Estimated 2019 vouchers

[kayelena]

Do I need to pay more in estimated taxes for 2019 than my 2018 total tax?  TurboTax's vouchers have me paying nearly $4,000 more in estimated 2019 taxes than my 2018, line 15 total tax.

[kayelena]

Thank you for your answer.  You showed me where I can adjust the amount of estimated tax payments and I see that TurboTax calculated these payments at 110% of taxes I owe for 2018.  My question, must I pay 110% to avoid a penalty next year if my income is higher?  I had understood that if I paid 100% it satisfied the requirement.

[MichaelL1]

If you pay 100% of 2018 taxes or 90% of the 2019 taxes, there is no underpayment penalty.

Also remember it is an estimate and if I thought my tax was going to be $5,687, I would probably pay in $6,000 so I would be safe.

[kayelena]

Thank you.

[MichaelL1 · Accepted solution]

Only if the income goes up, as the tax rates are the same for 2019 as 2018.

You might want to go through that section again, and also you might not have entered some taxes that are withheld on a W-2 or a 1099R, so that could be why it is higher.

To go back through it, go to Federal Taxes

Other Tax Situations.

Scroll down to Other Tax Forms and the 3rd one is W-4's and Estimates.