Freelance & Self-Employment Tax

S-Corp Reasonable Compensation Estimator

Model your salary vs. distribution split to minimize FICA while staying defensible on IRS audit. Benchmarks by industry and role; SS wage base $184,500 for 2026.

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S-Corp Income & Structure

📌 2026: SS wage base $184,500 · Medicare 2.9% (uncapped) · Additional Medicare 0.9% above $200K single / $250K MFJ
Total net income before owner salary & distributions
What you plan to pay yourself as W-2 wages

Role & Industry Benchmarks

IRS-comparable salary for your market; edit after auto-fill
Your Salary
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W-2 wages (FICA subject)
Distributions
—
FICA-free pass-through
Est. FICA Saved vs. Sole-Prop
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Both halves (employer + employee)
IRS Audit Risk: Salary Too Low? —

FICA Comparison Table

Scenario Salary Distributions FICA (both halves) Net After FICA

Next Steps

🏢
S-Corp Tax Engine
Full S-corp vs. sole-prop model (AL-118)
 📊
QBI §199A Optimizer
Deduction modeling incl. W-2 lever (AL-144)