# Should I Even Bother Paying Estimated Taxes This Year?



## ANThonyBoreDaneCook (Oct 7, 2019)

I took the first 6 months of this year off and indulged in an alcohol infused daydream of golf, music, debauchery, random women and 9 to 10 hours of glorious sleep.

During the months of July and August combined, I earned roughly a total of $5k.
I don't really need to work for the rest of the year but I'm estimating that if I keep steady with my 20+(ish) hour work weeks, I should make around $10 -$15K from September - EOY.

I'm operating at roughly $2 - $3 per mile but I'm anticipating an increase to $3 - $4 over the next four months.

My question is, should I even bother paying estimated taxes this year? Am I just giving the government a loan since I'm only going to make $15k - $20k before I even take a single deduction?

I am more than willing to pay it tomorrow but is it even worth it?

Thanks ants!


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## ANThonyBoreDaneCook (Oct 7, 2019)

Shit I should probably add some additional info for clarity.

I live in Delaware.

I profited $8k in crypto gains but also sold $4k at a loss on a bum ass token and flipped that into Etherium.


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## pwnzor (Jun 27, 2017)

I'd like to know how you're affording all this with no money.


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## Daisey77 (Jan 13, 2016)

I never pay estimated taxes🤷‍♀️


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## kdyrpr (Apr 23, 2016)

Never pay as well. I wouldn't bother unless you feel like it will lessen your burden in April.


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## Jumpin Jim (Mar 4, 2018)

With your level of income you probably won’t pay income tax but you will have to pay self employment tax (social security) of 12.4%. If your expected annual tax bill is less than $1,000 then you can skip paying estimated taxes. It might be worthwhile running through the worksheets to see if you should pay now. They are the Self Employment Tax and Deduction Worksheet, and the EstimatedTax Worksheet. Each are less than a page long and take about 10 minutes each to fill out. The deadline for Q3 payment is tomorrow.


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## ObeyTheNumbers (8 mo ago)

Just do it at the end of the year and pay the small penalty from your cash tips you didn't make. 😆


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## _Tron_ (Feb 9, 2020)

I have never ever ever ever paid quarterlies and I had my own consultancy for 20 years. And then I always took the automatic extension and paid in October.


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## ANThonyBoreDaneCook (Oct 7, 2019)

pwnzor said:


> I'd like to know how you're affording all this with no money.


Probably because I worked my ass off since I was 15 years old? Maybe?


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## ANThonyBoreDaneCook (Oct 7, 2019)

ObeyTheNumbers said:


> Just do it at the end of the year and pay the small penalty from your cash tips you didn't make. 😆


Love it hahahahaha


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## Trafficat (Dec 19, 2016)

Make an estimate for worst case. If you overpay you get a refund plus interest better than a savings account. Underpay and you get a penalty.


Had over $10K in savings for like 10 years and made like $3 total. Overpaid an estimated tax by a few K and got like $29.


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## Daisey77 (Jan 13, 2016)

_Tron_ said:


> I have never ever ever ever paid quarterlies and I had my own consultancy for 20 years. And then I always took the automatic extension and paid in October.


 I was going to do an extension a couple years ago but I was informed filing for an extension doesn't get you out of not paying your taxes by April 15th. You still owe the money by the normal deadline. you just get an extension to turn in the paperwork. I was like WTF? How the hell am I supposed to know how much I owe if I don't do the paperwork. If I have to do the paperwork to figure out how much I owe why the hell wouldn't I turn it in?.


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## Trafficat (Dec 19, 2016)

Daisey77 said:


> I was going to do an extension a couple years ago but I was informed filing for an extension doesn't get you out of not paying your taxes by April 15th. You still owe the money by the normal deadline. you just get an extension to turn in the paperwork. I was like WTF? How the hell am I supposed to know how much I owe if I don't do the paperwork. If I have to do the paperwork to figure out how much I owe why the hell wouldn't I turn it in?.


Overpay and get a refund or underpay and get a penalty. Your choice.


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## pwnzor (Jun 27, 2017)

Pay taxes when they are due, not before. Giving the government an interest-free loan just so you can get a "refund" is ridiculous.


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## Seamus (Jun 21, 2018)

ANThonyBoreDaneCook said:


> View attachment 676809
> 
> 
> I took the first 6 months of this year off and indulged in an alcohol infused daydream of golf, music, debauchery, random women and 9 to 10 hours of glorious sleep.
> ...


If that's your only income I wouldn't be too concerned. I have several income streams, and some are very hard to write much off unlike gig work. I have never made quarterly estimated income payments, but I do pay a penalty almost every year. Hint: The penalty is pretty low in all honesty. Gig work was a very small part of my taxes owed.

If your gross income is in the 15 to 20K range, by the time you get down to taxable income the penalty (if there is one) will be chump change. Of course, it's only my opinion.


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## musclemom1234 (3 mo ago)

ANThonyBoreDaneCook said:


> Shit I should probably add some additional info for clarity.
> 
> I live in Delaware.
> 
> I profited $8k in crypto gains but also sold $4k at a loss on a bum ass token and flipped that into Etherium.


How do you survive on that? 

Do you have 6 roommates?


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## ANThonyBoreDaneCook (Oct 7, 2019)

musclemom1234 said:


> How do you survive on that?
> 
> Do you have 6 roommates?





ANThonyBoreDaneCook said:


> Probably because I worked my ass off since I was 15 years old? Maybe?


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## ANThonyBoreDaneCook (Oct 7, 2019)

musclemom1234 said:


> How do you survive on that?
> 
> Do you have 6 roommates?


I know the idea of a savings account, timely investments, discipline, and frugality might be lost on ants such as yourself, but please try to keep in mind that we all had jobs and choices before Uber existed.


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## musclemom1234 (3 mo ago)

Depends how old you are.


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