Estimated Tax Payment Calculator
Calculate your quarterly estimated tax payments for 1099 independent contractors, freelancers, and small business owners.
Recommended Quarterly Payment$2,702.50
Remaining Tax Owed$10,810.00
Total Estimated Tax$12,810.00
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.