By definition, estimated taxes are used to pay the taxes owed on income not subject to witholding taxes at the source of the income. Usually employers and some retirement income providers withhold taxes for you, but on other income like like stock dividends, rent, bank & bond interest, and self- employment income the taxes have to be paid by you.
The IRS, states and localities with income taxes want you to pay taxes as close to the period when you earned the income as possible, or they'll consider you as underestimated and subject to interest and penalties. To avoid this, they make provision for quarterly estimated tax payments to be made on income above a certain income threshold - for individuals, the Federal threshold is $1,000 tax due after withholding and credits. The rule is; You need to have paid in, between your withholdings and estimated payments, the smaller of 90% of the tax owed in htis tax year, or 100% of the tax due on last years return. If either of these amounts are in, it's OK to owe some tax at filing time and the IRS won't penalize you.
The easiest way to come up with estimates is to let your CPA, tax preparer or software package do the math, or you can estimate your total tax using a calculator like this: https://www.calcxml.com/calculators/federal-income-tax-calculator or one of the tax software proder sites to try for yourself. States usually have fewer tax brackets so you might not need fancy software to do those estimates.
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