TurboTax asks for W2 wages when calculating estimated self employment tax payments (1040-ES)? Do I only enter self employment revenue if employer witholds tax on otherpay

[vking]

I work for an employer and have taxes taken out of my paycheck.  My spouse is self employed and we file married jointly.  We would like TurboTax to create the 1040-ES forms for us, but I am confused why we are being asked to enter in my W2 wages (taxes already deducted), Medicare wages (already taken out), property tax and mortgage interest in the area Personal > Other Tax Situations > Other Forms > Form W-4 and estimated taxes. I would have assumed we would only need to specify the self employment revenue as this is what we would like to pay self employment taxes quarterly for.  Can anyone clarify please?

Thanks!

[AnthonyC]

You pay taxes on your total income after deductions and credits.  The self-employment income is going to result in self-employment taxes but the net income is also taxable income for regular income taxes.  The rate that is applied depends on all of the income on the return.  Thus, it's not possible to accurately calculate the estimated tax payments required if you don't include all of your income.  

Likewise, this is why you also include all of your available deductions and credits as those items could reduce the taxable income amounts and thus result in less tax due.  But, you will also see a screen in that section where you will enter your Federal income tax withholding amounts for your W2 wages - make sure you enter it to get an accurate result of the taxes already paid.