Is there an easy to figure how much tax i need to pay per quarter?

Question

I'm married and the other half has lower w-4 to 0, but I made $45,000 in 07, and have not payed quarterly taxes. I think that we are in big trouble.

Answer 1

You do not give enough information for me to give you an accurate estimate of what you will owe. If you are an employee things won’t be so bad because your employer will pay ½ you social security taxes and will withhold your portion from your pay. If this is the case fill out a new w4 form first thing Monday morning, make sure you do the worksheet on the back to have the correct amount withheld.

Probably you are an independent contractor and had nothing withheld from your pay. If this is the case you will owe social security taxes (both halves) and income taxes. You need to see a good Enrolled Agent or CPA, to make sure you take every business deduction you qualify for.

Here is a link to the estimated tax form. http://www.irs.gov/pub/irs-pdf/f1040es.pdf
Use the worksheet inside to figure what your estimated taxes should be and if possible pay that amount by 1/15/08. If you can't pay all of it pay as much as you can.

What ever you do be proactive now. The worst thing you can do is ignore the problem; it will grow worse if you do. The first step to solving your problem is to make estimated tax payments so this won't happen to you in the future. Estimated tax payments must be paid at least quarterly, if you don’t have the discipline to do that pay them monthly. Make sure you file your tax return on time, the failure to file on time penalty is 4.5% for each month you are late. If you will owe less than 25k take your 2007 balance due and divide by 60; this is the minimum payment IRS will accept if you agree to make estimated tax payments. Keep in mind that this will not pay off your balance in 5 years because of interest and penalties. Each month pay at least the minimum plus as much extra as you can; you want to get this out of your life as soon as possible.

Answer 2

I'm assuming you mean your $45K was from self-employment. Yes, you probably are in big trouble, at least financially. Income tax will depend on what your spouse brings in and any other income you have, but will probably be in the vicinity of $6750-11,500. Then self-employment tax, for social security and medicare, will take around another $6000. Plus there will be penalties for underwithholding.

Your spouse claiming 0 on the W-4 might make up around $1000 or so of what you owe, maybe less. You don't say if you have any children, or if you itemize or have any adjustments - that could help somewhat, but not likely cover much of it. So you'll still owe a bundle. What were you thinking???!!!

There is one more quarterly deadline, January 15 2008, for 2007 taxes. You'd be wise to make a substantial payment then.

Answer 3

that is sweet that she's monitoring her mileage. She needs to hint ALL of her mileage on that automobile, noting regardless of if that is business business enterprise miles (for her deliveries, deductible), commuting or own. she will deduct fifty 8.5 cents in line with business business enterprise mile. She ought to hint and checklist easily expenses quite, prorated for decrease than business business enterprise miles, yet that is a discomfort to hint, and he or she'll probable do greater beneficial with the flat mileage fee. That mileage deduction might go away her with internet income someplace around $3 hundred a week inclusive of the bonus. that is around $40 two a week for self employment tax (for social secure practices and medicare) and assuming she is single, no dependents, isn't a based, and takes a typical deduction without extra credit, around $13 a week for federal income tax, so as that is approximately $fifty 5 a week. She needs to make quarterly predicted money to the IRS utilising variety 1040ES, no longer in straightforward terms keep it as much as pay while she information - if she will pay all of it on the tip, she'll owe effects to boot to the tax. looking on the place she lives, she might additionally owe state and/or close by taxes.