Who Must Pay Quarterly Estimated Taxes
You must make quarterly estimated tax payments if you expect to owe:
- Federal: $1,000 or more in tax after withholding and credits
- NY State: $300 or more in NY tax
- NYC: Also required if you owe NYC local tax and meet the threshold
This applies to freelancers, consultants, independent contractors, gig workers, small business owners, and anyone with significant 1099 income — including part-time side income from a W-2 job.
2026 Quarterly Due Dates
| Payment | Income Period | Federal Due Date | NY State Due Date |
|---|---|---|---|
| Q1 2026 | Jan 1 – Mar 31 | April 15, 2026 | April 15, 2026 |
| Q2 2026 | Apr 1 – May 31 | June 16, 2026 | June 16, 2026 |
| Q3 2026 | Jun 1 – Aug 31 | September 15, 2026 | September 15, 2026 |
| Q4 2026 | Sep 1 – Dec 31 | January 15, 2027 | January 15, 2027 |
Important: Q2 covers only 2 months (April–May), not 3 months. This catches many self-employed workers off guard — the Q2 payment comes just 2 months after Q1, not 3.
Safe Harbor: The Simplest Way to Avoid Penalties
Instead of estimating your current-year tax precisely, you can use the safe harbor method — pay a fixed amount each quarter based on last year's tax, and no underpayment penalty applies regardless of what you owe at filing.
- Prior year AGI $150,000 or less: Pay 100% of prior year total tax, divided by 4 each quarter
- Prior year AGI over $150,000: Pay 110% of prior year total tax, divided by 4 each quarter
Example: Your 2025 total tax was $18,000 and your AGI was $120,000. Safe harbor = $18,000 ÷ 4 = $4,500 per quarter to all taxing authorities combined. Any balance due at April 2027 filing is paid then without penalty.
How to Calculate Your Estimated Payment (Current-Year Method)
For a more accurate quarterly payment, estimate your current-year tax:
- Estimate annual net SE income (gross revenue minus deductible business expenses)
- Calculate SE tax: net SE income × 92.35% × 15.3%
- Subtract half of SE tax from gross income to get adjusted income
- Apply federal standard deduction ($15,000 single / $30,000 MFJ) to get federal taxable income
- Calculate federal income tax using 2026 brackets
- Calculate NY state tax (NY standard deduction $8,000 single / $16,050 MFJ)
- Calculate NYC local tax
- Add SE tax. Total annual tax ÷ 4 = quarterly payment
Quick Estimate: At $80,000 net SE income in NYC, total annual taxes are approximately $30,000 (SE tax ~$11,304 + federal ~$8,850 + NY ~$4,100 + NYC ~$2,350 + MCTMT ~$102). Safe harbor quarterly payment: ~$7,500 per quarter.
Where to Send Your Payments
Federal (IRS)
Pay online at IRS Direct Pay (irs.gov/payments) — free, immediate confirmation. Alternatively, use the Electronic Federal Tax Payment System (EFTPS) or mail IRS Form 1040-ES with a check. Never mail cash.
NY State
Pay online at tax.ny.gov or mail NY Form IT-2105 (Estimated Income Tax Payment Voucher for Individuals). You can also set up automatic payments through the NY Online Services portal.
NYC Local Tax
NYC local tax estimated payments are made through the same NY state system (IT-2105 includes city tax). NYC does not have a separate payment portal — state and city estimated taxes are paid together to NY State.
MCTMT: The Metropolitan Commuter Transportation Mobility Tax
Self-employed workers in the NYC metro area with net SE earnings over $50,000 also owe the MCTMT at 0.34% of net SE earnings. At $100,000 net SE income: $100,000 × 0.34% = $340/year. At $200,000: $680/year. The MCTMT is reported on your NY state return (Form IT-201) and should be included in your quarterly payment estimates.
Calculate Your NYC Take-Home Pay
Estimate your net income after all taxes — essential for planning quarterly payments.
Use the Free Calculator →