1099 vs W2 Income Calculator

What each input means

• Gross annual income — Same gross used for both columns before tax-specific adjustments.
• W2 total tax estimate (%) — Effective or blended rate you assign to W2 withholding; applied as W2 net = gross × (1 − W2% ÷ 100).
• 1099 total tax estimate (%) — Rate you assign to contractor/self-employed income after expenses.
• 1099 deductible business expenses — Subtracted from gross before the 1099 rate: taxable 1099 = max(0, gross − expenses).

Formula used

1099 net ≈ taxable 1099 × (1 − 1099% ÷ 100); difference = 1099 net − W2 net.

Uses your percentage guesses only—not full payroll, FICA splits, QBI, state rules, or phase-outs.