Quarterly Tax Checklist
Stay on top of your quarterly estimated taxes. Track income, organize expenses, and never miss a payment deadline.
If you're self-employed, a freelancer, or have significant non-wage income, quarterly estimated taxes are your responsibility. Missing payments can result in penalties of 8%+ annually—money better kept in your pocket.
This quarterly checklist helps you track income, document expenses, and make timely payments. Complete it each quarter to stay organized and penalty-free.
🫙 The Tax Savings Jar
As a self-employed person, you are your own payroll department. Every time you receive payment, immediately move 25-30% to a separate "Tax Jar" savings account.
Why 25-30%? Self-employment tax alone is 15.3% (Social Security + Medicare), plus federal income tax (10-37% depending on bracket). Setting aside 25-30% ensures you're never caught short at payment time.
Quarterly Tax Deadlines
Q1 (Jan-Mar): Payment due April 15 Q2 (Apr-May): Payment due June 15 Q3 (Jun-Aug): Payment due September 15 Q4 (Sep-Dec): Payment due January 15 (following year)
Note: If the deadline falls on a weekend or holiday, the deadline moves to the next business day.
Pro tip: Set calendar reminders 2 weeks before each deadline to give yourself time to calculate and pay.
How to Calculate Quarterly Taxes
Method 1: Annualized Income Method
- Estimate your total annual income and deductions
- Calculate total tax owed (use tax software or Form 1040-ES)
- Divide by 4 for equal quarterly payments
Method 2: Current Quarter Method
- Calculate actual income for the quarter
- Estimate deductions for the quarter
- Apply tax rates to net income
Safe Harbor Rule: To avoid penalties, pay either:
- 100% of last year's tax liability (110% if AGI > $150k), OR
- 90% of current year's tax liability
Common Deductions for Self-Employed
Home Office: Simplified method: $5/sq ft up to 300 sq ft ($1,500 max). Regular method: actual expenses based on office percentage.
Vehicle: 67 cents/mile (2024) for business use. Keep a mileage log!
Health Insurance: Self-employed health insurance premiums are 100% deductible.
Retirement Contributions: SEP-IRA (up to 25% of net self-employment income) or Solo 401(k).
Professional Services: Accounting, legal, consulting fees.
Business Insurance: Liability, E&O, and professional insurance premiums.
Equipment & Software: Computers, software subscriptions, office equipment. Consider Section 179 for immediate deduction.
Frequently Asked Questions
Generally, if you expect to owe $1,000+ in taxes after withholding (for individuals) or $500+ (for corporations), you should pay quarterly. This includes freelancers, self-employed individuals, landlords with rental income, and those with significant investment income.