Quarterly Estimated Tax Calculator

For 2025, quarterly payments are due: Q1 (Jan-Mar income) on April 15, 2025; Q2 (Apr-May income) on June 16, 2025; Q3 (Jun-Aug income) on September 15, 2025; Q4 (Sep-Dec income) on January 15, 2026. If a due date falls on a weekend or holiday, the deadline moves to the next business day.

You should pay quarterly taxes if you expect to owe at least $1,000 when you file your return. This typically applies to self-employed individuals, freelancers, landlords, investors with significant gains, and anyone without adequate tax withholding from an employer.

Safe harbor protects you from underpayment penalties. You meet safe harbor if you pay either: (1) 90% of the current year's tax, OR (2) 100% of last year's tax (110% if your AGI exceeded $150,000). Meeting either threshold means no penalties, even if you still owe at filing.

Missing or underpaying quarterly taxes can result in an underpayment penalty, calculated based on the amount underpaid and how long it was underpaid. The penalty rate is the federal short-term rate plus 3%. However, if you meet safe harbor rules or owe less than $1,000, penalties are waived.

Add your expected income tax and self-employment tax, then subtract any withholding from W-2 jobs. Divide the remaining amount by 4 for equal quarterly payments. Use Form 1040-ES to submit payments to the IRS via mail, IRS Direct Pay, or EFTPS.

If your income varies significantly throughout the year (like seasonal businesses), you can use the annualized income installment method (Form 2210 Schedule AI) to calculate payments based on income actually earned each quarter, rather than equal quarterly amounts. This can reduce early payments if income is back-loaded.

If your income is higher than expected or you want to minimize your April tax bill, you can pay more than 1/4 of your estimated tax each quarter. There's no penalty for overpaying—you'll receive a refund or can apply the overpayment to next year's taxes.

You can pay quarterly taxes through: (1) IRS Direct Pay (free bank transfer at irs.gov), (2) EFTPS (Electronic Federal Tax Payment System), (3) Credit/debit card (processing fees apply), or (4) Mail a check with Form 1040-ES payment voucher. IRS Direct Pay is the fastest and free method.