BOTH
Estimated tax payments and excess withholding is used to compensate for any FICA (Self-Employment) tax you might owe.
Everything is figured on the tax return for a Self-Employed individual.
A W-2 employee has a portion of their FICA paid by their employer, so those payments are handled a little differently.
The Self-Employed Taxpayer pays both halves, but then also gets a credit for half. This is computed and paid on the Self-Employed's tax return.
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