How Much Of Your Self-employment Tax Is Deductible?

Have you started your own business, gone into freelancing or started work as an independent contractor this year? Then you will have to pay self-employment tax. Do not worry, as we will give you all you need to know about this tax, which is officially known as the SECA tax for Self-Employment Contributions Act tax. Simply put, it is the tax for self-employed people which regular workers pay in tax for Social Security and Medicare, which is due on your net earnings from self-employment. Read Also : How can I tell how much SS I will get?