Quarterly Taxes for Freelancers: How Much to Set Aside and When to Pay (2026)
On $60,000 of freelance profit, federal tax is about $12,037 ($3,009 a quarter). Self-employment tax explained, 2026 due dates, and how to avoid the penalty.
By the MoneyBackKit team · Updated October 27, 2026 · 6 min read
When you work for yourself, nobody withholds tax from your pay, so the IRS expects you to pay during the year in four "estimated tax" payments. Miss them and you can owe a penalty, even if you pay everything in April. Here's how much to set aside on freelance or gig income, and when to pay, for 2026.
Two taxes, not one
- Self-employment tax: 15.3% on 92.35% of your net profit. It's Social Security (12.4%) and Medicare (2.9%), the employer and employee shares together. You can deduct half of it from your income.
- Income tax: on your profit after that deduction, the standard deduction and the qualified business income (QBI) deduction.
On $60,000 of profit (single, no other income), self-employment tax is about $8,478 and federal income tax about $3,559, a total of $12,037, or 20.1% of profit. That's about $3,009 per quarter.
| Net profit | Self-employment tax | Income tax | Total federal | Per quarter | % of profit |
|---|---|---|---|---|---|
| $30,000 | $4,239 | $942 | $5,181 | $1,295 | 17.3% |
| $60,000 | $8,478 | $3,559 | $12,037 | $3,009 | 20.1% |
| $90,000 | $12,717 | $6,599 | $19,316 | $4,829 | 21.5% |
| $120,000 | $16,955 | $11,506 | $28,462 | $7,115 | 23.7% |
When to pay
| For income earned | Due |
|---|---|
| January – March 2026 | April 15, 2026 |
| April – May 2026 | June 15, 2026 |
| June – August 2026 | September 15, 2026 |
| September – December 2026 | January 15, 2027 |
Pay online with IRS Direct Pay or your IRS online account (choose "estimated tax" and the year), or with EFTPS. Your state may want its own estimated payments too.
How to avoid the penalty
You generally won't owe an underpayment penalty if you owe less than $1,000 when you file, or if your payments during the year cover at least:
- 90% of this year's tax, or
- 100% of last year's total tax (110% if last year's adjusted gross income was over $150,000).
The second rule is the easy one: take last year's total tax, divide by four, and pay that each quarter. Even if you earn more this year, you won't owe a penalty, just the rest of the tax in April.
Habits that make it painless
- Move a fixed share of every payment you receive (often 25–30%) into a separate savings account the day it arrives.
- Track expenses through the year: business costs lower your profit, and with it both taxes.
- If you also have a job, you can raise your W-4 withholding there instead of paying quarterly. Withholding counts as paid evenly through the year.