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SE tax (Self-Employment tax)

Social Security and Medicare tax paid by the self-employed — 15.3% up to the wage base.

Why it matters

Employers and employees each pay 7.65% payroll tax; the self-employed pay both sides. Half of SE tax is deductible above the line. Above the Social Security wage base ($176,100 in 2025), only the Medicare portion (2.9%, plus 0.9% additional above certain thresholds) continues.

See also

Educational only — not financial, tax, or legal advice.