Tax Reserve Calculator
Enter the profit you expect this year and your deductible insurance. The calculator applies the 2026 income tax tariff (§ 32a EStG), the solidarity surcharge and church tax, and for trades the trade tax minus its credit against income tax. It shows what to set aside per year and per month.
About this tool
How Much Tax to Put Aside as Self-Employed
German freelancers and sole traders pay income tax months after earning the money. The calculator estimates the amount from your expected profit.
Real 2026 Tariff
Income tax according to § 32a EStG, solidarity surcharge and church tax, for single or joint assessment.
Freelancer or Trade
For a trade, the trade tax with your municipality's multiplier (Hebesatz) and its credit against income tax are included.
Per Year and Per Month
The reserve for the year, the share of your profit, what is still to set aside after prepayments and how much tax each extra 100 € of profit costs.
How to use it
- Enter the expected profit this year: income minus business expenses, before income tax.
- Enter deductible insurance and pension contributions per year.
- Choose single or married, joint assessment, and church tax if you pay it.
- Choose Freelancer or Trade (Gewerbe); for a trade, enter your municipality's Hebesatz.
- Enter the tax prepayments already paid and read what to set aside per year, per month and what is still open.
Frequently asked questions
How much tax should I set aside as a freelancer in Germany?
It depends on your profit: with 40,000 € taxable income the 2026 income tax is 7,209 €, about 18 %; at 100,000 € it is 30,864 €. Many self-employed set aside 25–35 % of every payment received, plus the VAT they charged.
What is the basic tax-free allowance in 2026?
The Grundfreibetrag is 12,348 € for 2026 (24,696 € for married couples filing jointly). The 42 % rate starts at 69,879 €, the 45 % rate at 277,826 €.
Do I pay trade tax as a sole trader?
Trades (Gewerbe) pay trade tax on profit above 24,500 €: 3.5 % × the municipal multiplier (Hebesatz). Up to 4.0 times the base amount is credited against income tax (§ 35 EStG), so with a multiplier around 400 % it costs little extra. Freelancers (freie Berufe) pay no trade tax.
Is my financial data uploaded to any server?
No. Every calculation, PDF and XML file is produced inside your browser tab with JavaScript and WebAssembly. Nothing is uploaded, stored or logged — the tool also keeps working offline.
Should I set aside VAT as well?
Yes, separately. The VAT you charge belongs to the tax office and is not part of this estimate. Keep it in its own account until you file the VAT return.