Im a full time government employee but half of last year I was contracted in. Why in 2023 do I have to pay $480 4 installments?

[JohnB5677]

I want to be sure that I understand your issue.

• You are currently a full-time government employee.  
  • You should have gotten a W-2 for that work.
• However, you worked the first part of the year as a contractor.
  • You should have gotten a 1099-NEC or a 1099-MISC.

As a contractor there were no taxes taken out.  As a result, you owe income tax as well as self-employment tax.

The self-employment tax rate is 15.3%. That rate is the sum of 12.4% for Social Security and 2.9% for Medicare.

You used the word "installments".  Is this to pay off taxes from 2022 or are these estimated tax payments on vouchers for 2023. Tax Form 1040-ES.

• If they are estimated tax payments, and if you're still working the full-time job.  
• You'll be getting a W-2 and not a 1099 for contract work. 
• You do not have to make the estimated payments.  The taxes will be taken out of your paycheck.