 2026 rates are not yet published; state figures use 2025 rates.
Maryland and self-employment income
Maryland's state brackets run from 2% to 5.75% on income up to $500,000 ($600,000 joint), with new 6.25% and 6.5% brackets above that from 2025. The 2025 budget also replaced the old percentage-of-income standard deduction with a flat $3,350 single / $6,700 joint; the $3,200 exemption for each filer and dependent phases down to zero between $100,000 and $150,000 of income ($150,000–$200,000 joint). The number most Marylanders underestimate is the county tax — 2.25% to 3.30% on the same taxable income — which this calculator does not include.
Maryland rules used by this calculator (2025)
- Maryland applies 10 brackets from 2% to 6.5% for 2025.
- Standard deduction: $3,350 single, $6,700 married filing jointly, $6,700 head of household — below the federal $15,750 single / $31,500 joint for 2025.
- Each filer gets a personal exemption that depends on income.
- The per-dependent deduction steps down as income rises.
- Maryland's earned income credit is 50% of the federal credit, nonrefundable (or 45% refundable, whichever is worth more); the calculator applies it.
- A refundable $500 credit per child under 6, reduced by $50 per child for every $1,000 of income over $15,000; the calculator applies it.
- Maryland starts from federal AGI, so the deductible half of self-employment tax reduces state income as well.
- Every Maryland county and Baltimore City add a local income tax of 2.25% to 3.30% (3.20% in most large counties) on the same Maryland taxable income — often more than half as much again as the state tax. It is not included here.
What a Maryland freelancer may still owe
- Maryland requires estimated payments (Form PV) when you expect to owe more than $500 in state and local tax.
- Every county and Baltimore City levy a local income tax of 2.25% to 3.30% (3.20% in most large counties), collected on the state return. Applied here: the Maryland earned income credit — 50% of the federal credit against the tax or, when it is worth more, a refundable 45% of it (100% refundable for unmarried filers with no qualifying child) — and the refundable $500 child tax credit for children under 6 at incomes up to $24,000. The local earned income credit is not included because the county tax is not.
What Maryland costs at three levels of profit (2026 federal, 2025 Maryland rates)
A single filer with no dependents and no other income, taking the standard deduction. The state column is Maryland's own tax after its deductions, exemptions and credits.
| Net profit | Federal (2026) | Maryland (2025 rates) | Total | Effective rate |
|---|---|---|---|---|
| $50,000 | $9,732 | $1,844 | $11,576 | 23.15% |
| $75,000 | $15,495 | $2,947 | $18,442 | 24.59% |
| $100,000 | $22,365 | $4,051 | $26,415 | 26.42% |
At $75,000 of profit, Maryland takes $2,947 — 15.98% of the total tax bill. Change any input in the calculator above to see your own figures.
How the federal part is worked out
Net profit is 1099 income less business expenses (Schedule C). Self-employment tax is 15.3% of 92.35% of that profit — 12.4% Social Security up to $184,500 of combined wages and earnings, 2.9% Medicare on all of it. Half of that tax, the $16,100 standard deduction ($32,200 joint) and the 20% qualified business income deduction come off before the 2026 brackets are applied; the child tax credit and the earned income credit then reduce what is left, and the refundable parts can offset self-employment tax. The methodology page sets out the full sequence and every rule the calculator leaves out, including how Maryland's figures are derived.
Quarterly estimated tax deadlines (2026)
If you expect to owe $1,000 or more of federal tax for the year, the IRS expects four estimated payments (Form 1040-ES). Maryland runs its own estimated-payment schedule with its own threshold (see above); the calculator shows the federal installment and the Maryland installment separately, and one combined amount to set aside each quarter.
The 2026 dates are April 15, 2026, June 15, 2026, September 15, 2026, January 15, 2027. The federal amount is split into four equal Form 1040-ES installments after any withholding you entered; paying 100% of last year's tax instead (110% above $150,000 of prior-year AGI) also avoids the penalty. The quarterly calculator works that out and subtracts what you have already paid, and the guide to the due dates explains the rule.
Common questions
Does Maryland tax self-employment income differently from wages?
For state income tax, net profit from self-employment is ordinary income like wages. The self-employment tax itself is federal only; Maryland does not add a state equivalent.
Is half of self-employment tax really deductible?
Yes, for federal tax. The employer-equivalent half is an adjustment to income on Schedule 1, which lowers your AGI and therefore your federal income tax. It does not reduce the self-employment tax itself.
Does an LLC change these numbers?
For federal income tax and self-employment tax, a single-member LLC taxed as a sole proprietorship follows exactly the calculation shown here. State and local obligations can still differ: an LLC may be a taxable entity for a state's franchise, gross-receipts or excise tax, and may owe registration or licence fees a sole proprietor does not — Maryland's are listed above. Electing S-corporation status changes the federal arithmetic too (salary plus distributions) and is outside this tool's scope.
What if I moved to Maryland during the year?
Income earned while you were a resident of another state is taxable there under that state's rules. This calculator assumes all income was earned as a Maryland resident.
Data sources and status
Federal figures for 2026: verified · last verified 2026-09-05 · the revenue procedures and forms they were read from, with every other data set
Maryland figures for 2025: verified · last verified 2026-09-08 · 2026 figures not yet published by the state
- Comptroller of Maryland : 2025 Resident booklet (Form 502 instructions): tax rate schedules I and II (p.22), standard deduction $3,350 / $6,700, exemption phase-down table, tax table rows (25,000–25,050 → $1,136; 50,000–50,050 → $2,324; 75,000–75,050 → $3,511; 99,950–100,000 → $4,696) and the over-$100,000 worksheets (single $200,000 → $10,010; joint $200,000 → $9,635)
- Md. Code, Tax-General §10-105 (rates), §10-217 (standard deduction) and §10-211 (exemptions) in their codified form as amended by Chapter 604 of 2025 (H.B. 352, Budget Reconciliation and Financing Act) : the 6.25% and 6.5% brackets and the flat standard deduction from tax year 2025; the chapter's enrolled PDF was downloaded but the text was read as codified
- Comptroller of Maryland : 2026 Employer Withholding Guide (pm225) and Form MW507 (2026): standard deduction $3,400 (single basis) and the unchanged exemption phase-down table; Central Payroll Bureau memo of February 2026: rates unchanged for 2026
- Comptroller of Maryland : 2025 Resident booklet Instructions 18, 19 and 21 and worksheets 18A / 18A.1 / 21A: line 22 nonrefundable earned income credit (50% of the federal credit, for married filers or filers with a qualifying child), line 44 refundable earned income credit (45% of the federal credit less the Maryland tax), the 100% refundable credit for unmarried filers without a qualifying child (federal minimum age and SSN rule waived), line 29 local earned income credit; Form 502CR Part CC child tax credit ($500 per child under 6, federal AGI up to $15,000, reduced $50 per $1,000 or fraction above it, refundable); Md. Code, Tax-General §10-704 and §10-751
Comptroller of Maryland · How figures are checked · Corrections log
Other states
Paying as you go? The quarterly estimated tax calculator applies the federal safe harbor and subtracts what you have already paid.