Everything I Paid in Taxes
On Thursday, I did my 1 Thing and paid my 2016 federal taxes as well as my 2017 first quarter estimated and business taxes. (I’m in Washington, so I don’t pay state taxes.)
Here’s what you need to know about my federal taxes:
In 2016, my gross income was $88,062—slightly higher than the money that hit my checking account, because it includes items like PayPal and Patreon fees as well as other non-paycheck income—and my business income minus loss was $77,177. My adjusted gross income was $68,836, and my taxable income after deductions and exemptions was $58,486.
I owed $10,390 in regular tax (yes, that’s what it’s called) and $10,905 in self-employment tax, totaling $21,295. I’d already paid $19,500 in estimated taxes, so, with the addition of a $29 penalty, I ended up owing $1,824.
Which is great. Last year I owed $2,589, and the year before that I owed $5,443. I am getting better at figuring out how much money I need to pay in estimated taxes!
So yesterday I paid $1,824 in federal taxes, $3,500 in federal estimated taxes, and $14.05 in state business taxes.
Megan’s also sharing her tax story later this afternoon, which means it’s “Pay Taxes a Week Early Day” at The Billfold. Have you paid yours?
This article is part of The Billfold’s Tax Series.
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