Separate planning reserves from actual tax
Freelancers often need to reserve part of incoming cash before treating the remainder as personal spending money. This calculator provides a simple allocation plan using percentages you choose.
Use one consistent period
If the revenue covers one month, every cost should also cover that month. Mixing annual expenses with monthly revenue will distort the result.
The reserve is not a tax calculation
The tool does not know your jurisdiction, deductions, filing status, entity, other income, credits, or actual taxable profit. It simply sets aside the percentage you enter.
Example
Revenue of 8,000 minus 1,100 of entered costs creates a 6,900 planning base. A 25% tax reserve and 5% savings reserve leave an estimated 4,830 for take-home spending.
Common questions
What percentage should freelancers set aside for tax?
There is no universal percentage. It depends on location, income, entity, deductions, and other circumstances.
Does the result show my actual tax liability?
No. It is a cash-planning estimate based only on the percentage you enter.
Why are expenses removed before the reserve?
The calculator uses a simplified post-expense planning base. Actual taxable-profit rules can differ.
Can I use it for quarterly planning?
Yes, provided every revenue and cost input covers the same quarter.