New York Side Hustle Tax Calculator
Calculate your New York state tax (6.85%), federal tax, and self-employment tax on 1099 income.
Last updated: January 2026 · Data from IRS Rev Proc 2024-40
New York side hustlers face some of the highest combined tax burdens in the country. Between federal taxes, New York State income tax (4% to 10.9%), and New York City's additional tax for city residents (up to 3.876%), freelancers in the Empire State need to plan carefully. Over 2 million New Yorkers earn gig or freelance income, making tax planning essential.
How Side Hustle Taxes Work in New York
New York has a progressive income tax system with eight brackets, plus New York City has its own income tax for residents.
New York State tax rates (2025): - 4% on income up to $8,500 (single) - 4.5% to 6.85% on middle incomes - 9.65% to 10.9% on high incomes ($1M+)
**NYC residents pay additional tax:** - 3.078% to 3.876% on top of state rates - This means NYC freelancers can face combined state/city rates up to 14.8%
Important: New York taxes all income earned by residents, regardless of where the work is performed.
What New York Side Hustlers Owe
Let's say you're a single filer in NYC with a $70,000 W-2 job and $18,000 in side hustle income from freelance consulting, with $2,500 in expenses.
**Your estimated taxes on the side hustle:** - Net self-employment income: $15,500 - Federal SE tax (15.3% of 92.35%): ~$2,192 - Federal income tax on side income: ~$3,410 (22% bracket) - NY State tax: ~$1,062 (6.85% bracket) - NYC tax (if applicable): ~$477 (3.078%) - **Total additional tax: ~$7,141** (or $6,664 outside NYC)
This is roughly 46% of your net side hustle income. The NYC tax alone adds nearly $500 to your bill.
New York Tax Deadlines 2025
New York follows federal quarterly deadlines for estimated payments: - **Q1**: April 15, 2025 - **Q2**: June 16, 2025 - **Q3**: September 15, 2025 - **Q4**: January 15, 2026
Use Form IT-2105 for New York State estimated tax payments. NYC residents use the same form—city tax is calculated together with state tax.
Common Deductions for New York Freelancers
Key deductions for New York freelancers: - New York generally follows federal deduction rules - Home office expenses are deductible - Business travel and transportation - Professional memberships and subscriptions - Equipment depreciation - Note: NY doesn't allow itemized deductions for most taxpayers under $100K—you'll use the standard deduction
New York Side Hustle Tax FAQ
Do I pay NYC tax on my side hustle if I live in NYC?
Yes, NYC residents pay both New York State income tax (4-10.9%) AND NYC income tax (3.078-3.876%) on all income, including side hustle earnings.
What is New York's self-employment tax rate?
New York doesn't have a separate self-employment tax. You pay federal SE tax (15.3%) plus New York State income tax (4-10.9%) and NYC tax if applicable on your side hustle income.
Can I deduct side hustle expenses on my New York taxes?
Yes, business expenses that reduce your federal taxable income will also reduce your New York taxable income. This includes home office, supplies, mileage, and other ordinary business expenses.
Side Hustle Calculators by State
More states coming soon. Use the main calculator for all 50 states.
Ready to calculate your taxes?
This calculator provides estimates only. For personalized advice, consult a qualified tax professional.
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