Realtor Commission Tax Set-Aside Calculator
Just closed a deal? See how much of your commission to set aside for taxes before you spend it — so the next quarterly payment doesn't catch you off guard. Free, no sign-up.
Florida has no state income tax, so this set-aside is for federal income tax and self-employment tax only.
This is a planning estimate, not tax advice. Your real tax depends on your full-year income, filing status, deductions, and whether you've elected S-Corp status. We're bookkeepers, not tax preparers — work with a CPA for your filing.
How much should you set aside?
A reliable habit for self-employed agents is to move a fixed percentage of every commission into a separate savings account the moment it lands. For many agents, 25% to 30% of net commission covers federal income tax and self-employment tax together. The exact number depends on your tax bracket, your deductions — mileage, marketing, desk fees, and more — and whether you've elected S-Corp status, so the rate above lets you pick what fits your situation.
Why agents owe self-employment tax
Most agents are paid as 1099 independent contractors, which means no employer is withholding taxes for you. On top of regular federal income tax, you owe self-employment tax — 15.3% for Social Security and Medicare — on your net earnings. That second layer is what trips up newer agents who only budget for income tax. Setting money aside per deal, instead of scrambling at filing time, is what keeps your quarterly estimated payments painless.
This calculator is a planning tool, not tax preparation or advice. Your actual liability depends on your full-year income, filing status, and deductions. We keep your books clean so the numbers behind these decisions are accurate — for the filing itself, work with a CPA.
Frequently asked questions
Many self-employed agents set aside 25% to 30% of each commission for federal income tax and self-employment tax. The right percentage depends on your bracket, deductions, and whether you've elected S-Corp status — treat the result as a planning estimate, not tax advice.
No — Florida has no state personal income tax. Your set-aside is for federal income tax plus self-employment tax, which is why a flat 25% to 30% is often enough for Florida agents, though your federal bracket still drives the final number.
Agents paid on a 1099 owe self-employment tax — 15.3% for Social Security and Medicare — on net earnings, on top of federal income tax. Budgeting only for income tax is the most common reason agents come up short at filing time.
Usually yes. The IRS expects self-employed agents to pay estimated taxes four times a year. Moving a set percentage of every commission into a separate account as checks come in makes those quarterly payments painless.
Want commission income that's actually organized?
We keep real estate agents' books clean — commissions, splits, 1099 income, and deductions — so tax time is a non-event. Spanish-friendly support available.