Quarterly Taxes: What to Pay, When to File, and How to Stay Ready

If you're self-employed or run a small business, the IRS expects you to pay taxes quarterly not just once a year. But many entrepreneurs don’t know what they owe, when it's due, or how to plan for it. Missing these deadlines could lead to penalties, interest, and an unexpected tax bill.

At Simple Books Solutions, we help business owners stay compliant and financially prepared. This guide breaks down the essentials so you can stop stressing and start planning.

What Are Quarterly Taxes?

Quarterly taxes are estimated payments you make to the IRS four times a year. If you earn income that isn’t subject to withholding (like business income, freelance work, or rental income), you’re likely required to pay these taxes throughout the year.

These payments cover:
-Federal income tax
-Self-employment tax (Social Security + Medicare)
-State income tax (if applicable)

Rule of Thumb: If you expect to owe $1,000 or more in taxes for the year, the IRS generally requires quarterly payments.

What Do You Need to Pay?

Your quarterly payment typically includes:
- Income tax based on your projected earnings
- Self-employment tax, currently 15.3% of net profit
- Any state or local estimated tax requirements

Example:
If your business earns $80,000 and has $20,000 in expenses, your net income is $60,000. You’d estimate your:
- Income tax (based on your tax bracket)
- Self-employment tax (approx. $9,180)
- Divide by 4 = your quarterly estimate

When Are Quarterly Taxes Due?

The IRS sets four due dates each year:


Q1: Jan 1 – Mar 31 → Due April 15
Q2: Apr 1 – May 31 → Due June 15
Q3: Jun 1 – Aug 31 → Due Sept 15
Q4: Sep 1 – Dec 31 → Due Jan 15 (next year)

If a due date falls on a weekend or holiday, it moves to the next business day.

How to Estimate and Pay Quarterly Taxes

1. Project Your Annual Income
Start with your current income and expenses. Use last year’s records if this year is similar.

2. Use IRS Form 1040-ES
This form includes worksheets and instructions to help you calculate estimated taxes.

3. Pay Online
Use the IRS Direct Pay system or your IRS account. It’s fast, secure, and gives you a payment receipt.

Tip: Some states also require separate estimated payments check with your state tax agency or contact us for help.

How to Stay Ready Year-Round

Here’s how we help our clients at Simple Books Solutions avoid last minute tax panic:

✅ Monthly Bookkeeping

✅ Profit & Loss Tracking

✅ Set Aside Funds (25–30% of your net income)

✅ Quarterly Check-ins to estimate and confirm payments

Avoid Penalties and Stay Compliant

Failing to pay estimated taxes can result in:

- Underpayment penalties
- Interest on late payments
- Stressful tax season surprises

But with a solid system and a reliable partner, it’s entirely manageable.

Need Help With Your Quarterly Taxes?

Let Simple Books Solutions take tax prep off your plate. We provide:

- Tax-ready financials
- Quarterly estimate calculations
- Filing reminders and support
- QuickBooks setup and monthly maintenance

👉 Book a free consult today
👉 Download our Quarterly Tax Prep Checklist

You focus on running your business we’ll handle the books and taxes.

Simple Books Solutions: Clear. Confident. Compliant.