1099-NEC

[Kenmin0071]

Hello, I am new to being self emplyed. I have been paying quarterly taxes on the IRS.gov web site. I pay towards Estimated Tax Payment. I payed a lump sum. Does the IRS distribute the amount for Fed taxes, Medicare and Social Security?

[SwapnaM]

Thanks @Kenmin0071 for your question!!

Yes. Self-employed individuals generally must pay self-employment (SE) tax as well as income tax. SE tax is a Social Security and Medicare tax primarily for individuals who work for themselves. Estimated tax is the method used to pay Social Security and Medicare taxes and income tax, because you do not have an employer withholding these taxes for you.

IRS article: Self-Employed Individuals Tax Center