Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Equivalent 1099 hourly rate
$88.81
Equivalent day rate
$710
Gross revenue you need
$136,415
Premium over the W-2 hourly rate
67.9%
W-2 salary as hourly
$52.88
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One click, a permanent link with your numbers baked in.
How to use this
- 1Enter w-2 salary ($).
- 2Enter employer benefits value ($/yr).
- 3Enter paid time off (weeks).
- 4Enter billable hours per week.
- 5Enter annual business expenses ($).
- 6Read your equivalent 1099 hourly rate on the right — it updates as you type.
- 7Hit Share to keep the scenario or send it to someone.
About this calculator
A 1099 rate has to cover the employer half of FICA, your own health insurance, retirement, unpaid time off, and business costs. Matching a salary usually takes a 25–40% higher headline number.
Worked example
Using the values the calculator loads with:
Inputs
- W-2 salary: 110000 $
- Employer benefits value: 12000 $/yr
- Paid time off: 4 weeks
- Billable hours per week: 32
- Annual business expenses: 6000 $
Results
- Equivalent 1099 hourly rate: $88.81
- Equivalent day rate: $710.49
- Gross revenue you need: $136,415.00
- Premium over the W-2 hourly rate: 67.9%
- W-2 salary as hourly: $52.88
What each field means
Inputs
- W-2 salary ($)
- The w-2 salary used in the calculation, measured in $. Starts at 110000 $ so you have a working example on load.
- Employer benefits value ($/yr)
- The employer benefits value used in the calculation, measured in $/yr. Starts at 12000 $/yr so you have a working example on load.
- Paid time off (weeks)
- The paid time off used in the calculation, measured in weeks. Starts at 4 weeks so you have a working example on load. Accepted range: 0–12 weeks.
- Billable hours per week
- The billable hours per week used in the calculation. Starts at 32 so you have a working example on load. Accepted range: 1–80.
- Annual business expenses ($)
- The annual business expenses used in the calculation, measured in $. Starts at 6000 $ so you have a working example on load.
Results
- Equivalent 1099 hourly rate
- Returned as a money amount in US dollars and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Equivalent day rate
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Gross revenue you need
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Premium over the W-2 hourly rate
- Returned as a percentage. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- W-2 salary as hourly
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
How does the 1099 vs w-2 calculator work?
A 1099 rate has to cover the employer half of FICA, your own health insurance, retirement, unpaid time off, and business costs. Matching a salary usually takes a 25–40% higher headline number. The underlying maths is: Required 1099 income = Salary + benefits value + employer FICA, spread over billable weeks.
What do I need to enter?
5 values: w-2 salary, employer benefits value, paid time off, billable hours per week, and annual business expenses. Each field starts with a sensible default, so you can change one number at a time and watch the result move.
What does the equivalent 1099 hourly rate result mean?
It is returned as a money amount in US dollars and updates live as you edit the inputs, so you can compare two or three versions of a scenario in a few seconds.
Is this calculator free, and do I need an account?
Yes, it's free, and no account is required. Nothing you type is stored on our servers — the maths runs entirely in your browser.
How accurate is the result?
It applies the standard formula exactly, so the arithmetic is precise. Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
Who is this tool for?
It's built for anyone comparing money scenarios before committing — budgeting a payment, sanity-checking a quote, or seeing what a change in rate or term actually costs.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Related tools
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). 1099 vs W-2 Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/1099-vs-w2
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/1099-vs-w2" target="_blank" rel="noopener">1099 vs W-2 Calculator — RevenueLab</a> (2026).</p>
Source: [1099 vs W-2 Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/1099-vs-w2) (2026).