1099 vs W-2 · Arizona

1099 vs W-2 Calculator Arizona — $100K Salary

Compare take-home pay for a $100K salary in Arizona after federal income tax, state tax, self-employment tax, and the QBI deduction. Find your breakeven 1099 hourly rate.

Compare Your Offers

$
$/hr

Default: 40 hrs/week

Default: 52 weeks/year

Breakeven Hourly Rate

The minimum 1099 rate to match your W-2 offer

$49.15/hr

Side-by-Side Comparison

1099 pays more

Difference: $22,092.73 per year

W-2

$76,444.75

1099

$98,537.48

Tax Breakdown

Gross Income
W-2$100,000.00
1099$135,200.00
Federal Income Tax
W-2$13,614.00
1099$14,388.12
FICA / Self-Employment Tax
W-2$7,650.00
1099$19,103.15
Arizona State Tax
W-2$2,291.25
1099$3,171.25
QBI Deduction
W-2N/A
1099-$22,129.68
Total Tax
W-2$23,555.25
1099$36,662.52
After-Tax Income
W-2$76,444.75
1099$98,537.48

Qualified Business Income (QBI) deduction: up to 20% of 1099 net business income — a tax advantage unique to independent contractors.

$100K Salary in Arizona — Pre-computed Comparison

W-2 gross income: $100000.00

W-2 after-tax income: $76444.75

W-2 total tax: $23555.25

W-2 effective tax rate: 24.0%

W-2 federal tax: $13614.00 (13.6% effective)

W-2 state tax (Arizona): $2291.25

1099 gross income: $135200.00

1099 after-tax income: $98537.48

1099 total tax: $36662.52

1099 effective tax rate: 27.0%

1099 self-employment tax: $19103.15

QBI deduction: $22129.68

Breakeven hourly rate: $49.15

Conclusion: 1099 is better by $22092.73