A Little at a Time Can Hurt a Lot Less

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The IRS recently released a September 14, 2026 Tax Tips bulletin called “Estimated Taxes Aren’t Just for the Self-Employed.”

The idea behind the bulletin is pretty simple: people receive income from all kinds of sources throughout the year, and what many people may not realize is that some of that income can come with a tax bill.

If you work for an employer who withholds taxes from your paycheck, consider yourself lucky—at least in this respect. Most employees never give the process much thought. You get paid, your employer takes out the taxes, and the rest of the money lands in your account.

For a lot of people, the next time they really think about federal income taxes is when April rolls around and they’re hoping to get some of that money back as a refund.

But it doesn’t work quite that way for everybody.

Self-employed people are much more familiar with estimated taxes because they generally don’t have an employer withholding taxes from every paycheck. If required, they typically make estimated tax payments throughout the year.

But the IRS is pointing out that this isn’t just a concern for people who consider themselves self-employed.

You can receive taxable income from all kinds of places where nobody is standing there to withhold taxes for you. The IRS specifically mentions income from sources including:

• Interest
• Dividends
• Certain alimony
• Capital gains
• Royalties
• Rents
• Prizes and awards

And, of course, there can also be income from gig work.

Here’s where this starts becoming relevant to a lot more people.

Let’s say you’re a working mom trying to make ends meet. Like plenty of other people, you decide to pick up some extra money driving for Uber or delivering for DoorDash whenever you have the time.

Maybe one week you make $200. Another week you make $500. Then you don’t drive at all for a couple of weeks.

That income may be taxable.

The problem is that Uber or DoorDash isn’t necessarily doing what a traditional employer does with your paycheck. Nobody is automatically making sure enough federal tax is being withheld and sent to the IRS on your behalf.

That’s now your responsibility.

And that’s where I found something in this IRS bulletin particularly interesting.

Although we normally hear about quarterly estimated taxes, the IRS specifically points out that estimated tax payments can be made more frequently. You can make payments weekly, biweekly, monthly or at other intervals, provided you’ve paid enough by the applicable estimated-tax deadline.

In other words, you don’t necessarily have to let the tax obligation pile up.

You make some extra money this week? You can make a tax payment.

You make some more next week? You can make another one.

And frankly, paying a little at a time may be a whole lot easier than getting to tax season expecting a refund and discovering that some—or potentially all—of that refund has disappeared because you had taxable income during the year that you never accounted for.

That’s really the point.

Our federal income tax system operates on a pay-as-you-go basis. People with traditional jobs often don’t notice that because their employers are doing the paying-as-you-go part for them through withholding.

When you’re receiving income without sufficient withholding, you’re the one who has to pay attention.

Not everybody who earns a few extra dollars is automatically required to make estimated tax payments. Your actual obligation depends on your individual tax situation, including your total income, withholding, deductions, credits and other factors.

But if you’re earning money from sources where taxes aren’t being withheld, don’t automatically assume this is something you can forget about until April.

Find out whether you may owe estimated taxes. And if you do, remember that you don’t necessarily have to wait until a quarterly deadline to make a payment. Smaller, more frequent payments are an option.

Because when money unexpectedly falls into your lap, there’s something else worth remembering:

The IRS may be sitting on the other side of your lap with its hand out.

And it would rather you pay along the way than discover the bill when you file your return.

A Quick Note Before You Go

Taxes are personal, and everyone’s situation is different. Whether you need to make estimated tax payments—and how much you may need to pay—depends on your individual income, withholding, deductions, credits and other circumstances. This article is intended for general educational purposes and isn’t individualized tax or financial advice.

If you receive income that doesn’t have taxes withheld, don’t guess. The IRS provides information about who may need to make estimated payments, how to calculate them, when they’re due and how to pay.

Source: Internal Revenue Service, “Estimated Taxes Aren’t Just for the Self-Employed,” IRS Tax Tip, September 14, 2026.

For current rules and payment information, visit the IRS Estimated Taxes page.