If part of your Social Security is taxable, the IRS expects you to pay that tax during the year, not all at once in April. Nothing is withheld from your benefit check unless you ask for it. That leaves two ways to avoid a surprise bill and a possible underpayment penalty: ask Social Security to withhold tax from each check, or send the IRS quarterly estimated payments yourself.
Option 1: Ask Social Security to Withhold With Form W-4V
Form W-4V, the Voluntary Withholding Request, lets you tell the payer of your Social Security benefits to hold back federal income tax. The January 2026 revision of the form offers four flat rates for Social Security benefits:
- 7% of each payment
- 10% of each payment
- 12% of each payment
- 22% of each payment
A few rules from the form itself are worth knowing:
- Give the signed form to the payer, which for you is Social Security. The form says plainly not to send it to the IRS.
- Your request is voluntary. You are not required to have tax withheld.
- The form has a separate box to stop withholding later, so you can change your mind.
- Payers may use their own form instead, so ask Social Security which version it wants.
Option 2: Pay Estimated Tax Yourself
Estimated payments are the other route, and they also cover income that has no withholding, such as interest, dividends or a pension that does not withhold. According to the IRS, you generally need to make them for the current year if both of these are true:
- You expect to owe at least $1,000 in tax after subtracting your withholding and refundable credits.
- You expect your withholding and credits to be less than the smaller of 90% of the tax on this year’s return or 100% of the tax on last year’s return. The prior-year figure rises to 110% if last year’s adjusted gross income was above $150,000 ($75,000 if married filing separately).
The fourth and last 2026 payment is due January 15, 2027. You can pay online through IRS Direct Pay or your IRS online account, or mail a payment, which counts as of its postmark.
W-4V vs. Estimated Payments at a Glance
| Question | Form W-4V withholding | Quarterly estimated payments |
|---|---|---|
| How it works | A flat percentage comes out of every benefit check | You send the IRS a payment on each due date |
| Rate or amount | 7%, 10%, 12% or 22% | Any amount you calculate |
| Who handles it | Social Security, after you submit the form | You, by Direct Pay, your IRS online account or mail |
| Can you stop it? | Yes, with the stop box on the form | Yes, by simply not sending the next payment |
| Best for | People whose main taxable income is Social Security | People with other income that has no withholding |
A Worked Example
Say you collect $2,000 a month ($24,000 a year) and expect to owe about $2,400 in federal tax for the year, with nothing withheld from other income.
- At 7%, $140 comes out of each check, or $1,680 over 12 checks. That falls short of $2,400.
- At 10%, $200 comes out of each check, or $2,400 over 12 checks. That covers the full amount.
- At 12%, $240 comes out of each check, or $2,880 over 12 checks. That slightly overpays, and you get the difference back as a refund.
- At 22%, $440 comes out of each check, or $5,280 over 12 checks. That is far more than this retiree needs.
These figures are illustrations, not tax advice. Your own tax depends on your income, filing status and deductions. If you start withholding late in the year, only the remaining checks are affected, so the percentage may need to be higher to catch up.
Which One Should You Pick?
- Social Security is your only taxable income: W-4V is usually the simpler choice. Set it once and it runs on its own.
- You also have large interest, dividends or side income with no withholding: Estimated payments let you match the amount to that income.
- You are not sure how much you owe: Use the IRS Tax Withholding Estimator, then choose the closest rate.
- Your income varies from year to year: Quarterly payments are easier to adjust than a fixed percentage.
- You owed nothing last year and expect the same: If you expect to owe under $1,000 after withholding and credits, you may not need to do anything.
Frequently Asked Questions
Do I have to withhold tax from Social Security?
No. Withholding is voluntary. If you do nothing, no federal tax is taken out, and you are responsible for paying what you owe through estimated payments or when you file.
Can I pick any percentage I want?
On Form W-4V you choose from 7%, 10%, 12% or 22%. If none fits, estimated payments let you pay a precise amount.
Where do I send Form W-4V?
To the payer of your benefits, which is Social Security. Do not send it to the IRS.
What if I change my mind?
The form includes a box to stop withholding. You can submit a new form to change the rate or stop it.
Which is better, withholding or estimated payments?
Either one can keep you out of trouble if you pay enough. The IRS notes that increasing your withholding can also cover the estimated tax requirement, so you may not need separate payments at all.