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Showerthought: a client in Austin told me his accountant saved him $4k on quarterly taxes
We were grabbing coffee after a project wrap up and he mentioned his accountant showed him how to adjust his estimated payments based on his uneven income. He said, 'I was just sending the same amount every quarter and leaving money on the table.' I'd been doing the same thing for two years. Anyone have a good method for figuring out those variable payments?
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john_cooper2mo ago
Seems like a lot of fuss over a spreadsheet tweak.
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the_fiona2mo ago
Oh man, that's a huge win. Honestly, @keithlane, using last quarter's income is a solid starting point for keeping it simple. I just take my year-to-date profit, figure the tax on that, subtract what I've already paid, and divide by the quarters left. It's not perfect, but it keeps me from a nasty surprise.
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