What you need to know
In this guide, we’ll walk you through how to make an estimated tax payment and submit a record of that payment to the Collective team. To read the full IRS policy on estimated taxes, click here.
In general, freelancers, self-employed individuals, businesses, and certain investors are required to make quarterly tax payments to avoid underpayment of taxes and associated penalties. These payments are due as follows:
Quarterly Deadline Chart
Quarterly Timeframe | Payment Due Date |
January 1 - March 31 | April 15 |
April 1 - May 31 | June 15 |
June 1 - August 31 | September 15 |
September 1 - December 31 | January 15 (Of the following year) |
How to Make a Payment
Prepare your documents
Locate your Individual Tax Return (Form 1040) from the prior year – you’ll need it on hand to reference
Navigate to the IRS Payments page
Select ‘Pay Now With Direct Pay’, then click on the ‘Make Payment’ button.
Make sure to have a Credit, Debit, or Account Number ready
Select the type of payment and the tax period
To make an Estimated Payment (before the relevant quarterly deadline, see Quarterly Deadline Chart above), select “Estimated Tax” under the ‘Reason for Payment’ dropdown
To make an Extension Payment (after the quarterly deadline has passed, see Quarterly Deadline Chart above), select “Extension” under the ‘Reason for Payment’ dropdown
Note: Based on your selection, the ‘Apply Payment To’ and ‘Tax Period for Payment’ fields will auto-populate
Ensure the calendar year reflects the year you are making a payment for (which may not necessarily be the current calendar year), then click ‘Continue’
Verify your identity
In the ‘Tax Year for Verification’ dropdown, select the year of your prior tax return document from Step 1
Enter your personal information, ensuring that it matches the information from your tax return
Click ‘Continue’.
Submit payment details
In the ‘Payment Amount Field’, enter the amount you would like to pay.
Confirm by re-entering the amount
Select the payment date (today’s date)
Enter your bank account information
Routing Number
Account Number (re-enter to confirm)
Account Type (Checking vs. Savings)
Click the check box to receive an email confirmation, then enter and re-enter your email address
Review details and sign
After reviewing and confirming all of your information is correct, electronically sign by entering your First Name, Last Name, and your SSN or ITIN
Press ‘Submit’ – [Additional Action Required] Ensure you take a screenshot of the entire confirmation page before exiting
Upload the payment to your Collective Dashboard
Review the screenshot of your confirmation page – make sure it captures the entire page (re-capture if necessary)
Upload the screenshot to your Member Dashboard. This is a necessary step so that the Collective team can submit accurate information on your personal tax return
Additional Information
Please keep a record of your ‘Confirmation Number’. It will be required to track your payment in the event the IRS loses record of it
Made a mistake? Call the IRS as soon as you notice, provide them with your Confirmation Number, and notify them of the changes that need to be made
There you have it! Seven easy steps to tackle your estimated tax payments like a pro. If you get stuck or have any questions, feel free to reach out to us at [email protected].
Happy tax-paying!