Local sperm competition (LSC), which occurs when related sperm compete for access to a given set of eggs, can influence sex allocation (SA) in simultaneous hermaphrodites. Different factors that have been predicted to affect LSC—and hence, optimal SA—include the mating strategy (such as reciprocal mating vs. hypodermic insemination) and the ability to self-fertilize. Moreover, the level of LSC experienced could vary temporally and/or spatially, favouring the evolution of SA plasticity. However, it is unknown how the mating strategy and ability to self-fertilize can influence SA and SA plasticity. Here, we explored this by collecting estimates of SA and SA plasticity for seven species of the flatworm genus, Macrostomum, and performing analyses while controlling for phylogeny. While we found substantial interspecific variation in SA, neither the mating strategy nor the ability to self-fertilize had a significant effect on SA. Next, we estimated standardized effect sizes for SA plasticity in response to i) the presence of mating partners and ii) the strength of LSC for each species, and tested if the mating strategy or ability to self-fertilize predicted these effect sizes. We found considerable interspecific variation in SA plasticity, with some species being highly plastic and others showing no significant plasticity. Moreover, self-fertilization predicted SA plasticity with respect to the presence of mating partners, with SA plasticity being lower for self-fertilizing species. Finally, we showed that interspecific variation in SA is nearly three times higher than intraspecific variation, suggesting that SA estimates in field-collected specimens can, at least to some degree, be interpreted as representing interspecific rather than intraspecific variation. Our study suggests that both SA and SA plasticity can evolve rapidly, with self-fertilization being an important predictor for the latter in Macrostomum.