Estimated Tax Payment Calculator
Calculate your quarterly estimated tax payments for 1099 independent contractors, freelancers, and small business owners.
Understanding Estimated Taxes
The US tax system is "pay-as-you-go". If you are a W-2 employee, your employer withholds taxes from every paycheck. If you are self-employed, a freelancer, or have significant investment income, you are required to make quarterly estimated tax payments directly to the IRS.
When Are Payments Due?
Estimated tax payments are typically due four times a year: April 15, June 15, September 15, and January 15 of the following year.
Worked Example
- Expected Income: $100,000
- Estimated Deductions: $14,600 (Standard Deduction)
- Taxable Income = $85,400
- Estimated Effective Tax Rate: 15%
- Total Estimated Tax = $12,810
- Quarterly Payment = $12,810 / 4 = $3,202.50.
Frequently Asked Questions
What happens if I don't pay quarterly taxes?
If you owe more than $1,000 in taxes when you file your return and you did not make adequate estimated payments, the IRS will assess an underpayment penalty and charge interest on the amount owed.
Disclaimer: This calculator is for educational and informational purposes only. It is not a substitute for professional financial advice. Results are estimates based on the information provided and may not reflect actual outcomes. Please consult with a qualified financial advisor, accountant, or tax professional before making any financial decisions. Past performance does not guarantee future results.