Contractor Paycheck Calculator
Turn each 1099 payment into the pay stub you never receive — tax to hold back, cash costs, and true take-home.
Contract payments arrive whole and carry a hidden tax debt. Enter your pay, frequency, mileage, and expenses to see what is genuinely yours.
Your self-employed paycheck
A 1099 payout is not a paycheck — nothing is withheld, so the deposit overstates what you can actually spend. Enter one typical payout and how often it lands, and this builds the missing pay stub: tax to hold back, cash costs, and true take-home.
Mileage is a paper deduction — it lowers tax without leaving your bank account, so it is excluded from cash costs. The 2026 standard rate is $0.70 per mile.
Your missing pay stub
Annualized picture
Move the set-aside amount to a separate savings account the day each payout lands, then pay the IRS quarterly on 15 April, 15 June, 15 September, and 15 January. Educational estimates, not tax advice.
Frequently asked questions
- How do I calculate a 1099 contractor paycheck?
- Start with the gross payment, subtract business expenses to get profit, then hold back self-employment tax (15.3% of 92.35% of profit) plus federal and state income tax. What remains is real take-home.
- How much should a contractor hold back per payment?
- Most contractors hold back 25% to 30% of profit. Heavy-mileage contractors often need less; high-margin consultants in income-tax states often need more.
- Do contractors get a pay stub?
- No. There is no withholding and no stub, which is why a paycheck calculator is the substitute — it rebuilds the deductions an employer would have made.
- Is contractor pay higher than employee pay?
- It has to be. A contractor pays the full 15.3% self-employment tax and buys their own benefits, so a rough parity rule is 1.25x to 1.4x the equivalent W-2 salary.
- Where should the held-back tax go?
- A separate savings account, moved the day each payment lands, then paid out quarterly via IRS Direct Pay on Form 1040-ES.
- Does mileage change my take-home?
- It changes your tax but not your cash. The 2026 rate of $0.70 per mile lowers taxable profit while the money already left your account gradually as gas, wear, and depreciation.
Related calculators
- Self-Employed Tax EstimatorEstimate federal, SE, and state tax for your full 1099 year.
- Side Hustle Tax CalculatorEstimate tax on side-gig 1099 income stacked on your W-2.
- Gig Worker Tax CalculatorFederal + SE + state tax and mileage for any mix of gig platforms.
- Freelancer Tax CalculatorFull 2026 tax estimate on freelance 1099 income and expenses.
Related blog posts
- How Much Should You Set Aside for 1099 Taxes?A clear, state-by-state framework for how much of every 1099 payout to set aside for taxes in 2026 — with worked examples for Uber, DoorDash, and freelancers.
- 1099 Tax Guide for Beginners: The 2026 WalkthroughNew to 1099 income? This beginner's guide covers forms, quarterly taxes, deductions, SE tax, and how to file — everything you need for the 2026 tax year.
- Side Hustle Tax Estimator: 2026 Free Calculator & GuideEstimate 2026 side hustle taxes in seconds. Combines W-2 + 1099 income, mileage, and expenses to show federal, SE, and state tax owed — plus a set-aside %.
- Self-Employed Tax Estimate Calculator: 2026 Full GuideFree 2026 self-employed tax estimate calculator. Federal, SE, and state tax in one pass — with deductions, quarterly payments, and set-aside % included.