A Brazilian freelancer faces a fork in the road: invoice as a PJ under Simples Nacional (one unified monthly tax on revenue) or as an autônomo (INSS plus progressive income tax, with the client often withholding at source). The Simples route is famous for being cheap — and at low revenue it genuinely is — but its progressive table climbs fast, and past a certain revenue the autônomo route, with its deductions, can actually win. The crossover surprises almost everyone who runs the numbers for the first time.

Enter your monthly revenue in R$ and pick your Simples annex (III for most knowledge services with payroll, IV for construction-like and certain professional services). The calculator computes your Simples effective rate and monthly tax from the official progressive table, then computes the autônomo alternative (11% INSS plus the progressive IRPF table) and shows which regime leaves more in your pocket.

Reported tables — not live Receita data. The Simples Nacional annex tables (from LC 155/2016) are: Anexo III — 6.00% to R$180k, 11.20% to R$360k, 13.50% to R$720k, 16.00% to R$1.8M, 21.00% to R$3.6M, 33.00% to R$4.8M (with parcelas a deduzir); Anexo IV — 4.50% to R$180k, 9.00% to R$360k, 10.20% to R$720k, 14.00% to R$1.8M, 22.00% to R$3.6M, 33.00% to R$4.8M. The IRPF monthly table used here is the latest published table (exempt to R$2,259.20; 7.5% to R$2,826.65; 15% to R$3,751.05; 22.5% to R$4,664.68; 27.5% above, with standard deductions). INSS autônomo is modeled at a flat 11% of revenue (the real rule has a contribution salary with floor and ceiling — this is a simplification). These tables are long-lived, but Brazil reforms tax rules regularly and the income-tax exemption debate is active — confirm current tables at receita.fazenda.gov.br before acting (see sources).

Estimate only — not tax advice. This models a single freelancer with stable monthly revenue. It does not model the Fator R (the 28% payroll-ratio test that decides whether your service activity falls in Anexo III or V), ISS municipal variations, RPA withholding mechanics, deductible expenses under lucro real, or the proposed income-tax reform. Talk to a contador before registering or switching regimes.

Methodology: Simples effective rate = (RBT12 × nominal rate − parcela a deduzir) ÷ RBT12, where RBT12 = monthly revenue × 12 (stable-revenue assumption). Monthly Simples tax = revenue × effective rate. Autônomo: INSS = 11% × revenue; IRPF base = revenue − INSS; IRPF = progressive monthly brackets − standard deduction parcela; total autônomo tax = INSS + IRPF. Net = revenue − tax in each case. The cheaper regime is the one with the lower total.

Key takeaways

  • At R$8,000/month, Simples Anexo III costs about R$480/month (6%) while the autônomo route costs roughly R$1,940 — Simples wins by over R$1,400/month at low revenue.
  • The Simples table is progressive: as annual revenue climbs past R$360k, the effective rate jumps toward 11–13% and the autônomo comparison tightens.
  • Anexo III vs IV matters: construction-like and certain professional services fall in IV, which starts cheaper (4.5%) but climbs faster.
  • The Fator R decides annex placement for many services: if your payroll (including pró-labore) is under 28% of revenue, you may land in Anexo V at higher rates — this tool does not model it.
  • Autônomo revenue suffers withholding at source (RPA) — the client withholds IR and INSS and you settle the difference; cash-flow timing differs from Simples' single DAS.
  • Tables here are reported 2026 values; Brazil's tax reform debate is live. Verify at receita.fazenda.gov.br and confirm with a contador.

Average monthly billing. RBT12 is estimated as this × 12 (stable-revenue assumption).

Fator R may move some services to Anexo V — confirm with a contador.

Simples monthly tax—
Simples effective rate—
Net — Simples—
Autônomo monthly tax—
Autônomo effective rate—
Net — Autônomo—
Which regime wins?—

How it works

  1. Enter your average monthly revenue in reais.
  2. Pick your Simples annex: III for most knowledge services, IV for construction-like and certain professional services.
  3. Read the Simples line: the effective rate from the official progressive table applied to your annualized revenue, as a monthly DAS-style figure.
  4. Read the autônomo line: 11% INSS plus the progressive IRPF table applied to revenue minus INSS — the all-in individual route.
  5. Compare the nets: the verdict names the cheaper regime and by how much per month and year.
  6. Before switching, confirm your annex placement (Fator R), your ISS municipality rules, and the live tables at receita.fazenda.gov.br — with a contador.

Worked example

Worked example — defaults (R$8,000/mo, Anexo III):

  • RBT12: R$8,000 × 12 = R$96,000 → first Anexo III band: 6.00%, no deduction → effective 6.00%
  • Simples tax: R$8,000 × 6% = R$480/mo (R$5,760/yr) → net R$7,520/mo
  • Autônomo: INSS R$880 + IRPF base R$7,120 → 27.5% × R$7,120 − R$896 = R$1,062 → total R$1,942/mo → net R$6,058/mo
  • Verdict: Simples wins by about R$1,462/mo — R$17,544/year. At low revenue this is not close.

Second example — mid revenue (R$20,000/mo, Anexo III): RBT12 = R$240,000 → 11.20% band, PD R$9,360: effective = (240,000 × 11.2% − 9,360) ÷ 240,000 = 7.30% → tax R$1,460/mo, net R$18,540. Autônomo: INSS R$2,200 (simplified; in reality capped at the ceiling, which softens this) + IRPF 27.5% × R$17,800 − R$896 = R$3,999 → total R$6,199, net R$13,801. Simples still wins by ~R$4,739/mo — the gap widens before it narrows.

Third example — high revenue (R$60,000/mo, Anexo III): RBT12 = R$720,000 → 13.50% band: effective = (720,000 × 13.5% − 17,640) ÷ 720,000 = 11.05% → tax R$6,630/mo. Autônomo: INSS (capped in reality — the flat 11% here overstates) + IRPF on ~R$53,400. The comparison is now genuinely contestable, and with real deductions (health plan, previdência, dependents) the autônomo or lucro-presumido route can overtake Simples. This is the revenue band where a contador earns their fee.

Fourth example — Anexo IV at R$8,000/mo: first band 4.50% → tax R$360/mo, net R$7,640. Slightly cheaper than Anexo III at low revenue — but IV climbs to 22% by R$3.6M while III tops at 21%, and the Fator R can push III-eligible activities into Anexo V (15.5% starting rate). Annex placement is not a choice; it is a classification. Get it right before you optimize.

Fifth example — the R$4.8M ceiling: at R$400,000/mo, RBT12 = R$4.8M exactly — the last Simples band at 33% effective ≈ 33% − deductions ≈ ~19.5%+. One real over the line and Simples is gone: lucro presumido (roughly 11.33% IRPJ/CSLL on services + PIS/COFINS + ISS) or lucro real. The calculator flags this explicitly — the most expensive tax mistake in Brazil is drifting past a regime boundary without noticing.

Frequently asked questions

What is Simples Nacional?

A unified simplified tax regime for small businesses (faturamento up to R$4.8M/year). Instead of separate IRPJ, CSLL, PIS, COFINS, INSS-patronal and ISS/ICMS filings, you pay one monthly DAS calculated from your gross revenue through a progressive table. For freelancers operating as PJ (usually a "SLU" or "EI"), it is the default starting regime — cheap at low revenue, progressively less so as you grow.

What is the difference between Anexo III, IV and V?

They are the service-activity tables inside Simples, with different rate ladders. Anexo III covers most services (starting 6%); Anexo IV covers construction, cleaning, surveillance and certain professions (starting 4.5%, climbing faster); Anexo V covers other listed services at higher rates (starting 15.5%) — unless the Fator R test (payroll ≥ 28% of revenue) pulls the activity back into Anexo III. Your CNAE and your payroll structure decide; a contador classifies it.

What is the Fator R?

The 28% payroll-to-revenue test that decides whether some service activities are taxed under Anexo III or Anexo V. If your payroll (salaries + pró-labore + INSS) is at least 28% of the last 12 months' revenue, you get Anexo III rates; below that, Anexo V applies — roughly 9.5 points higher at the first band. This single ratio is why many freelancers pay themselves a higher pró-labore: it can be cheaper than the tax it avoids. This calculator does not model Fator R — confirm your placement with a contador.

What does it mean to work as autônomo?

You invoice as an individual (pessoa física), typically via RPA (recibo de pagamento autônomo). The client withholds INSS (11%) and IR at source, and you settle the annual IRPF return. There is no CNPJ, no DAS, no Simples — but also no limited liability and no access to PJ-only clients. Roughly: cheap to start, expensive at scale, and some corporate clients simply will not hire autônomos.

How is the Simples effective rate calculated?

(RBT12 × nominal rate − parcela a deduzir) ÷ RBT12. Your rate depends on the trailing twelve months' revenue, not the current month — so a great quarter raises your rate for the next twelve months. The calculator assumes stable revenue (RBT12 = monthly × 12); if your revenue is lumpy, compute with your actual trailing twelve months for the true rate.

What is INSS for an autônomo?

A social-security contribution on your contribution salary. The standard autônomo rate is 11% (20% for some categories, 5% for MEI), applied to a declared contribution salary between the minimum wage floor and the INSS ceiling — not literally to every real of revenue. This calculator simplifies to 11% of revenue, which overstates INSS at high revenue (where the ceiling binds) and is exact-ish at low revenue. Real ceiling and floor values change yearly; confirm at gov.br.

What is RPA withholding?

When a company pays an autônomo, it withholds INSS and IR at source and issues an RPA. You receive the net; the withheld amounts are credits against your annual IRPF. Practically this means autônomo cash flow arrives pre-taxed — good for discipline, but your quoted rate must be the gross one, and you need to track withholdings to avoid double-paying at year end.

When should a freelancer leave Simples?

Usually when the Simples effective rate persistently exceeds what lucro presumido or a well-deductioned autônomo/lucro real structure would cost — often somewhere past R$40–60k/month for services, but it varies wildly by activity and deductions. The other trigger is the R$4.8M ceiling: cross it and you leave involuntarily. The right move is an annual regime review with a contador, not a one-time decision — this calculator is the screening tool, not the verdict.

Do freelancers pay ISS?

Inside Simples, ISS is bundled into the DAS (one of its component taxes, varying by municipality inside the table). Outside Simples, ISS is municipal — typically 2–5% on services, rules set by your city. São Paulo, for example, has its own service-tax quirks. Municipal variation is one more reason the autônomo/Simples comparison needs local confirmation.

What about the proposed income-tax reform?

Brazil has an active debate about raising the IRPF exemption (proposals up to R$5,000/month) and adjusting brackets. If enacted, it would shift the autônomo side of this comparison significantly at low-to-mid revenue. The IRPF table in this calculator is the latest published one — treat reform headlines as a reason to re-run the numbers, not as current law, until the Receita publishes new tables.

Can a foreign client hire a Brazilian freelancer under Simples?

Yes — a PJ can invoice foreign clients, and export of services has specific tax treatment (some Simples components are reduced or excluded for exports). The mechanics (nota fiscal de serviços for export, currency conversion, IR on foreign income) add layers this calculator does not model. If most of your revenue is foreign, get export-specific advice — the effective rate can differ materially from the domestic table.

How reliable are these numbers?

Structurally sound, parametrically reported. The annex rate ladders come from LC 155/2016 (long-lived); the IRPF monthly brackets and the INSS simplification are the latest published values as verified 2026-09-25. What moves: IRPF reform, INSS floor/ceiling annual updates, ISS municipal rules, and your Fator R. Verify at receita.fazenda.gov.br and confirm regime choice with a contador before registering or switching.

Sources

Last verified: 2026-09-25 This calculator is for general information only and is not tax advice. Tax rules change frequently — verify with a qualified professional before acting.

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