Freelancer Taxes in South Dakota: 1099 vs W2
Compare 1099 vs W2 taxes in South Dakota at every income level. See self-employment tax, take-home pay, and the freelance rate you’d need to charge.
$
$
Deductible expenses reduce your taxable income
Freelancers pay $3,694 more in taxes
That’s $308/month less in your pocket
| Category | W2 Employee | 1099 Freelancer |
|---|---|---|
| Gross Income | $75,000 | $75,000 |
| Social Security | -$4,650 | -$8,589 |
| Medicare | -$1,088 | -$2,009 |
| Federal Income Tax | -$8,114 | -$6,948 |
| Total Tax | -$13,852 | -$17,545 |
| Take-Home Pay | $61,149 | $57,455 |
| Effective Rate | 18.5% | 23.4% |
To match your W2 take-home of $61,149
You’d need to charge $81,000/year as a freelancer
That’s about $39/hour (40 hrs/week)
1099 vs W2 at Every Income Level
| Income | W2 Take-Home | 1099 Take-Home | Extra Tax |
|---|---|---|---|
| $25,000 | $22,088 | $20,644 | +$1,443 |
| $30,000 | $26,144 | $24,454 | +$1,690 |
| $35,000 | $30,161 | $28,190 | +$1,971 |
| $40,000 | $34,179 | $31,926 | +$2,253 |
| $45,000 | $38,196 | $35,662 | +$2,534 |
| $50,000 | $42,214 | $39,398 | +$2,816 |
| $55,000 | $46,231 | $43,134 | +$3,097 |
| $60,000 | $50,249 | $46,869 | +$3,379 |
| $65,000 | $54,114 | $50,605 | +$3,508 |
| $70,000 | $57,631 | $54,183 | +$3,448 |
| $75,000 | $61,149 | $57,455 | +$3,694 |
| $80,000 | $64,666 | $60,726 | +$3,940 |
| $90,000 | $71,701 | $67,268 | +$4,433 |
| $100,000 | $78,736 | $73,811 | +$4,925 |
| $110,000 | $85,771 | $80,353 | +$5,418 |
| $120,000 | $92,773 | $86,896 | +$5,877 |
| $150,000 | $113,278 | $106,102 | +$7,176 |
| $175,000 | $130,366 | $121,994 | +$8,372 |
| $200,000 | $148,935 | $138,823 | +$10,111 |
| $250,000 | $182,744 | $173,537 | +$9,207 |
Single filer, no business expenses, 2025 tax brackets.
Compare Other States
South Dakota Salary Calculator
See W2 salary breakdowns for all income levels in South Dakota