When Quarterly Tax Payments Are Due and How to Make Them
Quarterly tax payment deadlines are set by the IRS and fall four times a year
If you are self-employed, own a business, or have income that is not subject to withholding, you owe estimated quarterly taxes to the federal government. The IRS sets four fixed deadlines each year, and missing them triggers penalties and interest even if you end up owing nothing when you file your annual return.
The four deadlines are: April 15 for income earned January through March, June 15 for April through May, September 15 for June through August, and January 15 of the following year for September through December. If a deadline falls on a weekend or federal holiday, you have until the next business day. The key difference from annual filing is that you pay as you earn, not once a year.
Key Takeaways
- Quarterly tax deadlines are April 15, June 15, September 15, and January 15 of the next year, and missing them costs you penalties even if you ultimately owe no tax.
- You owe quarterly taxes if you are self-employed, have business income, receive rental income, or have other income sources not subject to employer withholding.
- You can pay online through IRS Direct Pay or EFTPS, by mail with Form 1040-ES, or through a tax professional, and each method has different processing times.
- The IRS calculates penalties based on how much you underpaid and how late you were, so even a partial payment by the deadline reduces what you owe later.
Who has to make quarterly tax payments
You owe quarterly taxes if you expect to owe $1,000 or more in federal income tax for the year after subtracting withholding and credits. This includes self-employed people, freelancers, business owners, landlords with rental income, and anyone with significant investment income or other non-wage earnings.
If you have a job and your employer withholds taxes from your paycheck, you typically do not owe quarterly payments on that wage income. However, if you have a side business or rental property in addition to your job, you may owe quarterly taxes on the non-wage income even though your employer is already withholding from your salary.
The IRS does not send you a bill or notice telling you that you owe quarterly taxes. It is your responsibility to calculate what you owe and pay it on time. If you are unsure whether you are required to pay, Form 1040-ES (the Estimated Tax Worksheet) walks you through the calculation.
How to calculate what you owe each quarter
To find your quarterly payment amount, estimate your total taxable income for the year, subtract any tax credits you expect to claim, and divide by four. Form 1040-ES provides a worksheet that guides you through this step by step. You will need to know your expected income, deductions, and any tax credits you plan to claim.
If your income is uneven across the year—for example, if you earn more in summer than winter—you can pay different amounts each quarter instead of splitting evenly. This is called annualized installment and requires Form 2210, but it can lower your penalty if you underpaid in early quarters and overpaid later.
Many people recalculate each quarter based on what they actually earned so far, rather than sticking to a single annual estimate. This approach reduces the risk of underpaying early in the year and then scrambling to catch up later. You can adjust your payment up or down as your income picture becomes clearer.
Payment methods and how long each takes to process
| Payment Method | How to Use It | Processing Time |
|---|---|---|
| IRS Direct Pay | Go to irs.gov/payments, enter your tax information and bank account details, and authorize a debit from your checking or savings account. | Same day to one business day; you choose the date. |
| EFTPS (Electronic Federal Tax Payment System) | Enroll at eftps.gov, then log in to schedule payments. Requires advance enrollment (usually one to two business days). | Same day to one business day; you choose the date. |
| Credit or debit card | Use a third-party payment processor approved by the IRS (search "IRS payment processors" on irs.gov). You will pay a convenience fee. | Same day; fees vary by processor. |
| Mail with Form 1040-ES | Print Form 1040-ES, fill in your payment amount, and mail the voucher with a check to the address shown on the form. | Five to seven business days from mailing; allow extra time for postal delays. |
| Through a tax professional | Your accountant or tax software can submit payment on your behalf using any of the above methods. | Depends on the method your professional uses. |
Online payment (Direct Pay or EFTPS) is the fastest and most reliable. You can schedule a payment weeks in advance and choose the exact date it processes, so you can time it to when funds are in your account. Both methods are free and do not require a credit card.
If you mail a check, the postmark date is what counts for timeliness, not the date the IRS receives it. Write "2024 Q2 Estimated Tax" or the appropriate quarter on the memo line so the IRS knows which quarter the payment covers. Keep a copy of the Form 1040-ES voucher for your records.
What happens if you miss a deadline
Missing a quarterly deadline triggers two separate penalties: an underpayment penalty and interest. The underpayment penalty is calculated based on how much you underpaid and how many days late you were. Interest accrues from the original due date until you pay, and the rate is set quarterly by the IRS.
You cannot avoid the penalty by paying the full amount when you file your annual return in April. The IRS charges the penalty on the underpaid amount for the period it was late, even if you end up owing nothing overall after credits and withholding are applied.
However, making a partial payment by the deadline reduces the penalty. If you owe $2,000 for the quarter but can only pay $1,200 by the deadline, the penalty applies only to the $800 shortfall, not the full $2,000. This is why paying something, even if it is not the full amount, is better than paying nothing.
The IRS may waive the penalty if you can show reasonable cause—for example, if you had a serious illness or unexpected business loss that prevented you from paying. You would need to file Form 2210 with your tax return and explain the circumstances. Waiver is not automatic and depends on the IRS's judgment.
Adjusting payments if your income changes mid-year
If your income drops unexpectedly, you can lower your next quarterly payment. Calculate what you now expect to earn for the full year, subtract what you have already paid in earlier quarters, and divide the remainder by the number of quarters left. This prevents you from overpaying and having to wait for a refund.
If your income rises, you should increase your payment to avoid underpaying and facing a penalty. Some people pay extra in quarters when business is strong, then pay less in slower quarters. The IRS does not require even payments—you only have to pay enough by year-end to avoid an underpayment penalty.
Keep records of what you paid each quarter and when. When you file your annual return, you will report all four quarterly payments, and the IRS will credit them against your total tax liability. If you overpaid, you receive a refund or can apply the overpayment to next year's taxes.
Frequently Asked Questions
What if I did not know I was supposed to make quarterly payments?
The IRS does not send a notice requiring quarterly payments—it is your responsibility to know. If you missed payments for prior years, you can still file your annual return and pay what you owe, but you will owe penalties and interest on the underpaid amounts. Going forward, calculate your estimated tax and pay on the correct schedule to avoid future penalties.
Can I make quarterly payments through my tax software?
Most major tax software platforms (TurboTax, H&R Block, TaxAct) allow you to schedule quarterly payments directly. They typically route the payment through a third-party processor, which may charge a fee. You can also pay for free through IRS Direct Pay or EFTPS without using software.
What if the deadline falls on a weekend or holiday?
The deadline moves to the next business day. For example, if June 15 falls on a Saturday, your deadline is Monday, June 17. The IRS website lists all adjusted deadlines each year. If you are paying by mail, the postmark date is what matters, so mail early enough that it arrives by the new deadline.
Do I have to pay quarterly taxes if I am incorporated?
If you own an S-corporation or C-corporation, the business itself may owe quarterly estimated taxes, depending on its structure and income. If you are a sole proprietor or operate as an LLC taxed as a sole proprietorship, you owe quarterly taxes personally. Consult a tax professional about your specific business structure.
Can I pay all four quarters at once instead of four separate times?
Yes, you can pay your full year's estimated tax in one lump sum by the first deadline (April 15), but this is unusual and not recommended. Most people pay quarterly because income is earned throughout the year. Paying all at once ties up cash early and does not reduce your penalty if you underpaid relative to what you actually earned.