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    Quarterly Taxes for Retirees

    Avoid IRS penalty surprises.

    Who needs to pay

    • Will owe $1,000+ in taxes for the year.
    • Income from IRA withdrawals + pension.
    • Capital gains from stock sales.
    • Self-employment income.
    • Rental property income.
    • Dividends + interest above ~$3K.
    • Social Security alone usually doesn't require it.

    2026 due dates

    • Q1 (Jan-Mar income): due April 15.
    • Q2 (Apr-May): due June 16.
    • Q3 (Jun-Aug): due September 15.
    • Q4 (Sep-Dec): due January 15 (next year).
    • Mark calendar — late = penalties.

    Easier alternative — withholding

    • Have IRA custodian withhold federal tax on distributions.
    • Have Social Security withhold (Form W-4V).
    • Have pension withhold extra.
    • Withholding = no quarterly payments needed.
    • IRS treats withholding as paid evenly throughout year.
    • Most retirees prefer this — set + forget.

    Safe harbor rule

    • Pay 100% of LAST year's tax = no penalty.
    • (110% if AGI > $150K.)
    • Easy: divide last year's tax by 4 = quarterly payment.
    • Or 90% of current year — riskier estimate.
    • Keep proof of payments.

    How to pay

    • IRS Direct Pay — irs.gov/payments. FREE. From bank account.
    • EFTPS — ach.eftps.gov. Schedule months ahead.
    • Mail Form 1040-ES — include voucher.
    • Pay state tax separately (your state revenue website).
    • Save confirmation numbers.

    Free help

    AARP Tax-Aide — free help February-April for any senior. VITA — IRS volunteer help if income under $64K. IRS Tax Counselor for Elderly (TCE) — year-round phone support 800-829-1040. CPA usually $300-600/yr — worth it for complex situations.