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Contractor vs Employee Calculator

Estimator

Compare net income as a W-2 employee vs 1099 contractor at the same gross pay.

About This Tool

A 1099 contractor pays both sides of FICA (15.3%) vs the W-2 employee who pays only 7.65% (employer pays the other half). To match W-2 compensation, contractors typically need to charge 25–40% more than the equivalent employee salary to cover taxes and self-funded benefits.

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