If i'm an independent contractor and will make approximately $18,000 this year...how much tax should I pay?

Question

I'm single, no dependents, no write-offs/expenses.

Answer 1

I used to work for FedEx ground. Were independent contractors also. This is what I did. I opened up a savings account. Every pay check I put in 25-30% of that check in it. I did this for two reasons, 1. so I wouldnt spent it and 2. so it'd collect interest. Alot of times I have to much saved up. So i felt like I had extra money. (which is a good thing) So, you need to pay probably around 30% of your total earnings/paychecks.

Answer 2

Read about self employed tax filing: http://taxipay.blogspot.com/2008/04/tax-...

Answer 3

Assuming that's your net profit, the Self-Employment tax will be $2,543.  The income tax will be about $966.  Total:  $3,509.  

That amount requires that you make quarterly estimated tax payments of $878.00 using Form 1040-ES.  The first 2 payments are past due, they were due on April 15th and June 15th.  The next is due on Sept 15th and the last is due on Jan 15, 2009.  You can skip the Jan 15th payment if you file and pay any remaining debt by Jan 31, 2009.  

If you didn't make the April and June payments there may be some penalties and interest for underpayment of estimated taxes.  And if you didn't make them, use the June coupon to make a $1,756 payment immediately.  That will help to minimize the penalties and interest.