Prepayments the IRS requires when no employer withholds for you.
Pay as you earn or pay penalties: due mid-April, June, September, and January. The safe harbor — 100% of last year’s tax (110% if AGI > $150k) — makes the amount predictable.
Example: $24,000 expected tax = $6,000 per quarter.
FAQ
What is Quarterly Estimated Taxes in simple terms?
Pay as you earn or pay penalties: due mid-April, June, September, and January. The safe harbor — 100% of last year’s tax (110% if AGI > $150k) — makes the amount predictable.