Illinois Side Hustle Tax Calculator

Yes. Illinois taxes self-employment and side hustle profit as ordinary income, with a top marginal rate of 4.95% in 2026. It stacks on top of federal self-employment tax (15.3%) and federal income tax. The calculator above estimates your Illinois tax using 2026 single-filer brackets; it excludes the state standard deduction, so treat it as a slightly conservative figure.

A practical rule for Illinois side hustlers: set aside 25–30% of net profit for federal taxes (self-employment tax plus income tax), then add roughly your Illinois marginal rate on top. Pay federal quarterly estimates via Form 1040-ES and check whether Illinois also requires quarterly state estimates.

Enter each income stream separately — Etsy, freelance clients, DoorDash, whatever you run. For each hustle you enter your monthly gross income (or hourly rate), monthly business expenses, and monthly business miles driven. The calculator annualizes everything, then deducts expenses and the IRS standard mileage rate ($0.725/mile for 2026 per Notice 2026-10), computes self-employment tax (15.3% on 92.35% of net profit), and optionally estimates your state income tax using 2026 single-filer brackets.

The IRS requires you to pick one method: the standard mileage rate OR actual vehicle expenses (gas, oil, depreciation). The $0.725/mile standard rate already covers gas and maintenance, so deducting gas separately on top of it would be double-counting — and the IRS would disallow it on audit. Enter miles for the mileage deduction, and put non-vehicle expenses (software, supplies, platform fees) in the expenses field.

Not fully. Self-employment tax (the 15.3% Social Security + Medicare line) is shown. Federal income tax on top of that depends on your total household income, filing status, deductions, and credits — too many variables for a quick estimator. For most side hustlers earning $20,000–$60,000 in net self-employment income, federal income tax adds another 10–22% on top of SE tax. Use our Self-Employment Tax Calculator for a more complete federal picture.

It's a directional estimate, not a precise filing number. The calculator applies 2026 single-filer brackets to your net profit minus half of your SE tax deduction. It does not model state standard deductions, personal exemptions, local income taxes (e.g. NYC adds up to 3.876%), or other state-specific rules. Treat it as a floor — your actual state tax at filing will likely be somewhat lower once your CPA applies all applicable deductions. States like California, New York, Oregon, and Minnesota are high; Florida, Texas, Nevada, and Washington have no state income tax.

The IRS raised the standard mileage rate to $0.725 per mile for 2026 (up 2.5 cents from $0.700 in 2025), per IRS Notice 2026-10. Some older calculators still show the outdated $0.67 rate from 2024. Using the wrong rate understates your deduction and overstates your tax bill.

Click '+ Add another hustle' to add a panel for each income source. The calculator separately tracks gross income, expenses, and mileage per hustle, then combines everything for the SE tax and state tax calculation. SE tax is computed on your total net profit (not per hustle) because it's assessed on your combined Schedule C income at filing.

Yes, if you expect to owe more than $1,000 in federal taxes for the year after withholding from any W-2 job. The IRS expects quarterly estimated payments (Form 1040-ES) roughly on April 15, June 15, September 15, and January 15. A rough rule of thumb: set aside 25–30% of every net profit dollar for federal taxes, plus your state rate, and make quarterly payments.