QBI Deduction Calculator (Section 199A)
Estimate the 20% qualified business income deduction with wage limits and the SSTB phase-out.
Runs in your browser. Your files never leave your device. See how to check
…
How to do it
- 1Step 1: Open QBI Deduction Calculator (Section 199A) and add your input
Type your numbers or text, add your file, or pick the options you need. Nothing is uploaded: everything stays in your browser.
- 2Step 2: What QBI Deduction Calculator (Section 199A) does
Estimate the 20% qualified business income deduction with wage limits and the SSTB phase-out.
- 3Step 3: Read the result and compare
The result appears at once. Change one value to see how the answer moves, then keep the figure that fits your case.
- 4Step 4: Copy or save it
Copy the result or download it. For an important decision, confirm it with the official source or an adviser.
About this tool
Enter your taxable income, qualified business income, the W-2 wages and property of the business, and whether it is a specified service business (SSTB). The calculator shows which zone you are in, the wage and property limit, the 20% of taxable income cap and the deduction.
The basic rule
Owners of pass-through businesses can deduct up to 20% of qualified business income. The deduction cannot exceed 20% of taxable income after net capital gains.
Above the threshold
The threshold is $201,775 for single filers in 2026 ($403,550 married filing jointly), and $197,300 and $394,600 in 2025. Above it the deduction is limited to the greater of 50% of W-2 wages, or 25% of wages plus 2.5% of the unadjusted basis of qualified property. The phase-in range is $75,000 ($150,000 joint) from 2026, and $50,000 ($100,000 joint) in 2025.
Service businesses
For an SSTB such as a law, health or consulting practice, the deduction phases out fully at the top of the range. The tool uses the phase-in formulas for both cases. Aggregation, REIT dividends and loss carryovers are not modeled.
Worked example
Single in 2026, taxable income $180,000, $120,000 of qualified business income: below the $201,775 threshold the deduction is 20% × $120,000 = $24,000, saving $5,760 at 24%. At $220,000 with $40,000 of wages the deduction becomes about $23,028 for a normal business and about $17,433 for an SSTB.
Tips for best results
Check every box before you rely on a result, because one wrong digit changes the whole answer. Use the exact figures from your payslip, bill, certificate or contract, and keep a note of the date you calculated. Rates, thresholds and rules change from time to time, so for tax, fees and legal matters treat the output as an estimate and confirm with the official source named on this page. You can run as many scenarios as you like; nothing is saved or sent, and refreshing the page clears the boxes.
Quick facts
- Category: UK & US
- Works in your browser, no sign-up, no upload.
- Your input stays on your device.
- Available in English.
- Content last reviewed:
Frequently asked questions
Does everyone get the full 20%?
Not above the income threshold. Then wages and property limits apply, and service businesses lose the deduction.
What taxable income do I enter?
Taxable income before the QBI deduction, after the standard or itemized deduction.
Does it include the minimum deduction?
No. A small minimum deduction for larger businesses is not modeled.
Is it available to employees?
No, only to income from a business you own, such as a sole proprietorship, partnership or S corporation.