Understanding IRS Schedule SE: Self-Employment Tax
Schedule SE calculates the self-employment tax (Social Security and Medicare) owed by self-employed individuals.
Who Needs to File Schedule SE?
- Individuals with net earnings of $400 or more from self-employment
- Sole proprietors, independent contractors, freelancers
Key Points
- Self-employment tax rate is 15.3%
- Deductible portion of self-employment tax reduces adjusted gross income
- Accurate income and expense tracking essential
Related Forms
- Schedule C
- Form 1040
- Form 1040-ES
Self-employed?
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