Career · official-source review · reviewed 2026-10-10
Freelance income that lands in one account looks like spending money until the tax bill arrives.
Turn a period of freelance income and a set-aside percentage into the amount to hold back and the amount you can spend.
Freelancers and sole proprietors who receive payments without tax withheld.
Use the source document or official route that applies to your situation. This guide does not contact another person or verify external information.
Add the payments you received for the period. Use gross amounts before any fees you pay.
Ask a tax adviser for the set-aside rate that fits your income and location.
Enter the percentage from your adviser. Do not use a number you hope will be enough.
Move the set-aside amount into a separate account each time a payment arrives.
Compare the balance with your adviser's current estimate and adjust the rate if your income changes.
You earned $60,000 this year and set aside 25 percent. That holds back $15,000 and leaves $45,000 to spend.
Use your own source and details. The example is not a record about a real person or organization.
U.S. Small Business Administration · reviewed 2026-10-10
What this source supports: Freelance rates must cover taxes, expenses, downtime, and profit, not just desired take-home pay.
Source limit: This computes a floor rate; market rates in your field may differ.
These sources support the statements above. They do not show that every person needs this guide. They do not show a specific result.
This guide applies a percentage you choose to your own income. It does not calculate the tax you owe, and it does not replace your tax adviser's rate.
This computes a floor rate; market rates in your field may differ.
Use current instructions from the responsible organization. This guide is a planning aid, not an official decision or a substitute for qualified advice.
Turn a period of freelance income and a set-aside percentage into the amount to hold back and the amount you can spend.
This App applies a percentage you choose to the income you enter. It does not calculate tax owed or replace your adviser's rate.
You enter every number yourself. The sources support the method and the limits. They do not produce a result for your specific case. Keep the original documents next to the sheet you build.
The App computes the worked example with your own numbers, in your browser.
APP 1
Turn a period of freelance income and a set-aside percentage into the amount to hold back and the amount you can spend.
Free · no account · no upload
Open Freelance Tax Set-Aside CalculatorThe App runs in this browser. It does not send or save entries. Copy, download, or print only when you choose.
This guide uses short, direct instructions as an ASD-STE100-style writing target. It is not a formal certification.
Companion App: Freelance Tax Set-Aside Calculator. It runs in this browser and does not upload your entries.
This guide is edited for clarity and checked against the sources it links. It is not a substitute for official instructions or qualified advice. A linked source does not show that every person needs this guide.