Alabama Self-Employment Tax Calculator 2026

Estimate self-employment tax, federal and Alabama income tax and quarterly payments on LLC, sole proprietor and 1099 income in Alabama.

Total tax on your profit

$26,335

Pay about $6,584 each quarter in estimated tax · you keep $73,665

Self-employment tax

$14,130

Effective rate

26.3%

QBI deduction

$15,367

  • Kept 73.7%
  • SE tax 14.1%
  • Federal 8.2%
  • State 4.0%
QuarterYear
Net business profit$25,000.00$100,000
Self-employment tax (15.3%)−$3,532.39−$14,130
Federal income tax−$2,058.75−$8,235
Alabama income tax−$992.50−$3,970
Left after tax$18,416.36$73,665

Quick answer: With $100,000 of net profit in Alabama, a single business owner pays about $26,335 in total tax for 2026 (26.3%), including $14,130 of self-employment tax. Budget about $6,584 for each quarterly estimated payment.

Alabama self-employment tax by profit (2026)

Net profitSE taxFederal taxAL taxTotal taxEffective ratePer quarter
$25,000$3,532$571$868$4,97119.9%$1,243
$50,000$7,065$2,667$1,925$11,65723.3%$2,914
$75,000$10,597$4,898$2,975$18,47024.6%$4,618
$100,000$14,130$8,235$3,970$26,33526.3%$6,584
$150,000$21,194$16,413$5,884$43,49229%$10,873
$200,000$28,234$25,196$7,769$61,20030.6%$15,300
$300,000$31,606$60,643$10,930$103,17934.4%$25,795
$500,000$38,625$131,787$17,239$187,65137.5%$46,913

Single filer, standard deduction, 20% QBI deduction (phased out for service businesses above $201,750), no other income.

How self-employment income is taxed

As a sole proprietor, independent contractor or single-member LLC owner, you pay three taxes on your net profit. Self-employment tax of 15.3% covers Social Security and Medicare, both the employee and employer halves. Federal income tax applies to profit after half of your SE tax, the standard deduction and the 20% qualified business income (QBI) deduction. Alabama income tax applies to the same profit: the state has 3 income tax brackets, from 2% to 5%, with the top rate starting at $3,000 of taxable income for single filers. Single filers claim a $3,000 standard deduction, a $1,500 personal exemption and a deduction for federal income tax paid.

Nobody withholds these taxes for you, so the IRS and Alabama expect quarterly estimated payments if you'll owe $1,000 or more for the year.

Alabama business taxes and fees beyond income tax

LLC fees: forming an LLC in Alabama costs $200. Ongoing: No LLC annual report (eliminated October 2024).

Other business taxes: Business Privilege Tax on net worth ($0.25 to $1.75 per $1,000, $15,000 cap); liabilities of $100 or less are exempt.

Read the full Alabama business tax guide or compare LLC fees in every state.

Alabama vs. nearby states: tax on $100,000 of profit

StateState income taxTotal taxEffective rate
FloridaNone$22,36522.4%
TennesseeNone$22,36522.4%
AlaskaNone$22,36522.4%
Mississippi$2,985$25,35025.3%
Alabama$3,970$26,33526.3%
Georgia$4,039$26,40326.4%

Frequently Asked Questions

How much tax do I pay on $100,000 of self-employment income in Alabama?

A single sole proprietor or single-member LLC owner with $100,000 of profit in Alabama owes about $26,335 in 2026: $14,130 of self-employment tax, $8,235 of federal income tax and $3,970 of state income tax. That's 26.3% of profit, or about $6,584 a quarter in estimated payments.

How much should I set aside for taxes as a self-employed person in Alabama?

At $100,000 of profit, set aside about 30% of every payment you receive. At lower profits the share is smaller and at higher profits it's larger; use the table on this page to find your level.

What is the self-employment tax rate in Alabama?

Self-employment tax is federal, so it's the same in every state: 15.3% on 92.35% of your net profit, made up of 12.4% Social Security on the first $184,500 and 2.9% Medicare on everything. An extra 0.9% Medicare tax applies above $200,000 ($250,000 for married couples). You can deduct half of it from your income.

Does Alabama tax LLC income?

Yes. A single-member LLC's profit passes through to your Alabama personal return. Alabama has 3 income tax brackets, from 2% to 5%, with the top rate starting at $3,000 of taxable income for single filers. LLC fees in Alabama: No LLC annual report (eliminated October 2024).

When are quarterly estimated taxes due?

For 2026, federal estimated payments are due April 15, June 15 and September 15, 2026, and January 15, 2027. Most states with an income tax use the same dates. Paying at least 100% of last year's tax (110% if your income was over $150,000) avoids an underpayment penalty.

Would an S corporation lower my self-employment tax?

Possibly, once profit is high enough. An S corporation owner pays payroll tax only on a reasonable salary, not on the rest of the profit. Above roughly $60,000 to $80,000 of profit, the saving often covers the extra payroll and filing costs. Our guides to LLC and corporation taxes walk through the trade-offs.

Self-employment tax calculators for other states

Sources

Estimates use 2026 federal and state rates and standard deductions, and assume no other income, itemized deductions or credits beyond those listed. Your employer's withholding may differ from your final tax bill. For informational purposes only; this is not tax advice.