How much should I set aside for my next quarterly estimated tax payment on trading profits?
Enter Your Tax Numbers
Uses the standard federal safe-harbor rule: pay in the smaller of 90% of this year's tax or 100% (110% if you're a higher earner) of last year's.
Your Result
Fill in your tax numbers and click Calculate to see your suggested quarterly payment.
How this is calculated
The federal safe-harbor rule lets you avoid an underpayment penalty by paying, across the year in four installments, the smaller of 90% of this year's actual tax or 100% of last year's tax (110% if last year's adjusted gross income was over $150,000, or $75,000 married filing separately).
This tool calculates the smaller of those two safe-harbor totals, if you provide last year's tax, then divides it evenly across quarters and subtracts what you've already paid this year to show what's due now.
If you only enter this year's estimated tax, the tool uses the 90%-of-current-year safe harbor on its own, since it has no prior-year figure to compare against.
This does not account for withholding from a W-2 job, which counts toward your safe harbor the same as an estimated payment does, or for state estimated tax rules, which run separately from federal ones.
Quarterly due dates don't line up with calendar quarters exactly; confirm the actual IRS due dates for the current tax year before paying.
Risk & liability disclaimer: This calculator applies the standard federal estimated-tax safe harbor math to the numbers you enter. It is not tax advice and does not account for state tax rules, withholding from a job (which also counts toward the federal safe harbor), or other income timing. Trading Habits is not a broker-dealer, registered investment adviser, or tax professional, and is not affiliated with any broker, exchange, the IRS, or any tax authority. Consult a CPA or tax professional before making estimated tax payments. You could lose some or all of the capital you trade with.
Don't Let the IRS Bill Surprise You Either
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