What Are Self-Employment Taxes? 😧
When you're self-employed or freelancing, taxes aren’t automatically deducted from your earnings like in a regular job. But the IRS and your state still expect their share. That’s why you need to make quarterly estimated tax payments.
How Quarterly Estimated Tax Payments Work 🤔
The IRS requires self-employed individuals to pay taxes four times a year. The tricky part? The quarters aren't evenly divided:
Q1: January 1 - March 31 (3 months)
Q2: April 1 - May 31 (2 months)
Q3: June 1 - August 31 (3 months)
Q4: September 1 - December 31 (4 months)
These uneven quarters mean that the second quarter is shorter (2 months), and the fourth quarter is longer (4 months). It’s important to follow these deadlines to avoid penalties.
How WorkMade Helps You 😎
Tracking Deadlines 📆
We keep an eye on all IRS deadlines, so you don’t have to.
Automated Payments 🏦
WorkMade helps you make payments to both the IRS and your state (if needed).
Setting Money Aside 📌
Each time you earn, we automatically save the right amount for your taxes.
With WorkMade handling your tax payments, you can avoid penalties and reduce stress, keeping you on track all year long.
📓 Each tax situation is unique. WorkMade provides general info based on guidelines from tax authorities, which may change over time. For more details, refer to Regulation CC.