Self Employment tax is generally calculated on your total profit from your business on a Schedule C.
There are no exemptions or reductions beyond business expenses. As a rule of thumb, the SE Tax runs at about 15 percent of your profit, although 14.4 percent is more accurate.
If you are a certain type of religious worker, you are charged SE tax on your housing allowance as well as your income. The housing allowance is not taxed for income tax purposes.
You can see the calculations on Schedule SE of your tax return.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
