The time when being self employed stinks.....tax time.

[Bengalzona]

(04-18-2016, 08:11 PM)fredtoast Wrote: 2015 was the first year i was entirely self employed.

I had made estimated tax payments throughout the year, but still ended up having to pay more when I filed my 2015 taxes.

In the past I adjusted my withholding to make sure that I did not get a large tax rebate, but it was always nice to get a few hundred dollars back even if it was my own money that I had already earned.  Even though I did not have to pay a lot ($455) it still sucks that I had to pay instead of getting a rebate.

(04-18-2016, 09:31 PM)JustWinBaby Wrote: Yep, but it gets complicated if you have uneven or irregular earnings, making early estimated payments too low.

I tell you, though...it's a real eye opener when nothing is withheld from your checks and you have to make big quarterly payments INCLUDING the employer's share of FICA.  You feel good about how your bank account has grown, and then BAM! you send a check for 40% of your quarterly earnings to federal and state.....you really feel that pain.

Welcome to my yearly nightmare!

I have been self-employed for about 23 years. I put the business into an LLC and file Schedule C, which has helped a bit. But you don't dare miss the quarterly SS payments!