Freelance Retirement Calculator
No employer match? No problem. Compare your 2026 Solo 401(k) and SEP-IRA contribution room, see the tax savings, and project your nest egg.
Self-employed workers can shelter far more than traditional employees — up to $70,000 in 2026. Contributions cut your income tax (but not SE tax) and compound tax-deferred.
Your freelance retirement inputs
No employer match means every dollar is on you — but 1099 workers get the biggest tax-advantaged limits in the tax code. 2026 limits applied.
Projected nest egg at 65
$1,018,083
Monthly income (4% rule)
$3,394
Tax saved this year
$2,640
2026 contribution room
Half of SE tax (adjustment)$5,299
SEP-IRA maximum$13,940
Solo 401(k) maximum$38,440
Best plan: Solo 401(k)$38,440
Your planned contribution$12,000
Headroom remaining$26,440
Contributions cut income tax, not the 15.3% self-employment tax. Self-employed contribution math uses the IRS reduced rate (~20% of profit after the half-SE-tax adjustment), equivalent to 25% of compensation.
Frequently asked questions
- How much can a freelancer put in a Solo 401(k) in 2026?
- Up to $24,500 as an employee deferral (plus $8,000 catch-up if you're 50+), plus an employer profit-sharing contribution of about 20% of net profit after the half-SE-tax adjustment — capped at $70,000 total.
- Is a SEP-IRA or Solo 401(k) better for gig workers?
- At lower incomes the Solo 401(k) usually wins because the $24,500 deferral isn't tied to a percentage of profit. SEP-IRAs are simpler to open and allow contributions up to the tax-filing deadline, including extensions.
- Do retirement contributions reduce self-employment tax?
- No. SEP-IRA and Solo 401(k) contributions reduce your income tax, but the 15.3% self-employment tax is calculated on net profit before retirement contributions.
- What is the 4% rule used in the projection?
- A common retirement planning guideline: withdrawing 4% of your nest egg in year one, adjusted for inflation afterward, has historically sustained a 30-year retirement. It's a planning heuristic, not a guarantee.
Related calculators
- Freelancer Tax CalculatorFull 2026 tax estimate on freelance 1099 income and expenses.
- 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.
Related blog posts
- Freelance Retirement Calculator: How Much to Save With No Employer MatchNo 401(k) match? Freelancers can still shelter up to $70,000 in 2026 with a Solo 401(k) or SEP-IRA. Here's how much to save and which account wins.
- Freelancer Tax Calculator: What to Enter and How the 2026 Math WorksHow a freelancer tax calculator works in 2026: Schedule C profit, 15.3% SE tax, QBI, home office, retirement deductions, and turning the total into quarterly payments.
- Freelancer Taxes in 2026: A First-Year Workflow From Invoice to Filed Return2026 freelancer tax guide: a simple first-year system — separate accounts, monthly bookkeeping, quarterly estimates, and filing Schedule C without stress.
- 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.