PayoutTaxGot a prop firm payout? Know what to set aside before the IRS asks.
Prop firms don't take out a cent of tax. PayoutTax shows you, in seconds, how much of every payout is safe to spend, how much to set aside, and when to pay the IRS. No surprise bill in April.
- Free calculator, no sign-up
- State tax built in for 33 states
- $19 a year after a 3-day free trial
Founding traders: first year free for honest feedback. 50 spots, no card.
Planning estimates, not tax advice. Not a substitute for a licensed CPA.
Single filer, $70,000 day job, Texas, 2026 IRS tables, before any QBI deduction you may qualify for. Your numbers will differ: run yours below.
How much of your payouts should you set aside?
Enter your 2026 numbers so far. You'll see the amount to keep, the rate for each new payout, your next due date, and the W-4 option. Nothing you type leaves your browser.
Track every payout this year
- Log each payout as it lands. Your set-aside updates itself.
- See what to pay before each IRS due date, and what's safe to spend.
- Keep this number. It's saved in your account, ready for your CPA at tax time.
Founding trader spot: free first year, no card, for honest feedback.
Just want the dates?
Prop firm tax deadlines and set-aside tips by email, free, about once a week. No account needed.
For traders paid by Apex Trader Funding, Topstep, Tradeify, Take Profit Trader, MyFundedFutures and any prop firm that pays you as a contractor.
Independent. Not affiliated with, endorsed by or sponsored by any prop firm.
From eval to tax time, PayoutTax covers each step
A funded account isn't your own trading account. The firm's capital, your service, their payout: that makes it self-employment income, and it changes how and when you pay.
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Evaluation
Fees are trading costs
Eval fees, resets, activation and data are commonly deducted against payouts. Log them and your tax goes down.
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Funded
It's contractor income
Payouts are self-employment income, not capital gains. The 60/40 futures rule generally doesn't apply.
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Payout
Nothing is withheld
The full amount hits your account. PayoutTax shows what part of it is really the IRS's, the moment you log it.
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Quarterly
Pay during the year
Apr 15, Jun 15, Sep 15, Jan 15. See the amount that keeps you out of penalties, or the W-4 bump that covers it from your paycheck.
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January
Your 1099-NEC arrives
Check it against your own payout log, then hand your CPA one clean list of payouts and costs.
From your first payout to tax day, handled
Know what's yours the moment you're paid
Log a payout and see exactly what to set aside and what's safe to spend. Your day job is counted in.
Every fee lowers your bill
Log evals, resets and data. Each one cuts what you owe, and your set-aside drops right away.
Stay ahead of IRS deadlines
See what to pay by each due date to avoid penalties, or the W-4 change that covers it from your paycheck.
Your state, done for you
Real 2026 state tax for 33 states, down to your county in Maryland. No guessing a rate.
Catch a wrong 1099 in seconds
Type in the 1099-NECs your firms send in January. We flag any that don't match what you were paid.
Hand your CPA one file
Download a spreadsheet or print a one-page summary of your year. Payouts, costs and payments, done.
Private by design: email sign-in with no password, no SSN, no bank or broker logins. Delete everything any time.
Free to check. $19 a year to track.
Less than $2 a month to never wonder what you owe on your payouts.
Calculator
- What to set aside from your payouts
- Your next IRS due date and how much to pay
- Or the W-4 change that covers it from your paycheck
- Federal, self-employment and state tax (33 states)
PayoutTax account
- Log a payout, see what's yours instantly
- Every fee you log lowers your bill
- What to pay by each deadline to avoid penalties
- 1099-NEC check in January
- One file for your CPA
- No password, no SSN. Delete everything any time
Card required to start the trial; cancel before it ends and you pay nothing. Then $19 a year, renews yearly until you cancel. Cancel any time from your dashboard; no refunds, and you're never charged again after cancelling. See the Terms.
Prop firm taxes, explained
Plain-English guides for US funded traders, with the IRS sources linked.
- How prop firm payouts are taxedSelf-employment income, nothing withheld, and a worked $5,000 example.
- Before December 31: the year-end checklistSix moves that can still lower or smooth out your 2026 bill.
- Could a Solo 401(k) save you $4,000?How a $20,000 payout year can save about $4,000 in federal tax.
Prop firm taxes, answered
How are prop firm payouts taxed?
Most prop firms pay US traders as independent contractors and report payouts on a 1099-NEC. Nothing is withheld. Payouts minus your trading costs are self-employment income: you pay income tax on them at your top bracket (and a higher one if the payouts push you into it), plus self-employment tax (Social Security and Medicare) of about 15.3% on 92.35% of the net.
Do I still need a CPA?
Yes, we recommend it. PayoutTax is a planning tool that helps you set money aside and stay on top of quarterly payments during the year. It isn't tax advice, it doesn't file your return, and it can't see your whole situation (other income, credits, deductions, state rules, entity choices). Work with a licensed CPA or IRS enrolled agent before you file, and bring them your PayoutTax log.
Which prop firms does PayoutTax work with?
Any of them. PayoutTax doesn't connect to your prop firm account: you log the payouts you receive, from any firm, and it works out the tax. It's built for US traders at futures prop firms such as Apex Trader Funding, Topstep, Tradeify, Take Profit Trader and MyFundedFutures. PayoutTax is independent and not affiliated with any of them.
Do I have to pay quarterly estimated taxes?
Usually, yes, if you'll owe enough when you file. The IRS expects payment during the year: quarterly estimated payments (Apr 15, Jun 15, Sep 15, Jan 15), or more withholding from your day job. You avoid the underpayment penalty if what you pay meets the safe harbor, generally 90% of this year's tax or 100% of last year's (110% if your income is higher). The calculator shows the minimum.
W-4 or estimated payments: which is better?
Both work. Withholding from your day job counts as paid evenly through the year, so raising it late in the year still covers earlier quarters. Estimated payments are paid directly to the IRS on each due date. The calculator shows both so you can pick.
Does the 60/40 futures rule apply to payouts?
Generally not. The Section 1256 60/40 rule is for futures contracts you trade in your own account. Prop firm payouts are paid for a service, so they're treated as self-employment income. Confirm your situation with a CPA.
Can I deduct evaluation fees and resets?
Trading costs such as evaluation fees, resets, activation fees, data and platforms are commonly treated as business expenses against your payouts. Enter them as trading costs; keep the receipts and confirm with your CPA.
How does the free trial and billing work?
Start a 3-day free trial with a card: $0 today, and your first $19 charge is when the trial ends, unless you cancel before then from your dashboard. After that it's $19 a year. It renews every year until you cancel, and you can cancel any time from your dashboard. There are no refunds, and you're never charged again after you cancel. The calculator stays free either way.
Is my data safe?
We store only your email and the numbers you enter, never an SSN, ID number or bank or broker login. Card payments are handled by Stripe; we never see your card number. You can delete your account and everything in it at any time. See the Privacy policy.
Is this tax advice?
No. PayoutTax gives estimates for planning, using published IRS and state figures for the tax year. It leaves out some things, such as the QBI deduction, credits and other income, and it doesn't file returns. Confirm with a CPA before you act on any number.
Your next payout is coming. Know your number first.
Free calculator now, or track every payout for $19 a year.