online schedule SE not applying deduction for self employment tax 2025

[judibean]

I am using the online version for 2025.   For self employment schedule SE Turbotax is not reducing the Tax with the deduction of 50% per line 13 of the form.     Instructions say that the Self Employment Tax of 15% will be reduced by 50%, but it is not working.  Any suggestions?

[VolvoGirl · Accepted solution]

The 50% doesn’t reduce the self employment tax.   It is subtracted off your income so you don’t get taxed regular income tax on it.  You take off the 50% ER portion of the SE tax as an adjustment on 1040 Schedule 1 line 15 which flows to 1040 line 10.