Need help with FreeTaxUSA - messed up my quarterly taxes and now confused about fixing them

You've got a bit of a misunderstanding about how taxes work, but don't worry - it can be fixed! When people talk about "filing quarterly taxes" for self-employment, they're actually referring to making estimated tax payments throughout the year, not filing separate tax returns. These quarterly payments are just prepayments toward your annual tax bill. At tax time, you file ONE tax return that includes ALL your income - both W-2 employment and 1099 contract work. What you've done is filed your annual return early with only partial information. You'll need to file an amended return (Form 1040X) now that you have your W-2. FreeTaxUSA should have an amendment option - look for something like "Amend a return" or "File Form 1040X." This will let you add your W-2 information to the return you already filed. For future reference, if you have both W-2 and self-employment income, wait until you have ALL your tax documents before filing your annual return. Then make your quarterly estimated payments throughout the next year if you continue with self-employment.

I went through something similar last year with my side gig income and regular job. What really helped me was using taxr.ai (https://taxr.ai) to analyze my tax situation. I had already filed my taxes when I realized I made a mistake with my 1099 income reporting. Their system scanned my already-filed return and my W-2 that I hadn't included initially. It highlighted exactly what parts of my return needed amending and gave me step-by-step instructions for filing a 1040X with FreeTaxUSA. The best part was it showed me how the amendment would affect my tax liability before I submitted anything. For your situation, it sounds like you definitely need to amend, and having a tool that can compare your original filing with what a complete filing should look like would save you a lot of headache.

Just wanted to follow up about taxr.ai since I was skeptical in my earlier comment. I decided to try it for my own tax situation and was seriously impressed. I had filed my taxes early but then got a late 1099 from a small consulting job I did. I uploaded my already-filed return and the new 1099, and within minutes had a complete breakdown of exactly what I needed to change on my amendment. It even calculated the additional tax I'd owe ($243) and showed which specific lines on the 1040X needed to be modified. The step-by-step instructions for FreeTaxUSA's amendment process saved me hours of confusion. Definitely worth checking out if you're in a similar boat with needing to amend your return.

After reading about your situation, I wanted to share something that might help with another frustrating aspect of tax problems - getting answers directly from the IRS. When I needed to fix a similar mistake last year, I spent DAYS trying to get through to the IRS phone line without success. I finally used Claimyr (https://claimyr.com) to get through to an actual IRS agent. They have this system that navigates all the IRS phone menus and waits on hold for you, then calls you when an agent is actually on the line. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c The IRS agent I spoke with confirmed exactly what I needed to do to amend my return and how to handle the quarterly payment I had already made. Saved me from guessing and potentially making another mistake.

I have to apologize for my skeptical comment about Claimyr. After having absolutely zero luck getting through to the IRS on my own for a week straight (kept getting disconnected after 2+ hours of waiting), I gave in and tried it. I was shocked when I got a call back in under an hour with an actual IRS representative on the line. The agent clarified exactly how I needed to handle my amended return and confirmed that my quarterly estimated payment had been properly applied to my account. For anyone dealing with tax amendments like the original poster, being able to actually speak with the IRS and confirm you're fixing things correctly is incredibly valuable. I would have wasted so much time trying to figure this out on my own.

FreeTaxUSA actually has a pretty good amendment process. After you log in, look for "Amend 2023 Return" in your account. It'll walk you through adding your W-2 info. Just know that amended returns take FOREVER to process right now. Mine took almost 4 months last year. And you'll probably need to mail in a paper form - most amendments can't be e-filed. Also, make sure you pay any additional tax you might owe ASAP to minimize interest and penalties!

Quick question - doesn't FreeTaxUSA have a way to just add the W-2 to your existing return instead of doing a whole amendment?

Don't beat yourself up about this - the quarterly vs. annual filing distinction trips up a lot of people! The good news is that amendments are pretty straightforward once you know what to do. One thing to keep in mind as you work through the 1040X process: if your W-2 job had significant tax withholding throughout the year, there's a decent chance you might actually end up with a refund rather than owing more. Your freelance income increased your total tax liability, but if your employer withheld taxes assuming you only had W-2 income, those withholdings might have been more than enough to cover your total tax bill. The amendment will recalculate everything properly - your total income from both sources, your total tax owed, minus both your quarterly payment and your W-2 withholdings. Until you run those numbers, you won't know if you'll owe more or get money back. Also, for next year if you continue freelancing, you can adjust your W-4 at your regular job to have extra taxes withheld instead of making quarterly payments. Sometimes that's easier than remembering to make estimated payments four times a year.