I've already paid my annual state business tax of $1071.38 for 2016. Why do I have to pay self employment tax? or are they the same?

[10ptt20]

First year in business and only made $11645.

[bjs1942 · Accepted solution]

They are not the same.  SE tax is like Social Security - where you are both the employer and the employee.  I assume the "state business tax" you mention is your state income tax on your earnings.

[dogparkqueen]

self employment tax is your self paid social security tax.  You have to pay it.

[10ptt20]

Yeah I figured as much. Thank you both for taking the time to reply! Happy Spring!