Tax Calculator for Freelance Graphic Designers

Answer 3 questions and get an instant estimate of your tax liability for 2021 (Federal and State)

Let us do the math for you!

Are you curious about how freelancers’ taxes are calculated? Learn all about it here

Estimated Income

$

$10,000

$300,000

Estimated Expenses

$

$0

$300,000

*Please select a state

With a taxable income of

Income

in

State

,

your total estimated tax liability for 2021 is

Taxes

Taxes

Pie Chart

set

Self-Employment Tax (Federal)

it

Income Tax (Federal)

sit

State Income Tax

How to calculate your self-employed taxes?

Calculating, saving, and paying taxes are the number one, two, and three sources of headaches for freelancers and self-employed. Truth is, it doesn’t have to be that way, and that’s why we created Lili. Here’s the long story short: as a freelancer, you pay two types of taxes – the self-employment tax and the income tax.

How much self-employment tax will I pay?

The self-employment tax is a flat 15.3% on your net income. It covers your contribution to Social Security (12.4%) and Medicare (2.9%). You owe it, no matter how much money you make.

What is my Net Income?

Your net income as a freelancer is the result of the difference between your GROSS PROFIT (how much money you made) minus your BUSINESS EXPENSES (how much money you spent to run your business)

How much Income Tax do I owe as a freelancer?

Just like if you were an employee at a company, you owe taxes on your net income at the federal and the state level (except if you live in a state that doesn’t have an income tax, then you only owe it at the federal level.)

The percentage varies based on your net income and filing status and it’s progressive, meaning you don’t pay the same percentage on all of it. This is where it gets a bit complicated to calculate. Well, until now – scroll back up 👆, and use the calculator to get an idea of how much you should save for your taxes this year.

Tax Deduction for Freelancers

Don’t forget to include these common tax deduction for freelancers.

Mileage

Driving around for business? Deduct your car costs.

Home Office

The space in your home dedicated to your business qualifies as a business deduction.

Cell Phone Bill

You need a phone and data plan to run your business.

Lili’s Guide to Becoming a Freelance Graphic Designer

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