Tax Reserve
Nothing was withheld. So the whole bill is yours to see coming.
An employer takes it out before the money ever reaches you. Working for yourself, every dollar arrives whole, and the part that was never yours has to be set aside on purpose. This works out how much, and when it is due.
Work Out My ReserveWhat to hold back, based on the income you've logged.
Every figure here is an estimate. Nothing is saved and nothing is sent anywhere. Inside Hatchly this reads the income you have logged and the day each payment arrived. On this page you enter it yourself.
Estimate
$0.00
Still To Set Aside
Four checkpoints, and none of them is a quarter.
This is the part almost everyone gets wrong. The IRS payment periods are not three months each. The second one is two months long and the last one is four. If you divide your year into calendar quarters you will be late in June and early in January.
Q1
$0.00
Jan 1, 2026 – Mar 31, 2026 · 3 months
Due Apr 15, 2026
Q2
$0.00
Apr 1, 2026 – May 31, 2026 · 2 months
Due Jun 15, 2026
Q3
$0.00
Jun 1, 2026 – Aug 31, 2026 · 3 months
Due Sep 15, 2026
Q4
$0.00
Sep 1, 2026 – Dec 31, 2026 · 4 months
Due Jan 15, 2027
The split above assumes your income arrived evenly through the year, which for most self-employed people it did not. Inside Hatchly each period is worked out from the payments that actually landed inside it, so a quiet spring and a busy autumn produce two different numbers rather than one averaged one.
A period that came up short stays short. It does not reset when the next one opens, and it does not disappear at the year boundary. Being honest about a missed checkpoint is more useful than a clean-looking total.
Three things this connects to.
The number moves as you log income.
A reserve worked out once in February is wrong by March. Every payment you record changes what you owe, and the figure follows it rather than waiting for you to redo the sum.
It is measured against what you have actually set aside.
Hatchly tracks what you have held back and what you have already paid, and shows the difference. Money you move to the IRS reduces the reserve you are holding, in every view, so the two figures never disagree.
Hatchly never touches the money.
It does not hold it, move it, or transfer it anywhere. You move it yourself, in your own institution, when you decide to. All Hatchly does is tell you the number and the date.
The questions that come up first.
Do I have to pay quarterly at all?
Generally you are expected to pay as you earn rather than in one lump the following April. There is usually no penalty if the amount you would still owe after withholding and credits is small, and there are safe harbour rules based on what you paid last year. The thresholds are worth confirming for your situation, because they are the difference between a penalty and none.
Why is 30% the default?
It is deliberately blunt. Self-employment tax alone is 15.3% on most of your net profit, and federal income tax sits on top of that, so a flat 30% clears both for a lot of people without needing a bracket table. It is a holding figure, not a calculation. If your income is high or your state taxes income, it will be low.
What is self-employment tax, and why is it separate?
It is Social Security and Medicare. On a payslip an employer pays half and you pay half, and you only ever see your half. Self-employed you pay both halves yourself, on your whole profit, which is why the bill is larger than people expect. Half of it is deductible when working out your income tax.
My income is lumpy. Do I still pay the same each period?
No, and this is the case the calendar-quarter habit handles worst. Each period is worked out from what you actually earned inside it, so a period with no work produces a small figure or none. The even split shown above is only a starting point for a page that cannot see your dates.
What if I miss a date?
Pay it as soon as you can. Interest generally accrues from the date the payment was due, so a late payment costs less than an unmade one, and the shortfall does not vanish because the next period opened.
What if I set aside too much?
Then you have over-reserved rather than lost anything, and it comes back as a refund or reduces the next payment. Setting aside slightly too much is the cheaper mistake of the two.
Does this include my state?
Only if you enter a state rate in Calculated mode, and only as a flat percentage. States differ enormously, several have no income tax at all, and some have their own payment periods on different dates. Check your state directly.
Does Hatchly hold the money or pay the IRS for me?
No. Hatchly never holds or moves money and is not a tax preparer, an accountant, or a financial adviser. It works out the number and shows you the date. Moving the money and making the payment are yours to do.
Hatchly is not a tax preparer, an accountant, or a financial adviser. This page is educational. Every figure is an estimate based on the income you've logged and is not tax advice. Hatchly does not hold or move money. Confirm what you owe and when it is due with a tax professional.