Self-Employed & Freelance Tax Calculators

Being self-employed changes your tax and National Insurance position. Rather than paying through PAYE, you report income and expenses through Self Assessment and pay income tax plus Class 4 National Insurance on your profits.

Self-employed tax

The self-employed tax calculator estimates your income tax and Class 4 National Insurance on your annual profit. You work out profit by taking your income and subtracting allowable business expenses, then you pay tax on that profit.

Allowable expenses

Not every cost you incur is deductible. Allowable business expenses are those incurred wholly and exclusively for your business. The allowable-business-expenses guide lists the common ones, from equipment and software to professional fees.

Mileage and travel

If you use your vehicle for business, you can claim the approved mileage rate rather than tracking every actual cost. The mileage calculator works out your claim quickly.

Day rate and redundancy

Freelancers often set a day rate from an annual income target, and the day-rate calculator does that for you. If you're made redundant, the statutory redundancy calculator estimates your entitlement based on age, service and pay.

Payments on account

Once you owe enough tax through Self Assessment, you may be asked to make payments on account — a first instalment of the next year's bill. This is worth planning for, because it can affect your cash flow.

Frequently asked questions

How is self-employed tax calculated?

You pay income tax on your taxable profit (income minus allowable expenses) using the same bands as an employee, plus Class 4 National Insurance above the relevant threshold.

Do I need to register as self-employed?

Yes — you generally need to register for Self Assessment if you're self-employed, so you can report your income and pay the right tax.