I am now retired. My only income is the government pension. Do I still have to make quarterly payments? How much to avoid penalties, fines and interest?

[Rachel_W]

In order to avoid an underpayment penalty on your 2019 Tax Return, you need to meet one of the following requirements:

• Pay in through withholding and/or estimated tax payments at least 100% of the tax shown on your 2018 Tax Return [110% if your AGI was over $150,000 or $75,000 for MFS].

• Pay in through withholding and/or estimated tax payments at least 90% of your actual 2019 tax liability (Hard to do since you won't actually know this figure until you are preparing your Tax Return next year).

• Have a balance due less than $1,000 on your 2019 Tax Return

Please comment below if you need further clarification.

[Rachel_W]

@drrmdale If this didn't answer your question, please clarify below.

[fanfare]

ask pension to withhold income tax from your monthly payment.
Ask SS to withhold tax from your SS Benefits.
You won't have to pay estimated taxes.

It's a matter of personal preference and convenience.