I am attempting to use the "jump to 1040-es" to estimated 2020 taxes. On the screen titled "Enter 2020 Other Income", how does turbotax come up with the 2019 Other Income .......... I took the 2019 1040 that was files that this should be from ........... no matter what lines I add or exclude I cannot come up with what they say was my 2019 amount. What are they using? Which I need to match in my estimate of 2020.
2020 estimates are computed using the 2019 DOWNLOADED program not the current 2020 program ...
This is my mini version of a tutorial that should be in the downloaded program:
What is Forms Mode?
Forms Mode lets you view and make changes to your tax forms "behind the scenes."
If you're adventurous, you can even prepare your return in Forms Mode, but we don't recommend it. You may miss obscure credits and deductions you qualify for, and you may forget to report things that will come back and haunt you later.
Forms Mode is exclusively available in the TurboTax CD/Download software. It is not available in TurboTax Online.
- Why would I use Forms Mode?
- How do I switch to Forms Mode in the TurboTax for Windows software?
- How do I switch to Forms Mode in the TurboTax for Mac software?
If you want to play around with different figures and tax scenarios without affecting your original return you can ….
- >>>In the TurboTax CD/Download software by creating a test copy:
- 1. Open your return in TurboTax.
- 2. From the File menu, choose Save As.
- 3. Give the copy a new name to distinguish it from the original (for example, by adding "Test" or "Example" to the file name).
- 4. Click Save. You are now safely working in the test copy and anything you do here will not affect the original.
- >> use the WHAT IF tool:
- - Click Forms Icon (upper right of screen) or Ctrl 2 (forms view)
- - Click on the Open Form Icon
- - In the “Type a form name.” area type What-If (with the dash), click on the name of the worksheet - click on Open Form
- - You will see the worksheet on the right side of the screen; enter the information right into the form
- - To get back to interview mode - click on the Step-by-Step Icon (upper right of screen) or Ctrl 1
It's always a good idea to make a backup copy of your tax data file, in case your original gets lost or corrupted. Here's how:
- From the File menu in the upper-left corner of TurboTax, choose Save As (Windows) or Save (Mac).
- Browse to where you want to save your backup.
- Tip: If you're saving to a portable device, save it to your computer first to prevent data corruption. Then, after completing Step 4, copy or move the backup file to your device.
- In the File name field, enter a name that will distinguish it from the original tax file (for example, add "Backup" or "Copy" to the file name)
- Click Save and then close TurboTax.
- Restart TurboTax and open the backup copy to make sure it's not corrupted. If you get an error, delete the backup and repeat these steps.
If you make changes to your original tax return file, repeat these steps to ensure your original and backup copies are in-synch.
- Retrieve a Tax File from a Portable Device
- What's the difference between the tax data file and the PDF file?
AND save it as a PDF so you have access to a copy even if you don’t have the program still installed and operational :
- How do I save my return as a PDF in the TurboTax software for Windows?
- How do I save my return as a PDF in the TurboTax software for Mac?
AND protect the files :
Always remember to shut off the auto update function once you have filed your returns and do not do any updates unless you have safeguarded the PDF & .taxfiles to a removable storage unit for safekeeping. Click on ONLINE then Update Preferences.... don't be afraid to click on all the menu headings to find all the goodies that are hiding.
In the past I have done it your way ....... I had seen something about if you do it the 1040-es way TurboTax was using at least a best guess of 2020 tax tables.
It would be nice to do this in 2020 TurboTax, but it still will not let you entry data because they don't have final stuff from IRA.
Again to use the estimated section for 2020 guesses you need to use the 2019 program ... of course you only need to pay in enough in estimated payments to cover the prior year tax bill to avoid penalties ... then you can pay more in if you wish to reduce the balance due but it is not required.
If you don't pay the estimates and your withholding isn't any of the following you will be hit with underpayment penalties.
1) 2020 balance due after withholding is less than $1000
2) withholding covers 90% of 2020 tax
3) withholding is 100% (110% if 2019 adjusted gross income is over $150,000) of 2019 tax
See this for calculating 2020 estimated taxes - https://ttlc.intuit.com/community/tax-payments/help/can-turbotax-calculate-next-year-s-federal-estim...
See this for paying estimated taxes - https://ttlc.intuit.com/community/tax-payments/help/how-do-i-make-estimated-tax-payments/00/25875
What are estimated taxes?
Do I need to make estimated tax payments to the IRS?
For SE self employment tax - if you have a net profit (after expenses) of $400 or more you will pay 15.3% for 2015 SE Tax on 92.35% of your net profit in addition to your regular income tax on it. So if you have other income like W2 income your extra business income might put you into a higher tax bracket.
You must make quarterly estimated tax payments for the current tax year (or next year) if both of the following apply:
- 1. You expect to owe at least $1,000 in tax for the current tax year, after subtracting your withholding and credits.
- 2. You expect your withholding and credits to be less than the smaller of:
90% of the tax to be shown on your current year’s tax return, or
100% of the tax shown on your prior year’s tax return. (Your prior year tax return must cover all 12 months.)
How do I make estimated tax payments?
Can TurboTax calculate next year's federal estimated taxes?