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Arizona 1099 Self-Employment Tax Calculator (2026 Rates)

Estimate your 2026 take-home pay as a Arizona freelancer or independent contractor, including self-employment tax, federal income tax and Arizona's a flat 2.5% income tax, plus your quarterly estimated payments.

Data as of November 2026

Income period
$
$

Deductible costs: software, equipment, home office, mileage, health insurance.

Filing status

Estimated take-home pay /yr

$68,996

$5,750 per month after all taxes

Self-employment tax

$12,717

15.3% on 92.35% of profit

Federal income tax

$6,599

22% marginal bracket

AZ state tax

$1,689

2.50% marginal

Effective tax rate

23.3%

$21,004 total tax
Where your 2026 gross income goes
Take-home pay: $68,996Self-employment tax: $12,717Federal income tax: $6,599Arizona tax: $1,689Business expenses: $10,000
  • Take-home pay$68,99669%
  • Self-employment tax$12,71713%
  • Federal income tax$6,5997%
  • Arizona tax$1,6892%
  • Business expenses$10,00010%

Quarterly estimated payments (2026 tax year)

Due dateFederal (IRS)AZTotal
Q1April 15, 2026$4,829$422$5,251
Q2June 15, 2026$4,829$422$5,251
Q3September 15, 2026$4,829$422$5,251
Q4January 15, 2027$4,829$422$5,251
Show calculation details
Net business profit
$90,000
Deductible half of SE tax
−$6,358
QBI deduction (Sec. 199A)
−$13,508
Federal taxable income
$54,033
Arizona taxable income
$67,542

Estimates only. Local and city income taxes are not included.

Arizona self-employment tax at a glance

Arizona's 2.5% flat tax is the lowest flat income tax rate in the country, and the standard deduction mirrors the federal amount. That makes Arizona attractive for freelancers who want sunshine without Texas-style property taxes.

  • State income tax: a flat 2.5% income tax (top marginal rate 2.5%)
  • Standard deduction / exemption: $16,100 single, $32,200 married filing jointly
  • Estimated payments: Form 140ES
  • Tax agency: Arizona Department of Revenue
  • Local income taxes: None for most residents

How Arizona compares: take-home pay on 1099 income

The table compares a single filer with no business expenses in Arizona with the average state income tax across the15 states we cover and with a state that has no income tax. Every column includes self-employment tax and federal income tax.

Net profitArizona state taxAvg. state taxTotal taxArizona take-homeNo-income-tax state
$50,000$759$1,158$10,491 (21.0%)$39,509$40,268
$75,000$1,340$2,012$16,835 (22.4%)$58,165$59,505
$100,000$1,921$2,912$24,285 (24.3%)$75,715$77,635
$150,000$3,083$4,749$40,690 (27.1%)$109,310$112,392
$250,000$5,478$8,541$72,432 (29.0%)$177,568$183,046

2026 Arizona income tax brackets

Single rateSingle taxable incomeMarried rateMarried filing jointly
2.5%Over $02.5%Over $0

How this calculator works

  1. Net profit is your gross 1099 income minus deductible business expenses.
  2. Self-employment tax is 15.3% (12.4% Social Security up to the $184,500 wage base, plus 2.9% Medicare) on 92.35% of net profit.
  3. Federal income tax applies the 2026 brackets after subtracting half of your SE tax, the standard deduction and the 20% qualified business income (QBI) deduction.
  4. Arizona tax applies Arizona's brackets to your adjusted gross income after the state deduction or exemption.
  5. Quarterly payments divide the annual federal amount evenly.

Not included: credits, itemized deductions, retirement contributions (SEP-IRA, Solo 401(k)), self-employed health insurance deduction and local taxes. Each of these usually lowers the bill, so treat the result as a conservative upper estimate.

Frequently asked questions

How much should I set aside for 1099 taxes in Arizona?

A Arizona freelancer filing single with $100,000 of net profit owes roughly $24,285 in combined self-employment, federal and state income tax for 2026, an effective rate of about 24.3%. A practical rule of thumb is to move 25% of every client payment into a separate tax savings account, then fine-tune once you know your real deductible expenses.

What is the Arizona income tax rate for self-employed people?

Arizona has a flat 2.5% income tax. Self-employed people pay the same state rates as employees on their net business income; there is no separate state self-employment tax. On $100,000 of net profit, the Arizona portion comes to about $1,921.

When are Arizona quarterly estimated tax payments due?

Federal estimated payments for the 2026 tax year are due April 15, 2026, June 15, 2026, September 15, 2026 and January 15, 2027. Arizona estimated payments are made with Form 140ES to the Arizona Department of Revenue and generally follow the same calendar.

Do Arizona freelancers pay self-employment tax on top of income tax?

Yes. Self-employment tax (15.3% for Social Security and Medicare, applied to 92.35% of net earnings) is a federal tax, so every 1099 earner pays it regardless of state. On $100,000 of net profit it is about $14,130. Half of it is deductible when calculating federal income tax, and the Social Security portion stops at the $184,500 wage base.

Does Arizona charge a tax on freelance services?

Arizona's Transaction Privilege Tax applies to certain business activities such as retail sales, restaurants and rentals, but most professional services (consulting, design, software development) are not subject to it. Check the TPT classification for your specific activity.