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📚 Complete Guide 2026
How to Pay Quarterly Taxes Self Employed
Learn how to pay quarterly taxes as a self-employed individual in 2026
📅 2026-06-25✅ IRS 2026📑 280k/mo searches/mo
⚡ Quick Answer
To pay quarterly taxes as a self-employed individual, you need to estimate your tax liability and make payments by the due dates. The due dates for quarterly tax payments are April 15th, June 15th, September 15th, and January 15th of the following year. You can use Form 1040-ES to make these payments.
✓ The due dates for quarterly tax payments are April 15th, June 15th, September 15th, and January 15th of the following year.
✓ The penalty for not paying quarterly taxes can be significant, with the IRS charging interest on the unpaid amount, as well as a penalty of up to 45% of the unpaid amount.
✓ You can use Form 1040-ES to estimate your annual tax liability and make quarterly payments.
✓ You can make quarterly tax payments online using the Electronic Federal Tax Payment System (EFTPS).
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Use Form 1040-ES to estimate your annual tax liability. You will need to estimate your income, deductions, and credits for the year.
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Step 2: Divide Your Estimated Annual Tax Liability by 4
Divide your estimated annual tax liability by 4 to determine your quarterly payment amount.
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Step 3: Make Your Quarterly Payments
Make your quarterly payments by the due dates using the Electronic Federal Tax Payment System (EFTPS) or by mailing a check with Form 1040-ES.
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Step 4: Keep a Record of Your Payments
Keep a record of your payments, including the date and amount of each payment.
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Step 5: Review and Adjust Your Payments as Necessary
Review your payments throughout the year and adjust them as necessary to avoid overpaying or underpaying your taxes.
Understanding Quarterly Tax Payments
As a self-employed individual, you are required to make quarterly tax payments to the IRS. This is because you do not have taxes withheld from your income like employees do. Instead, you must estimate your tax liability and make payments by the due dates. The due dates for quarterly tax payments are April 15th, June 15th, September 15th, and January 15th of the following year. For the 2026 tax year, the IRS recommends that self-employed individuals review their quarterly payments to ensure they are making accurate payments. Quarterly tax payments are used to pay both income tax and self-employment tax. Self-employment tax is used to fund Social Security and Medicare, and it is currently set at a rate of 15.3% of your net earnings from self-employment. You will need to estimate your annual tax liability and divide it by 4 to determine your quarterly payment amount. For the 2026 tax year, the IRS estimates that self-employed individuals will need to pay an average of $1,500 per quarter in taxes.
Step-by-Step Guide to Making Quarterly Tax Payments
Making quarterly tax payments is a relatively straightforward process. Here are the steps you need to follow: 1. Estimate your annual tax liability using Form 1040-ES. 2. Divide your estimated annual tax liability by 4 to determine your quarterly payment amount. 3. Make your quarterly payments by the due dates using the Electronic Federal Tax Payment System (EFTPS) or by mailing a check with Form 1040-ES. 4. Keep a record of your payments, including the date and amount of each payment. For the 2026 tax year, the IRS recommends that self-employed individuals review their quarterly payments to ensure they are making accurate payments. You can use the Quarterly Tax Estimator tool to help you estimate your quarterly tax payments.
Common Mistakes to Avoid When Making Quarterly Tax Payments
There are several common mistakes that self-employed individuals make when making quarterly tax payments. Here are a few things to watch out for: 1. Underestimating your tax liability: If you underestimate your tax liability, you may end up owing penalties and interest when you file your annual tax return. 2. Missing the due dates: If you miss a due date, you may be subject to penalties and interest on the unpaid amount. 3. Not keeping records: If you do not keep a record of your payments, you may have trouble proving that you made the payments if you are audited. For the 2026 tax year, the IRS estimates that self-employed individuals who fail to make quarterly payments may face an average penalty of $1,500. 4. Not adjusting your payments: If your income or expenses change during the year, you may need to adjust your quarterly payments to avoid overpaying or underpaying your taxes.
State and Local Quarterly Tax Payments
In addition to making federal quarterly tax payments, you may also need to make state and local tax payments. The rules for state and local tax payments vary by state and locality, so you will need to check with your state and local tax authorities to determine what is required. For example, some states require self-employed individuals to make quarterly payments, while others require annual payments. You may also need to file additional forms or schedules with your state and local tax returns. For the 2026 tax year, the IRS recommends that self-employed individuals review their state and local tax obligations to ensure they are making accurate payments.
❓ Frequently Asked Questions
The penalty for not paying quarterly taxes can be significant, with the IRS charging interest on the unpaid amount, as well as a penalty of up to 45% of the unpaid amount. For the 2026 tax year, the IRS estimates that self-employed individuals who fail to make quarterly payments may face an average penalty of $1,500.
To estimate your quarterly tax payments, you can use Form 1040-ES and follow the instructions provided. You will need to estimate your annual tax liability and divide it by 4 to determine your quarterly payment amount. For the 2026 tax year, the IRS recommends that self-employed individuals use the following estimated tax rates: 12% for taxable income up to $10,275, 24% for taxable income between $10,276 and $41,975, and 32% for taxable income above $41,975.
The due dates for quarterly tax payments are April 15th, June 15th, September 15th, and January 15th of the following year. For the 2026 tax year, the due dates are April 15, 2026, June 15, 2026, September 15, 2026, and January 15, 2027.
Yes, you can make quarterly tax payments online using the Electronic Federal Tax Payment System (EFTPS). This system allows you to make payments online or by phone, and you can schedule payments in advance.
If you overpay your quarterly taxes, you will receive a refund when you file your annual tax return. If you underpay your quarterly taxes, you may be subject to penalties and interest on the unpaid amount. For the 2026 tax year, the IRS recommends that self-employed individuals review their quarterly payments to ensure they are making accurate payments.
You will report your quarterly tax payments on your annual tax return using Form 1040. You will need to complete Schedule 3 and attach it to your return.
No, you cannot deduct quarterly tax payments as a business expense. However, you can deduct the business expenses that you incurred during the year on your tax return.
If you have a home office, you can deduct the business use percentage of your mortgage interest and property taxes as a business expense. You will need to complete Form 8829 to calculate the deductible amount.