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LLC Tax Calculator

Estimate taxes for a single-member LLC taxed as a pass-through entity (sole proprietorship default).

Result

Total Estimated Tax
$26,328.30
Self-Employment Tax
$14,129.55
Estimated Income Tax
$12,198.75

Assumes default pass-through taxation. LLCs electing S-Corp or C-Corp status should use those calculators instead.

Self-Employment Tax: $14KIncome Tax: $12KTotal$26K
  • Self-Employment Tax - $14K
  • Income Tax - $12K

About the LLC Tax Calculator

A single-member LLC is, by IRS default, a 'disregarded entity' - meaning it's taxed exactly like a sole proprietorship unless you elect otherwise. Our LLC Tax Calculator estimates your total federal tax under that default pass-through treatment.

How It Works

Since LLC profit passes straight through to your personal return, the math is identical to self-employment tax: 15.3% self-employment tax on 92.35% of net profit, plus federal income tax on your profit minus half your SE tax and your standard deduction. This calculator assumes default sole-proprietorship taxation - LLCs that elect S-Corp or C-Corp status should use those dedicated calculators instead.

Formula & Methodology

The IRS doesn't actually have an 'LLC tax' - the LLC is a state-law legal structure, and the federal government taxes it based on whichever tax classification the owner chooses or defaults into. A single-member LLC defaults to being a 'disregarded entity,' meaning the IRS taxes it exactly as if the LLC didn't exist for federal tax purposes and the business income simply flowed onto the owner's personal return via Schedule C, subject to self-employment tax on the full profit. This is the single biggest reason profitable LLC owners eventually consider an S-Corp election - under default treatment, 100% of profit is exposed to self-employment tax, with no way to shelter any of it in distributions.

Step-by-Step: Calculating It By Hand

  1. 1Start with net LLC profit (revenue minus deductible business expenses).
  2. 2Calculate self-employment tax: 92.35% of net profit, then 15.3% of that base.
  3. 3Subtract half the self-employment tax and your standard deduction from net profit to find taxable income.
  4. 4Apply federal income tax brackets to that taxable income.
  5. 5Add self-employment tax and federal income tax together for total estimated federal tax.

Examples

Default taxation

$100,000 net business profit (single, default LLC taxation) → roughly $14,130 self-employment tax plus federal income tax on the reduced taxable base, for a substantial total tax bill.

Why some LLCs elect S-Corp

The same $100,000 profit taxed as an S-Corp (see our S-Corp Tax Calculator) can reduce payroll tax by only applying it to a 'reasonable salary' portion rather than the full profit.

Advantages

  • Uses accurate default pass-through tax treatment, not a flat guess
  • Shows the full self-employment tax burden LLC owners often underestimate
  • Useful for deciding whether an S-Corp election could save money (compare against our S-Corp calculator)
  • Applies current 2025 SE tax and bracket figures

Common Mistakes

  • Assuming an LLC automatically provides tax savings compared to being unincorporated - by default, it doesn't
  • Not setting aside money for self-employment tax throughout the year
  • Missing deductible business expenses that would lower net profit before this calculation
  • Confusing LLC legal liability protection (real) with LLC tax savings (only via an election)

Edge Cases to Watch For

  • Multi-member LLCs default to partnership taxation rather than disregarded-entity taxation, which involves filing a separate partnership return (Form 1065) even though the tax math per member is similar.
  • An LLC can elect S-Corp or C-Corp taxation via IRS filing without changing its legal LLC status at all - the election only changes federal tax treatment.
  • State-level LLC taxes and annual franchise fees are separate from this federal estimate and vary significantly by state.
  • Business losses in early years can offset other income on the owner's personal return, subject to passive activity and at-risk limitation rules.

Common Use Cases

  • Estimating total tax owed for a default-taxed single-member LLC
  • Deciding whether to explore an S-Corp election for tax savings
  • Planning quarterly estimated payments for an LLC's owner
  • Comparing LLC tax treatment against sole proprietorship (they're identical by default)
Written & fact-checked by the Calculateus TeamLast updated August 5, 2026How we verify our formulas

Frequently asked questions

Do I pay self-employment tax on all of my LLC's profit?

By default, yes - a single-member LLC's entire net profit is subject to self-employment tax, unlike an S-Corp where only the salary portion is. That's the main reason profitable LLCs sometimes elect S-Corp taxation.

Related calculators

Income Tax EstimatorEstimate your US federal income tax using 2025 marginal tax brackets.Self-Employment Tax CalculatorEstimate self-employment tax (Social Security + Medicare) on your net earnings.Sales Tax CalculatorCalculate sales tax and total price for a purchase.VAT CalculatorAdd or remove VAT from a price.

Related articles

Effective vs. Marginal Tax Rate: Why They're So DifferentThese two numbers are often confused, but they answer completely different questions. Here's how to calculate both correctly.What Your Marginal Tax Rate Actually MeansYour marginal tax rate is the rate on your next dollar of income, not your whole income. Here's why that distinction matters so much.How Property Tax Is Calculated on Your HomeProperty tax is based on assessed value, not market value — and the two aren't always the same number. Here's how it actually works.

Conclusion

An LLC's main benefit is legal - separating personal and business liability - not automatic tax savings, since the IRS taxes it just like a sole proprietorship by default. If your profit is high enough that payroll tax savings could be meaningful, compare this result against our S-Corp Tax Calculator and talk to a CPA about whether an election makes sense.

References