How Much Does a Second Job Get Taxed? Myth vs Reality

What tax pros wish you knew about your second job

Here’s the myth-buster tax pros wish made the rounds on TikTok months ago: your second job isn’t taxed at a special, higher rate. There’s no secret “second job penalty.” All your wages just stack together and get taxed at your marginal rate under the same federal brackets. That’s it. Simple on paper. Messy in real life. And the mess usually comes from how withholding is set up, not from the tax law itself.

Why do the nasty surprises pop up in April? Because your second employer typically withholds as if that paycheck is your only paycheck. If your first job already pushes you well into the 22% or 24% bracket, but your second job is withholding like you’re in the 12% bracket, you can end up short by hundreds, sometimes thousands, over a year. Then April shows up with a bill and a side-eye.

Quick reality check on how common this is. The Bureau of Labor Statistics reported that about 5.2% of employed people held more than one job in 2024. So if you’re juggling a weekend shift or app-based gigs, you’re not the odd one out. And right now, Q4 seasonal hiring is humming, so the “how-much-does-a-second-job-get-taxed” question is spiking again. Totally fair.

Over-explaining the obvious for a second: the IRS taxes your total taxable income. Your first dollar is taxed at the lowest bracket you qualify for, then the next chunk at the next bracket, and so on, up to your marginal rate. Your second job’s dollars land on top of the pile you already earned. That’s why your marginal rate matters. And yes, the top federal rate this year is still 37% for high earners, but most second-job earners are dealing with the 12%, 22%, or 24% ranges.

The fix, thankfully, isn’t exotic. It’s withholding hygiene. You’ve got options:

• Use Form W-4 Step 2 (Multiple Jobs box): This tells the second employer to withhold more so it lines up with your real marginal rate.
• Add extra dollars per paycheck (W-4 Step 4(c)): A clean way to plug the gap if you know you’re short.
• Run the IRS Tax Withholding Estimator: It’s clunky but useful, and it’ll spit out the extra amount to withhold.

And if you want the belt-and-suspenders approach tax pros actually use: aim for the underpayment safe harbor, paying in at least 100% of last year’s total tax (110% if your AGI was over $150k). That won’t improve your cash flow, but it keeps penalties off your back.

So here’s what you’ll get from this section: a plain-English map of how second-job income plugs into your tax bracket, why the withholding default often backfires, and the specific W-4 moves to keep April boring, in a good way. I’ve been on both sides of this, as an analyst and, yeah, as the guy who once forgot to tick the multiple-jobs box and spent April wishing I hadn’t. You’ll avoid that.

It’s your marginal rate that bites, how stacking income really works

The IRS doesn’t average your taxes across every dollar. It taxes the last dollar you earn at your marginal rate. That’s the slice that stings when you add a second job or extra shifts. In 2025, we’re still under the Tax Cuts and Jobs Act setup, same seven rates (10%, 12%, 22%, 24%, 32%, 35%, 37%), with the big sunset scheduled for 2026 unless Congress changes it. Translation: your extra paycheck usually lands on top of everything else you made this year, and it gets taxed at the highest bracket you’ve reached so far.

A few ground rules that trip people up:

• All W‑2 wages are combined. Your second job doesn’t get a “fresh” set of brackets. It sits on top of your main job’s income in one stack on your 1040.
• Your marginal (top) bracket applies to the next dollar. If your stack has already reached, say, the 24% bracket, that extra $500 weekend gig is facing 24% on the income tax side, not your overall average rate.
• Withholding follows marginal logic. Each employer withholds as if their paycheck is your only job unless you tell them otherwise on the W‑4. That’s why second-job withholding often comes in short, because the payroll system can’t see your full-year stack.
• Deductions/credits lower your effective rate. Standard or itemized deductions, child tax credit, education credits, they reduce taxable income or tax after the fact. Great for the year-end bill, but not a perfect fix for mid-year withholding unless you adjust the W‑4.

Quick, simple math, keeping it real-world: say you’re already in the 24% bracket and you pick up $5,000 from a second job. On the federal income tax alone, that’s roughly $1,200 at the margin. Layer on payroll taxes if you haven’t maxed Social Security: 6.2% Social Security plus 1.45% Medicare = 7.65% employee share (about $383 on $5,000). If your wages are high enough later in the year, you may hit the Additional Medicare surtax of 0.9% above $200k single/$250k married filing jointly. Add state taxes if you’ve got them. Bottom line: on that slice of income, your all-in bite can feel around 30% before state, give or take. Not your average rate, your marginal stack.

One wrinkle that matters this year: 2025 is the last TCJA year under current law. A lot of individual provisions are set to sunset in 2026, rate thresholds, the bigger standard deduction, the 20% pass-through deduction (199A), and the $10,000 SALT cap. If nothing changes, brackets will shift, the standard deduction shrinks, and personal exemptions come back. So your 2026 marginal math could look different, even if your pay doesn’t. I wish it were cleaner. It isn’t.

Key reminder: payroll systems don’t “know” your other job. Without W‑4 tweaks, they’ll often under-withhold on the side gig, then April shows up and, well, you’re not thrilled. Been there. Twice.

Two practical add-ons, because theory only gets you so far:

• Markets have kept yields decent this year, so parking extra cash for taxes in a money market still earns something while you wait. Boring is good.
• If this is getting too in-the-weeds, and it can, use the IRS estimator and flip on the multiple-jobs option. Then add a fixed extra amount in W‑4 Step 4(c). It’s not elegant; it works.

W-4 moves that stop under-withholding on a second paycheck

The IRS redesigned Form W‑4 to handle multiple jobs, but you’ve got to use Step 2 the way it’s written, or your second paycheck comes in light on withholding and April gets cranky. Two quick rules I tell people (and, honestly, myself): turn on the Multiple Jobs box correctly, and don’t double-count dependents.

1. Use Step 2 the way the IRS intends. If you have exactly two jobs total (or you’re married and there are two jobs across both spouses), check the Multiple Jobs box on one W‑4 only, the higher-paying job usually works best. If there are three or more jobs total, the IRS says check the box on each W‑4. That tells payroll to withhold at higher combined rates. Miss that box and the second job will assume you have only one job and a full standard deduction, which is why the tax comes out too low.
2. Claim dependents on one W‑4, not both. If you have kids or other qualifying dependents, enter them on the primary job’s W‑4 (Step 3) and put zero on the second job. Doubling that credit is the classic under-withholding trap.
3. Match your marginal rate with Step 4(c). The IRS Tax Withholding Estimator is solid, use it. Then at the second job, add a flat dollar amount in Step 4(c) so withholding lines up with your marginal bracket. Example: say your second job averages $800 biweekly and your marginal federal rate is 22% (for 2024, single filers hit 22% between $47,151 and $100,525; MFJ between $94,301 and $201,050). Add about $176 to Step 4(c) on that W‑4. It’s blunt, it works.
4. Update mid-year, especially Q4. Hours jump? Holiday shifts? A surprise bonus? Adjust the W‑4. Reminder: supplemental wages like bonuses are typically withheld at a flat 22% up to $1 million (IRS rate in 2024-2025), which may be below your actual marginal rate if you’re in 24% or higher, so Step 4(c) has to pick up the slack.
5. Married? Coordinate both W‑4s. Treat the household like one tax unit. One spouse checks the Multiple Jobs box for two total jobs; if there are three or more, each job gets the box. Put dependents on one W‑4, then use the estimator and split any extra Step 4(c) between paychecks in a way that won’t whiplash your cash flow. I’ve seen couples fix a $2,000 April surprise with $75-$100 extra per check on each job from October through year-end, boring math, effective result.

Quick reality check: your second job isn’t “taxed more.” It’s taxed at your marginal rate. That’s the next-dollar rate, could be 12%, 22%, 24%, etc. The reason it feels higher is the withholding tables misread your situation unless you tell them not to.

Two payroll details that matter even if they’re not exciting. Social Security is 6.2% employee-side until you hit the annual wage base, last year (2024) that cap was $168,600 of wages; above that, no more Social Security withholding. Medicare is 1.45% with no cap, and the 0.9% Additional Medicare Tax kicks in above $200,000 for single filers and $250,000 for married filing jointly (threshold set by law, unchanged through 2025). Why bring this up? If your primary job already cleared the Social Security cap, your second job shouldn’t still be taking 6.2% once the systems sync, worth watching.

One last practical note, because cash flow matters this quarter. Money market yields were around the high‑4s earlier this year and are still decent in Q4, so if you need to sock away a bit for taxes while your W‑4 changes propagate, that idle cash isn’t sleeping. And yes, I know, none of this is perfect. But the combo, Step 2 set right, dependents on one form, a Step 4(c) dollar add-on pegged to your bracket, and a Q4 check-in when shifts ramp, stops the under‑withholding mess on that second paycheck. Mostly. Real life is messy.

Payroll taxes 101: Social Security, Medicare, and that 0.9% add-on

Payroll taxes 101: Social Security, Medicare, and that 0.9% add‑on

Quick refresher, because two W‑2s make FICA behave weird. Social Security (OASDI) is 6.2% and it only applies up to the annual wage base across all your jobs. For 2025, the Social Security wage base is $168,600. Once your combined W‑2 wages for the year hit that number, no more 6.2% should be withheld. Medicare is different: it’s 1.45% on every dollar, no cap. And for higher earners, there’s the Additional Medicare Tax: an extra 0.9% on wages above $200,000 for withholding purposes at each employer, with the true threshold settled on your tax return ($200,000 single, $250,000 married filing jointly, unchanged through 2025). I know, three rules, one paycheck. Fun.

Here’s where second jobs create fricton:

• Social Security cap is combined across employers, Each employer only sees their own payroll. If Job A pays you $150,000 and Job B pays you $40,000, both will withhold 6.2% until they reach $168,600. In that example, you’d likely have excess Social Security withheld at Job B once your total passes the cap. You don’t call payroll to get it back, you claim the excess on your Form 1040 (reported on Schedule 3 as a refundable credit).
• Medicare has no cap, The 1.45% is on all W‑2 wages, period. There’s no “I hit the limit” moment.
• Additional Medicare Tax (0.9%), Employers must start withholding this once your wages with that employer exceed $200,000 in a year. They ignore your spouse and your other job. The real liability is based on your filing status and total wages and gets trued up on your return. So two mid‑six‑figure jobs can easily push you into the 0.9% even if neither employer individually crosses $200,000, no employer withholding occurs, but you’ll owe it on the 1040. The reverse also happens: an employer withholds 0.9% because you cross $200,000 with them, but your combined total as MFJ winds up below $250,000, you get it back on the return.

Numbers help. Say 2025 wages are $120,000 at Job A and $90,000 at Job B (total $210,000):

• Social Security: 6.2% applies only to the first $168,600 combined. If both employers withheld as if the cap is separate, you’d see up to 6.2% of $41,400 too much (in a worst‑case timing scenario). That’s up to $2,566.80 refunded via your 1040.
• Medicare 1.45%: 1.45% × $210,000 = $3,045, no adjustment needed.
• Additional 0.9%: If you’re single, you owe 0.9% on $10,000 (the amount above $200,000) = $90. If neither employer crossed $200,000 individually, no one withholds it, you pay it at filing. If you’re married filing jointly and combined wages are $210,000, you’re under the $250,000 threshold, no 0.9% due; if an employer withheld any, you get it back.

Two jobs increase both: (a) the odds of Social Security over‑withholding, and (b) the chance you cross the Additional Medicare threshold without employer withholding. Plan for it, especially in Q4 when hours pick up. I keep a rough tally in a notes app; doesn’t have to be pretty.

People search “how-much-does-a-second-job-get-taxed” and expect a single number. There isn’t one. The marginal bite depends on your bracket, plus these FICA mechanics that don’t care you’re juggling shifts.

Cash flow angle, because you feel it right now: if you expect an SS refund but might owe the 0.9% (or some income tax) in April, parking that expected refund amount in a high‑yield account beats guessing. Money market funds are still hovering in the high‑4% area this quarter, lower than the 5%+ we saw earlier this year, but decent. And if a paycheck starts withholding 0.9% after you cross $200,000 at that employer in December, don’t panic; it’s the system doing its job.

Actionable bits in plain English:

1. Track year‑to‑date wages across both jobs. When your combined wages hit $168,600 for 2025, expect Social Security withholding to stop at the primary job; any excess elsewhere is reclaimed on your 1040.
2. If either employer’s own wages for you top $200,000, they’ll start the 0.9% automatically. If neither does but you’ll be over the filing‑status threshold, increase withholding in W‑4 Step 4(c) or make an estimated payment.
3. Don’t email payroll demanding a refund of excess Social Security from a second job, they legally can’t coordinate across employers. The tax return fixes it.

Messy? Yeah. But once you know the guardrails, 6.2% up to $168,600 combined, 1.45% on everything, 0.9% above the law’s thresholds, you can predict the cash hits and avoid April surprises. I’ve seen this trip up senior VPs and weekend bartenders the same. Different titles, same math.

State and city taxes: why your second job can feel heavier

Your federal picture is only half the story. State and local rules can make the second paycheck feel “stickier,” especially in progressive-rate states or big metros with wage taxes. And yes, those little line items you barely notice, SDI, paid-leave premiums, can nibble too.

Progressive vs. flat states. In progressive states, your second job’s wages land on top of your first job’s wages and get taxed at your marginal rate, sorry, jargon, meaning the next dollar is taxed at the higher bracket you’ve reached. Two concrete examples as of 2024 schedules:

• California uses progressive rates from 1% up to 12.3% (plus an extra 1% mental health surtax on taxable income over $1 million). So that Saturday shift can be taxed at the same top bracket your combined income reaches.
• New York State runs roughly 4% to 10.9% at higher incomes, and if you’re a New York City resident, add about 3.078%-3.876% city income tax on top (2024 ranges).

Flat-tax states don’t do that bracket step-up. The rate is the rate. Examples: Pennsylvania 3.07% flat, Arizona 2.5% flat, and Colorado 4.40% flat (all 2024). So your second-job dollar isn’t “pushed” higher than your first-job dollar at the state level.

City, commuter, and wage taxes stack. These sit on top of state tax and can make metro paychecks feel notably lighter:

• NYC resident tax: about 3.078%-3.876% (2024).
• Philadelphia wage tax: around 3.75% for residents and ~3.44% for nonresidents as of mid‑2024.
• St. Louis and Kansas City, MO: 1% earnings tax.
• Detroit: 2.4% (resident) / 1.2% (nonresident).
• Many Ohio cities (e.g., Columbus 2.5%, Cleveland 2.5%) levy municipal income taxes.

This part I weirdly enjoy, because the math is clean. Add the local rate to the state withholding picture, and that second W‑2 job in the city can feel 2-4 percentage points “heavier” than the suburbs. Happens all the time right now with hybrid schedules in 2025.

Cross‑border work: live here, work there

• Reciprocity agreements mean your wages are generally taxed only by your resident state. Classic pairs: PA-NJ, MD-VA-DC (DC has reciprocity with MD and VA), IL-WI, parts of the Midwest. File the nonresident exemption form with your employer so they withhold only for your home state.
• No reciprocity? You’ll usually pay tax where you work and claim a credit for taxes paid to that other state on your resident return. The credit typically prevents double tax, but timing and withholding can still feel off during the year.
• Remote/hybrid wrinkles: some states keep a “convenience of the employer” rule (e.g., New York) that can source wages to the employer’s state unless your remote work is employer-required. It’s picky. Keep documentation.

Quick gut‑check: If your second job is in a city with its own wage tax and your primary job is not, expect the second paycheck to run a percent or three lighter after withholdings. Not a mistake, just the stack of jurisdictions.

Don’t skip the tiny lines on your stub. A few states withhold for disability or paid leave, which can make the second check look thinner even when rates are flat:

• CA SDI (State Disability Insurance) shows as SDI on paystubs; California also funds Paid Family Leave from SDI contributions. Rates and wage bases are set annually by EDD.
• New Jersey withholds for Temporary Disability and Family Leave Insurance; employee rates and wage bases adjust each year.
• New York has Paid Family Leave deductions (employee-funded) alongside statutory disability (usually employer-paid with small employee contributions in some cases).
• Rhode Island TDI/TDI‑like programs and states with paid leave premiums like CT (0.5% employee PFML since 2021), CO and WA (shared premiums) will appear as separate lines.

Actionable bits for this year: match your work location(s) to any local wage tax, verify reciprocity status before you fill out new-hire forms, and scan your paystubs for SDI/PFML lines. If the second job is in a higher-tax city or a progressive state, increase state/local withholding on that job, or make a small quarterly, to keep April quiet. I’ve done exactly that when I took a short consulting stint in Philly, saved me a headache and, frankly, a rant.

W-2 second job vs 1099 side gig: totally different tax math

W‑2 second job vs 1099 side gig: totally different tax math

If your second paycheck is W‑2, your employer handles the messy parts: income tax withholding and FICA (Social Security + Medicare). Your job, really, is W‑4 tuning. Since 2020, the W‑4 has that Step 2 checkbox for “multiple jobs” and the worksheet. If you don’t check it on the second job, withholding can be too light and April gets loud. I’ve made that mistake… twice. Also, higher earners: the Additional Medicare tax of 0.9% kicks in on W‑2 wages above $200,000 (single) or $250,000 (married filing jointly). Employers only withhold the 0.9% once you cross $200k with them, which can be off if your income is split across two jobs.

Now, 1099 is a different world. You’re the employer and the employee. That means:

• Income tax with no withholding by default. You send estimates.
• Self‑employment (SE) tax: 15.3% on net profit up to the Social Security cap, which is 12.4% Social Security + 2.9% Medicare. For 2025, the Social Security wage base is $174,900 (SSA published figure for 2025). Above that, the 12.4% stops; the 2.9% Medicare continues, and the extra 0.9% Medicare can apply over the $200k/$250k thresholds.
• Quarterly estimates using Form 1040‑ES: typically due April 15, June 15, Sept 15, and Jan 15 of the following year (Jan 15, 2026 for the last 2025 quarter).

Two quick but important nuances we usually have to pencil out:

1. Social Security cap is combined across W‑2 and 1099. If your W‑2 wages already hit the 2025 cap ($174,900), the 12.4% part of SE tax on your 1099 net profit is zero. You’ll still owe the 2.9% Medicare (plus the 0.9% if your total earned income clears the threshold). That interaction is a real cash swing.
2. Safe harbor estimates. To avoid underpayment penalties, hit one of the IRS safe harbors: pay in at least 90% of your current‑year total tax, or 100% of last year’s total tax (110% if your prior‑year AGI was over $150,000). Those are straight from IRS rules and they save a lot of stress.

Let me over‑explain a simple thing, because it trips people (and me, occasionally): 1099 tax is based on net profit, not gross. So if you gross $10,000 but have $2,000 of legitimate expenses, your net is $8,000. SE tax applies to the net, which lowers both SE tax and income tax. Yes, I’m simplifying a hair, there’s a 92.35% factor for SE tax calculation, but the gist holds.

Mini example (2025): You earn $120,000 W‑2 and $20,000 1099 with $3,000 expenses (net = $17,000). You haven’t hit the $174,900 cap on Social Security with W‑2 alone, so the 12.4% applies on the $17,000. Rough SE tax: 15.3% × ~$15,720 (after the 92.35% factor) ≈ $2,405. If your W‑2 were $190,000 instead, the 12.4% drops to zero and you’d only owe the 2.9% Medicare (plus potential 0.9%). That’s hundreds to low‑thousands of cash difference.

Deductions that actually move the needle for 1099 work:

• Mileage (standard rate) or actual auto costs, track contemporaneously.
• Supplies, software, phone portion used for business.
• Home office if it’s a regular, exclusive space, simplified or actual method.
• Half of your SE tax is an “above‑the‑line” deduction on your 1040. Easy to miss.

Cash flow wise, W‑2 is set‑and‑forget after W‑4, while 1099 needs a little CFO brain. I park a slice of each 1099 payment into a separate tax bucket the same day it hits, habit beats memory. If your second job is seasonal (very Q4 thing), consider a one‑time extra W‑2 withholding or a quick 1040‑ES payment to stay inside the safe harbor. Better to be slightly overpaid and square it up at refund time than to donate penalties to the government’s tip jar.

Make the extra paycheck work: a quick wrap and what to tweak next

There isn’t a special “second-job tax.” Your extra W-2 pay stacks on top of your first job and gets taxed at your marginal rate. If your combined income lives in, say, the 22% or 24% federal bracket, that’s the rate that bites each extra dollar. States pile on, many run around 5%, and payroll taxes still apply. This is why people swear their second job is “taxed more.” It’s not. It’s just landing at the top of the pile.

Q4 2025 is cleanup time so April isn’t a facepalm. Two fixes handle 90% of headaches:

• W-4 reality check. Use the IRS Tax Withholding Estimator (updated each fall) and plug in both jobs. If the second employer can’t handle multiple-job withholding well, add dollars in Step 4(c) at the second job. Start with the estimator’s suggestion. If you’re conservative, bump it by $25-$75 per paycheck. Revisit after any bonus or schedule change.
• Know your FICA thresholds. Social Security is 6.2% for employees until you hit the annual cap at each employer combined. The cap for 2024 was $168,600 (SSA), and it’s higher for 2025, check your YTD pay; once you cross the cap, that 6.2% stops. Medicare is 1.45% with no cap, plus the Additional Medicare Tax of 0.9% above $200,000 single/$250,000 MFJ (thresholds established in 2013 and unchanged). If both jobs together push you near those levels, expect a little extra bite; if it over-withholds at one job, it squares up on your return.

Short version: fix withholding to match reality. If you like safe harbors, remember the IRS rules: pay in at least 90% of this year’s tax or 100% of last year’s (110% if your 2024 AGI was over $150k) and you avoid penalties. For seasonal surges (very Q4 thing), I’ll sometimes throw a one-time Step 4(c) add-on or make a 1040-ES payment. Habit beats memory.

Now point the cash. In 2025, high-yield savings have slipped from peak levels, but you’re still seeing ~4% give or take, which is fine for your emergency fund target (3-6 months). Beyond that, higher-APR debt is the layup: if your card is at 19% APR, every dollar is a 19% guaranteed return. After that:

• HSA if you’re in a HDHP, pre-tax in, tax-free out for qualified medical. Triple tax perk. 2025 limits increased again; check your plan window during open enrollment.
• 401(k)/403(b)/457 top-ups, decide pre-tax vs Roth based on bracket. If you’re at the edge of 24%, pre-tax may win; if you’re certain your retirement rate is higher, Roth can be smarter. It’s my take, not gospel.
• Roth IRA (direct or backdoor) once the basics are covered.

If you’re eyeing bigger moves next: consider a simple estimated tax cadence for irregular second-job pay, dial in pre-tax vs Roth with an eye on your marginal bracket, and use open enrollment right now to stack after-tax wins (FSAs, HSA family tiers, disability, and the dull but important dental/vision math). Small plan tweaks save real money, around 7% swings in after-tax take-home aren’t crazy when you coordinate benefits with withholding.

One last thing I didn’t say up top but should’ve: check state quirks. A few states have local add-ons or no reciprocity if you work across borders, and some municipalities skim their own wage tax. It’s boring, yes, but catching it now means April is just a refund coffee, not a panic espresso.

Frequently Asked Questions

Q: How do I set up my W-4s for a second job so I don’t get hit with a bill in April?

A: Use the Multiple Jobs checkbox on Form W-4 Step 2 for your second job and/or add a flat extra amount in Step 4(c). The article’s point holds: there’s no special second‑job tax rate, your total income is taxed at your marginal rate. The problem is withholding. If your primary job already puts you in, say, the 22% or 24% bracket, tell the second employer to withhold more. Quick approach: estimate your second‑job annual pay, multiply by your marginal rate to get the extra tax, then divide by the remaining paychecks at that job. Example: $10,000 x 22% = $2,200; with 10 paychecks left, add ~$220 per check in Step 4(c). Recheck after a month; stuff drifts.

Q: What’s the difference between my marginal tax rate and what my second job actually withholds?

A: Your marginal rate is the tax on your next dollar of total income; withholding is just a prepayment guess. Per the article, your wages stack and get taxed under the same brackets, no special penalty. But a second employer often withholds as if that paycheck is your only income, which can look like 12% when you’re really in 22% or 24%. That mismatch is why April sometimes delivers a side‑eye. For context, the top federal rate in 2025 is still 37%, but most two‑job folks are dealing in the 12%-24% range.

Q: Is it better to adjust withholding at my main job or the side gig?

A: Whichever is steadier and easier to manage. Practically, I tweak the main job because the pay schedule is consistent and payroll is responsive. The IRS doesn’t care which W‑4 you use, just that enough gets withheld. Rule of thumb: take your expected second‑job income, multiply by your marginal rate to estimate extra tax, then divide by the remaining pay periods at the job you’re adjusting. Example: $8,000 at 24% ≈ $1,920; with 12 paychecks left at your main job, add ~$160 in Step 4(c). If your side‑gig hours jump around, keep the adjustments on the main job.

Q: Should I worry about quarterly estimated taxes if I have a second job or gigs?

A: Depends on how you’re paid. If both jobs are W‑2 and you dial in withholding, you usually don’t need quarterlies. If you’ve got 1099 gig income, yes, consider estimates. Safe harbor: pay in at least 90% of your 2025 tax or 100% of your 2024 tax (110% if your 2024 AGI was over $150k) to avoid underpayment penalties. For 2025, the remaining estimate due date is Jan 15, 2026. You can use IRS Direct Pay or EFTPS. Also, for 1099 work, skim 25%-30% of net profit into a tax bucket; it’s boring, but it saves headaches. And FYI, about 5.2% of workers held multiple jobs in 2024 per BLS, so you’re not the oddball here.

@article{how-much-does-a-second-job-get-taxed-myth-vs-reality,
    title   = {How Much Does a Second Job Get Taxed? Myth vs Reality},
    author  = {Beeri Sparks},
    year    = {2025},
    journal = {Bankpointe},
    url     = {https://bankpointe.com/articles/second-job-tax-rate/}
}