ADP MyTax
Simplify federal quarterly tax payments for your freelance and 1099 clients. ADP MyTax supports the collection and payment of estimated taxes, helping you provide guidance for the entire tax cycle.
Elevate your clients' quarterly estimated tax experience
ADP MyTax saves your clients time and enriches their entire experience with estimated taxes, guiding them toward enhanced financial well-being.
Improve the financial well-being of your clients
In the ever-changing landscape of freelance work and the gig economy, it can be challenging to appropriately budget for quarterly estimated taxes. But with ADP MyTax, it’s as simple as setting it and forgetting it. Your freelance and 1099 clients allocate a designated amount of their income for taxes. The system then automatically sets asides the funds and remits the quarterly tax payments directly to the IRS on their behalf.
Save time for your clients and yourself
Your clients have a lot on their plate – and so do you. ADP MyTax makes it easier for them to save for their quarterly obligation and avoid late fees and interest charges. As a result, they can focus more on their business and less on taxes. ADP MyTax also eliminates the guesswork of determining when and how tax payments were made during the year so you can easily track your client’s annual contributions.
Reduce the “surprise factor” and enhance the client experience
Sometimes freelancers receive a larger tax bill than expected at year-end . ADP MyTax helps your clients avoid such surprises by managing their tax obligation throughout the year. We’ll collect their tax dues each quarter, pay the IRS on the appointed due date and provide confirmation of payment.
Simplify your clients’ tax payments in three easy steps:
Step 1
Identify those within your client base who need to make quarterly estimated tax payments to the IRS.1
Step 2
Calculate and share the estimated federal tax liability for each client.
Step 3
Invite your clients to sign up for the free ADP MyTax solution.
Resources to guide your clients
Learn how ADP MyTax works
Show your clients how easy it can be to manage their estimated federal tax payments.
Download Now
Invite your clients with turnkey materials
Use this email template to invite eligible clients to ADP MyTax.
Download NowMyTax frequently asked questions
Who is this product for?
ADP MyTax is designed for freelancers (1099 income earners or pass-through entities) in the United States who are required to pay quarterly estimated taxes to the IRS. The solution is geared toward clients with low to moderate income – those who earn a at least of $1,000 per year but less than $1 million annually.
How does this product help clients with their quarterly taxes?
ADP MyTax helps clients avoid fees and interest by making it easy for them stay on top of their quarterly estimates. Clients choose how often they want the money for their quarterly estimates set aside (e.g., weekly or monthly) and ADP MyTax will draw the funds directly from their account through a secure connection with their bank. When the quarterly estimates become due, ADP MyTax will submit the funds directly to the IRS on the client’s behalf per the quarterly schedule determined by the IRS.
How is the estimation handled?
Clients will continue to rely on their accountants to calculate their quarterly estimates. They will then contact ADP MyTax with the amount owed, and we’ll set aside funds from their account through a secure link with their bank. We’ll withhold the money on a frequency determined by the client (e.g., weekly or monthly), and when the quarterly estimates are due, we’ll remit the funds to the IRS on their behalf.
How will my clients know their payments have been received?
Every time we submit funds to the IRS on their behalf, we’ll send them confirmation for their records.
Does this tool pay the IRS throughout the year?
ADP MyTax remits funds quarterly to the IRS based on the schedule set by the IRS.
How does this tool work?
First, your clients decide the amount of estimated tax they want sent to the IRS based on your calculations and determine a schedule for the bank account withdrawals. They then authorize a secure connection between their bank and ADP. ADP pulls funds from the client’s bank account and moves them to a holding account at ADP. Funds are pulled weekly, biweekly or monthly, based on your client’s preference and remitted to the IRS.
What if my client uses a coupon book for their quarterly estimates?
ADP MyTax is a digital alternative that completely replaces coupon books. It provides your clients with a simpler way to save for their estimated tax obligation because we do the work of remitting the funds directly to the IRS for them.
Additional questions regarding ADP MyTax?
Email us at: estimatedtax@adp.com
Get in touch
Want to learn more about ADP MyTax? Complete the form below to start the conversation.
Your privacy is assured.
1 ADP MyTax supports 1099 income earners filing as individuals, not businesses.