For Those Of You That File Quarterly Taxes

[MyAngels]

I too want to start paying and I'm glad you started this thread. If I keep going without paying I will get nothing from social security when its time to retire.

So, we download these coupons and send in 20% of our pay for the 3 months, right?
So my question is what if I make 12k in the 3 months, but at the end of the year I know I will write off 25% of that, meaning my net pay isn't 12k, its 9k. Do I send in $1800 or do I send in $2,400?
Holy cow. I'm not prepared for that at all. I think I better start next year

If Im not mistaken you don't get a refund at the end of the year if you over pay? Where does it go then? Is it all in your SS or does the gov just keep it? Or am I misinformed?

The IRS has a publication to help figure out whether you need to pay quarterly or not: http://www.irs.gov/publications/p505/index.html

Whether you pay in quarterly doesn't determine whether you'll receive Social Security benefits. It's the amount of self-employment tax you pay that determines that.

If you don't want to pay quarterly taxes you'll need to adjust your spouse's withholding to account for your taxes, too. If the amount withheld at the highest rate is not enough, you can also have their employer withhold a set amount each paycheck to make up the difference.

If you overpay you will get that amount refunded at the end of the year when you file your tax return. It's no different than if your spouse withheld too much.

[snbauser]

I have my dh withhold extra from his checks. When I first started I paid quarterly and the IRS messed it up because they didn't match my EIN to his SS as the head of household on our taxes. I had to spend hours on the phone proving that I paid the quarterly . On my dh's withholding he claims the married and 5 that he normaly would claim and then there is a spot that he can claim and extra set amount. That is where we put the extra withholding.

[EntropyControlSpecialist]

I believe the extra is credited to your next payment (next year???).

[MyAngels]

That makes sense to me only if you aren't worried about your own SS. What happens if god forbid you split up. He got all the taxes out of his check and you didn't pay into your SS because of it. Then you get nothing. Am I totally off track? I really don't "get" tax stuff.

You should be getting a statement every year shortly before your birthday that will show your income each year and how much your estimated social security benefit will be.

When you file "Married Filing Jointly" any tax your spouse has withheld through the year will go to pay your joint taxes, along with any amount that you may pay quarterly. They don't differentiate where the money came from since it's a joint return.

[snbauser]

That makes sense to me only if you aren't worried about your own SS. What happens if god forbid you split up. He got all the taxes out of his check and you didn't pay into your SS because of it. Then you get nothing. Am I totally off track? I really don't "get" tax stuff.

Where the taxes come out of doesn't matter for your SS. When you file your taxes it is joint income and joint taxes. Your SS comes from your self employment tax that is calculated based on your income. For the last 10 years my dh has had extra taken out of his checks to cover my taxes and I still get my SS statement that shows my income each year.

[MarinaVanessa]

I also get confused on this, my tax preparer said since my husband files 0, and I have never owed more than $40, that I have been fine to not pay quarterly, last year I got my income down to $18000, and owed $40. this year I think I can get it fairly close if maybe $19000 instead, so I don't think I'll owe to much more than last year.but next year, I do not think I will be able to be so lucky, not sure If I should have my husband have even more taken out of his checks, set aside, or pay quarterly, guess I'll ask my tax guy tomorrow.

I'm a little lost here. You made $18,000 anns still had to pay $40? I myself make more than that and have always received a refund. The year before last I made over $20K and still didn't have to pay. Last year I made over $27K so I'm wondering what that means for this year. I;m still waiting to find out whether I owe or not.

[Jewels]

18k was my adjusted gross after deductions, I think my all together last year was 40k, this year my income is 54k, and I can get it down to 19k, so ill be taxed on that, but this year ill be pulling in a little over 60k with not as many deductions...

[MarinaVanessa]

18k was my adjusted gross after deductions, I think my all together last year was 40k, this year my income is 54k, and I can get it down to 19k, so ill be taxed on that, but this year ill be pulling in a little over 60k with not as many deductions...

Oooooooooh, ok. Now I get it ::