Self-employment tax in California
California freelancers face three layers of tax: federal self-employment tax, federal income tax, and California state income tax on top. Unlike no-tax states, CA taxes your 1099 income at progressive rates — so it pays to set aside more.
What a California freelancer owes
- Federal self-employment tax of 15.3% (Social Security + Medicare).
- Federal income tax on your net profit (after the deductible half of SE tax).
- California state income tax from 1% up to 12.3% (plus a 1% surcharge on income over $1M).
Estimate your California taxes
Free 1099 self-employment tax calculator — add California's 1%–12.3% state rate. No sign-up.
Enter California's 1%–12.3% in the State Tax field for a full estimate.
States with no income tax are set to 0%. Estimate only — adjust for local taxes.
Estimates use latest published figures (US 2025 brackets & 15.3% SE tax, UK Self Assessment bands + Class 4 NI, Canada federal + CPP, Germany §32a 2026 income tax + est. social & 19% VAT, GCC VAT rates). Simplified estimate for planning only — not tax advice.
California freelancer tax — FAQ
Do freelancers pay state income tax in California?
Yes. California has a progressive state income tax from 1% up to 12.3% (a 1% Mental Health Services surcharge applies over $1 million), on top of federal taxes.
How much should a California freelancer set aside for tax?
Because of the extra state layer, many CA freelancers set aside 30%+ of net income. Your exact rate depends on your bracket — estimate the federal portion with our calculator and add your CA rate.
What taxes do I owe as a California 1099 worker?
Federal self-employment tax (15.3%), federal income tax, and California state income tax — usually via quarterly estimated payments to both the IRS and the FTB.
Figures are 2026 headline guidance for freelancers and the self-employed, not tax advice. Check current IRS and state rules or a CPA for your situation.