Self-Employment Tax for Tennessee (2026)
Tennessee (TN) Key Facts
Federal S E Tax Rate
15.3%
State Income Tax Rate
0%
Combined S E + State Rate
15.3%
S E Tax Components
12.4% Social Security + 2.9% Medicare
How This Calculator Works in Tennessee
This calculator estimates your total self-employment tax in Tennessee, including the federal 15.3% SE tax and applicable federal income tax. Enter your net SE income to see your liability.
Tennessee Overview
Self-employed workers in Tennessee pay only the federal 15.3% self-employment tax (covering Social Security and Medicare) since the state has no income tax. No state income tax on SE income. Tennessee has a franchise and excise tax that may apply to certain business structures.
How Tennessee Compares
Tennessee's combined SE burden of 15.3% compares to Kentucky at 19.3% and Virginia at 21.1%. No state income tax keeps the SE burden at the federal minimum.
| State | Top Rate | Notes |
|---|---|---|
| Kentucky | 4% | Kentucky has a state income tax on SE income rate of 4%. |
| Virginia | 5.75% | Virginia has a state income tax on SE income rate of 5.75%. |
| North Carolina | 4.5% | North Carolina has a state income tax on SE income rate of 4.5%. |
Tennessee's state income tax on SE income rate of 0% compares to a national average of approximately 5.04%. This is below the national average.
Tips for Tennessee Residents
- 1Federal self-employment tax is 15.3% (12.4% Social Security + 2.9% Medicare) regardless of state.
- 2Tennessee has no state income tax on self-employment income, keeping your combined rate lower than most states.
- 3No state income tax on SE income. Tennessee has a franchise and excise tax that may apply to certain business structures.
- 4Deduct half of your SE tax on your federal return to reduce adjusted gross income.
- 5Make quarterly estimated federal tax payments (April 15, June 15, Sept 15, Jan 15) to avoid underpayment penalties.