Estimated Quarterly Taxes for 1099 Workers

As a W-2 employee, your employer withholds taxes from every paycheck. As a 1099 contractor, nobody withholds for you — you're responsible for paying the IRS directly, four times a year.

2026 Quarterly Due Dates

How to Calculate What You Owe

A simplified approach: estimate your total annual income, subtract deductions (including the QBI deduction and business expenses), and calculate both income tax and self-employment tax. Divide by four for each quarterly payment.

The IRS also allows a "safe harbor" method: pay 100% of last year's tax liability (110% if your prior year AGI exceeded $150,000). This avoids the underpayment penalty even if your income grows significantly.

What Taxes Am I Paying?

• Self-employment tax — 15.3% on 92.35% of net income (or 2.9% above the SS wage base)
• Federal income tax — based on your estimated taxable income and brackets
• State income tax — most states also require quarterly payments

How to Pay

The easiest method: pay online through the IRS Direct Pay system or EFTPS (Electronic Federal Tax Payment System). You can also mail Form 1040-ES with a check.