Freelance tax set-aside calculator
Enter a payment and your costs to see how much to put aside for tax, how much to save, and what’s left to spend.
Works in any currency. The tracker does this for every payment, every month.
How it works
Tax is usually charged on profit: what clients paid you minus your business costs. The calculator takes your costs off first, applies your tax rate to what’s left, then sets aside your savings rate. Whatever remains is yours.
What rate should I use?
It depends on your country and income. Many freelancers set aside 25–35% of profit as a safe starting point. If you also pay social contributions (for example US self-employment tax, or national insurance or social security contributions elsewhere), include them in the rate.
Why set money aside every time you’re paid
Employees have tax taken out of every pay cheque. As a freelancer, nobody does that for you. The money lands in your account whole, and the bill arrives months later. Setting aside a fixed percentage of every payment, the day it arrives, is the simplest way to make sure the money is there.
The habit takes one step: when a payment lands, move the amber figure into a separate savings account you don’t touch. When the tax bill comes, pay it from there. Anything left over is a bonus.
Example
| Step | Amount |
|---|---|
| Client pays you | 3,000 |
| Minus business costs this month | −400 |
| Profit | 2,600 |
| Set aside for tax at 25% | 650 |
| Savings at 10% | 260 |
| Yours to spend | 1,690 |
Read the full guide: How much should a freelancer set aside for taxes?
Do this automatically, all year
The tracker does this for every payment you receive and adds up your whole year automatically.
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