- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Get your taxes done using TurboTax
The 32.1% blended relate your seeing includes your income tax and self employment tax combined. As an independent contractor, you pay both regular income tax PLUS self employment tax of 15.3% (which covers Social Security and Medicare taxes that normally an employer would split with you).
The 7-12% rate you see online usually only account for income tax and don't include self employment taxes which can significantly increase the overall tax rate for independent contractors.
‎February 21, 2025
5:47 PM