Quarterly Tax Calculator Results
You don't need to make an estimated tax payment🍹
Sept 15th, 2019 Next payment due date
By making this quarterly tax payment, you'll avoid around
$230 in penalties! Frequently Asked Questions
What are quarterly taxes?
Quarterly tax payments are a way for the IRS to make sure you're withholding income when an employer isn't doing it for you. It requires paying part of your taxes four times a year, instead of all at once on April 15th.
Most independent contractors are
required to pay estimated taxes. The only exceptions are if you earn less than $12,000 per year, or if most of your income is from a full time (W2) job.
What's the penalty for not paying quarterly?
If you wait until the end of the year to file taxes, you’ll have to pay a penalty. In 2019, that penalty is
around 5% of your total tax payment, plus inflation. In total, that's about 7% interest.
How do I make quarterly taxes payments?
You can pay online with direct deposit. For Federal taxes, you can pay online:
here. Most states also allow you to pay online - you'll need to create an account on the State revenue service website.
There are also services that will file quarterly taxes for you, such as
How does the calculator work?
This calculator estimates your federal and state-level income tax, and then divides by four.
It uses the latest federal and state level tax brackets and standard deductions. If you indicate that you have a W2 job, the calculator assumes standard withholding allowances and subtracts your expected end-of-year refund from the end-of-year tax liability.
To simplify the experience, the following caveats should be noted:
Non-standard tax credits are not accounted for. Most notably, child and education expenses are not factored in. This means you will likely overpay slightly using the calculator's results but it's unlikely to be significant. The calculator assumes you take the standard deduction. With the Tax Cuts & Jobs act, this is fine for vast majority of Americans. If you have significant charitable, medical, or other personal itemized deductions then you will be overpaying. I have a different question