For many of you who are self-employed, you need to keep in mind that you should make quarterly tax payments. This means that every quarter you need to send your payment to the IRS. You can pay online, by phone, in-person, pay with a credit or debit card, via mobile phone, or by check or money order. A Form 1040-ES is used for the payments. If you are mailing it in, you will have quarterly vouchers to mail-in.
Whichever option you choose, you need to make your payments by the following dates or face a penalty:
You can pay all of your estimated tax by April 15, 2021, or in four equal amounts by the dates shown below.
1st payment …………….. April 15, 2021
2nd payment ……………. June 15, 2021
3rd payment …………….. Sept. 15, 2021
4th payment …………….. Jan. 18, 2022*
* You don’t have to make the payment due January 18, 2022, if you file your 2021 tax return by January 31, 2022, and pay the entire balance due with your return.
When you are self-employed, you are responsible for your withholdings. You don’t have an employer who is going to withhold taxes, social security, state income taxes, etc. from your paycheck. You have to do it yourself.