federal tax help

Don't pay your taxes, then the company is forced to withhold 20% each pay.

Otherwise, no way.

 

Put 30% into a savings account each pay. Then pay quarterly estimates.

 

More than likely the answer is no - as an O/O you essentially have your own business. If your employer were to switch you to a W2 then they would also have to chip in 6.5% of your pay as well for the employer portion of the taxes. This would be a large chunk considering the lump sum that you get includes fuel, maintenance, etc...More than likely they wouldn't do that but I guess you could ask.

If you are looking to not have a large chunk due on 4/15 every year then you can pay the federal government in quarterly installments if you operate better doing it that way or just set aside 6.5% of the net figure every paycheck knowing that by 4/15 Uncle Sam will be expecting it.

6.5% would be the Self Employment Tax plus whatever tax + the taxes that apply to whatever tax bracket you are in. As another post said 30% of the net profit would be a good amount to set aside and pay quarterly. Many software programs can help or potentially find a local bookkeeper if you are looking to outsource this function.

 

Go to the IRS website and read about form 1040 ES.

They are due 4/15/
6/15
9/15
1/15 of following year.

 

Yes.

Turbo tax