A very important deadline is quickly approaching for Social Security recipients, and if it’s missed there could be major penalties.
Some Americans who were self employed decided to defer their Social Security tax and pay half of it by Jan. 3, 2022.
The second half is due Jan. 3, 2023.
Employers and those who were self employed could choose to delay paying their share of Social Security taxes.
This was to help provide financial relief to Americans during COVID-19.
This relief was temporary and while it helped to provide relief during the pandemic, it still needs to get paid.
Some Americans were sent a reminder and others were not, but the deadline still stands.
Missing that deadline could cost 10% of the deferred amount, then 15% after ten more days.
Related: Where’s my refund? IRS says tax return payments from 2020 will still need to be processed in 2022
How do I pay my deferred taxes?
You may make payments through the Electronic Federal Tax Payment System or with any other form of payment.
The payments need to be made separately from other payments to the IRS so they don’t get confused or mixed up with other payments.
Direct Pay is an option for individual taxpayers, available on IRS.gov.