Self-Employment Tax for Texas (2026)
Texas (TX) 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 Texas
This calculator estimates your total self-employment tax in Texas, including the federal 15.3% SE tax and applicable federal income tax. Enter your net SE income to see your liability.
Texas Overview
Self-employed workers in Texas 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, but the Texas franchise (margin) tax may apply to businesses with gross receipts over $2.47 million. Property taxes average 1.6%-1.8%, among the highest nationally.
How Texas Compares
Texas's combined SE burden of 15.3% compares to Louisiana at 19.6% and Oklahoma at 20.1%. No state income tax keeps the SE burden at the federal minimum.
| State | Top Rate | Notes |
|---|---|---|
| Louisiana | 4.25% | Louisiana has a state income tax on SE income rate of 4.25%. |
| Oklahoma | 4.75% | Oklahoma has a state income tax on SE income rate of 4.75%. |
| New Mexico | 5.9% | New Mexico has a state income tax on SE income rate of 5.9%. |
Texas'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 Texas Residents
- 1Federal self-employment tax is 15.3% (12.4% Social Security + 2.9% Medicare) regardless of state.
- 2Texas has no state income tax on self-employment income, keeping your combined rate lower than most states.
- 3No state income tax on SE income, but the Texas franchise (margin) tax may apply to businesses with gross receipts over $2.47 million. Property taxes average 1.6%-1.8%, among the highest nationally.
- 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.