W-2 salary to 1099 hourly rate: 2026 conversion table
Short answer: In 2026 a W-2 salary of $100,000 is worth about $69.06/hr as a 1099 contractor ($124,308 a year), 1.44× the W-2 hourly wage. Across $50,000–$250,000 salaries the break-even 1099 rate is 1.30–1.63× the W-2 hourly wage, with the multiple generally shrinking as pay rises. Single filer, typical benefits, no state income tax.
Assumptions (calculator defaults): 40 hours/week, 48 weeks, 15 days off (paid on the W-2 job, unpaid as a contractor), employer health premium $550/month, 4% 401(k) match, $480/month self-paid health insurance, no business expenses, not a specified service business. W-2 hourly = salary ÷ 2,080. Break-even is the 1099 rate whose after-tax take-home equals W-2 take-home plus the employer health premium and 401(k) match. Click a salary to open it in the calculator. Download the data as CSV.
Break-even 1099 rate by W-2 salary (2026)
Texas, so no state income tax: the numbers show the federal income tax and self-employment tax effect only. "Married" means married filing jointly with one earner.
| W-2 salary | W-2 hourly | 1099 rate, single | 1099 rate, married | 1099 annual, single | Multiple |
|---|---|---|---|---|---|
| $50,000 | $24.04 | $39.26 | $39.47 | $70,668 | 1.63× |
| $60,000 | $28.85 | $45.35 | $45.63 | $81,630 | 1.57× |
| $70,000 | $33.65 | $51.23 | $51.72 | $92,214 | 1.52× |
| $80,000 | $38.46 | $57.18 | $57.81 | $102,924 | 1.49× |
| $90,000 | $43.27 | $63.12 | $63.90 | $113,616 | 1.46× |
| $100,000 | $48.08 | $69.06 | $69.99 | $124,308 | 1.44× |
| $110,000 | $52.88 | $75.00 | $76.08 | $135,000 | 1.42× |
| $120,000 | $57.69 | $80.94 | $82.17 | $145,692 | 1.40× |
| $130,000 | $62.50 | $86.76 | $88.26 | $156,168 | 1.39× |
| $140,000 | $67.31 | $92.55 | $93.84 | $166,590 | 1.37× |
| $150,000 | $72.12 | $98.46 | $99.34 | $177,228 | 1.37× |
| $160,000 | $76.92 | $104.36 | $105.28 | $187,848 | 1.36× |
| $170,000 | $81.73 | $110.27 | $111.19 | $198,486 | 1.35× |
| $180,000 | $86.54 | $115.50 | $116.36 | $207,900 | 1.33× |
| $190,000 | $91.35 | $120.87 | $121.76 | $217,566 | 1.32× |
| $200,000 | $96.15 | $126.50 | $127.36 | $227,700 | 1.32× |
| $210,000 | $100.96 | $132.06 | $132.95 | $237,708 | 1.31× |
| $220,000 | $105.77 | $138.00 | $138.55 | $248,400 | 1.30× |
| $230,000 | $110.58 | $144.25 | $144.15 | $259,650 | 1.30× |
| $240,000 | $115.38 | $151.05 | $149.74 | $271,890 | 1.31× |
| $250,000 | $120.19 | $159.45 | $155.30 | $287,010 | 1.33× |
Break-even 1099 rate by state (2026, single)
State income tax applies to both sides of the comparison, so it barely moves the break-even rate: at most $0.83 an hour between the highest- and lowest-tax state at these salaries. Local income taxes are not included. More detail on the state comparison page.
How to use this table
- Find your W-2 offer, read across to the 1099 rate. A contract rate below it leaves you worse off than the job; above it, the contract pays more.
- Your number moves with benefits, hours and time off. A richer health plan or bigger 401(k) match raises the break-even rate; business expenses you would have anyway lower it.
- Rates use 2026 IRS brackets and standard deduction (Rev. Proc. 2025-32), the $184,500 Social Security wage base (SSA), the QBI deduction and 2026 state tax tables. Formulas are on the methodology page.
Run your own numbers, then use “Copy link to these numbers” under the results to bookmark or share them.
FAQ
What is a $100,000 salary as a 1099 hourly rate?
About $69.06/hr in 2026 (single, Texas, typical benefits), or $124,308 for the year. In California it is $69.89/hr and in New York $69.56/hr.
What 1099 rate equals a $60,000 W-2 salary?
About $45.35/hr, or 1.57× the $28.85 W-2 hourly wage.
What 1099 rate equals a $150,000 or $200,000 W-2 salary?
About $98.46/hr for $150,000 and $126.50/hr for $200,000 (single, no state income tax).
Why is the multiple lower at higher salaries?
Fixed costs such as health insurance and unpaid time off are a smaller share of a large salary, and Social Security tax stops at the $184,500 wage base, so the 1099 premium needed generally shrinks as pay rises.
Open the W-2 vs 1099 calculator
Related: 1099 break-even rate · Salary to 1099 rate table · 2026 self-employment tax · 2026 estimated tax due dates · State comparison · Methodology & sources