Quarterly tax payments

[Joel M]

I have been on SSI for several years.  My wife retired at the end of 2022.   Henceforth our income will come from my SSI, her Social Security as well as a pension.  Will we have to pay quarterly taxes beginning this year?

[AmyC]

Some retirees choose to have the tax withheld from their pension or Social Security while others choose to make estimated payments. As long as the taxes get paid in a timely fashion, the choice is yours.

It is worth going through the estimated portion of the program to help you decide how much needs to be paid. Then, you have 3 choices:

• Contact one or more payors and have them withhold the correct amount 
• You can schedule the IRS to take regular payments 
• You can make estimated payments with the IRS.

[Zeric]

As AmyC said, you can make estimated payments, but the easiest thing to do is have taxes withheld from your pension or social security. Getting the amount correct the first time can be challenging, but it doesn't have to perfect, just in the ball park.  Do be prepared come tax time in case you owe a bit. Subsequent years make adjustments as needed and you will be a lot closer.

[DawnC]

You can go through the estimated taxes section in TurboTax and enter your income estimates and TurboTax will calculate your estimated taxes for you if you go that route.  @Zeric 

Can TurboTax calculate next year's estimated tax payments?  Yes, click that link to see how to do it in TurboTax.