“I'm in the 22% bracket” — no, your real rate is something else.
Your effective rate is what you actually pay across all your income. Usually lower than your bracket, and a much better number for planning.
Tax data last updated: July 2026. Sources & methodology
Your numbers
Total you invoiced or were paid this year.
Everything you can legitimately write off.
Most sole proprietors under the income threshold qualify.
On $75,500 of net income, you keep $59,890.
- Total tax
- $15,610
- Self-employment tax
- $10,668
- Federal income tax
- $4,942
- Marginal rate (your top bracket)
- 12.0%
- Self-employment tax14%
- Federal income tax7%
- Take-home79%
Estimates only, assuming a single filer taking the standard deduction. State tax, credits, and other income aren't included. Your marginal rate is what the next dollar is taxed at — useful for deciding whether a deduction is worth chasing.
How this is calculated
We compute your full tax bill — self-employment tax plus federal income tax through the progressive brackets — then divide it by your net income. That percentage is your effective rate: the true slice of your earnings that goes to the IRS.
Your marginal rate is different: it's the tax on your next dollar. The distinction matters in opposite directions — the marginal rate tells you what a new deduction is worth, the effective rate tells you how much to set aside from every invoice.