Form 1040-ES: Estimated Taxes
The US tax system is "pay as you go." If you have income not subject to withholding (like 1099-NEC work, stock sales, or a business), you must pay quarterly.
When are they due?
| Payment Period | Due Date |
|---|---|
| Jan 1 – Mar 31 | April 15 |
| Apr 1 – May 31 | June 15 |
| Jun 1 – Aug 31 | September 15 |
| Sep 1 – Dec 31 | January 15 (next year) |
The Safe Harbor Rule
To avoid underpayment penalties, you must pay either:
- 90% of the tax shown on your current year's return, OR
- 100% of the tax shown on your prior year's return (110% if your AGI was over $150,000).
If you meet one of those criteria, you won't be penalized, even if you still owe money on April 15th.