08/19/2026
If you’re self-employed, own a small business, or receive income that doesn’t have taxes withheld from it, you may need to make estimated tax payments throughout the year.
Generally, individuals—including sole proprietors, partners, and S-corporation shareholders—may need to make estimated payments if they expect to owe $1,000 or more in tax when they file their return.
Why?
Because federal income taxes are generally pay-as-you-go. If taxes aren’t being withheld from your income, estimated payments are one way to pay throughout the year rather than potentially facing a large tax bill when you file.
And here’s the part many business owners don’t realize:
Estimated taxes aren’t just about income tax, they can also include self-employment tax and other taxes that may apply to your situation.
📌 Who might need to make estimated payments?
• Freelancers & independent contractors
• Sole proprietors
• Partners in a partnership
• S-corporation shareholders
• People with significant income that doesn’t have enough tax withholding
There are exceptions and additional rules, so the $1,000 number isn’t the only thing that determines whether you need to pay.
💡 The takeaway: Don’t wait until tax season to find out whether you should have been making payments.
If you’re self-employed or your income has changed significantly this year, now is a good time to review your numbers and make sure you’re on track.
🎓 Want to learn more?
We’re hosting a webinar all about estimated taxes where we’ll break down how estimated taxes work, who may need to pay them, important deadlines, and what you should be thinking about throughout the year.
If estimated taxes have you confused, this webinar is for you!
📩 Stay tuned for the webinar details—or send us a message to learn more.
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