EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

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seekzz
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EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by seekzz » Wed Nov 07, 2018 12:43 pm

EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?
Hello Everyone,
I'm new retiree and thinking of doing partial Roth conversion for a few (8-10) yrs till RMD hits. I'd really appreciate your advices on the best ways to handle the related tax issues.
Thanks in advance.
seekzz :happy

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nisiprius
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by nisiprius » Wed Nov 07, 2018 1:10 pm

I think ETFPS is an older system that is being superseded by Direct Pay. I can tell you from personal experience that they don't have access to the same records, Direct Pay only knows about payments you've made through Direct Pay and ETFPS only knows about payments made through ETFPS, which can be a nuisance.
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b4real
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by b4real » Wed Nov 07, 2018 6:42 pm

Since retiring a few years ago, I've used EFTPS to schedule the year's estimated tax payments after filing taxes in April. When I looked into using Direct Pay or EFTPs, Direct Pay did not allow scheduling future payments. I don't know if that's still the case. EFTPS has worked well for me.

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FiveK
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by FiveK » Wed Nov 07, 2018 6:49 pm

According to Direct Pay Help | Internal Revenue Service,
Yes. While you can use either [Direct Pay or EFTPS] to make individual tax payments online, IRS Direct Pay doesn't require a registration process.
We actually prefer EFTPS because it has our bank account information so we don't have to re-enter it each time, but that's a matter of taste.

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HueyLD
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by HueyLD » Wed Nov 07, 2018 7:53 pm

If your credit is frozen, you won't be able to use the Direct Pay. So, it will be a pain to have to unfreeze and refreeze every time.

nbseer
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by nbseer » Wed Nov 07, 2018 8:14 pm

Have been using EFTPS.. so far working well in scheduling future tax payments.

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southerndoc
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by southerndoc » Wed Nov 07, 2018 11:09 pm

HueyLD wrote:
Wed Nov 07, 2018 7:53 pm
If your credit is frozen, you won't be able to use the Direct Pay. So, it will be a pain to have to unfreeze and refreeze every time.
I have my credit frozen and I've had no issue with Direct Pay.

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HueyLD
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by HueyLD » Thu Nov 08, 2018 6:03 am

southerndoc wrote:
Wed Nov 07, 2018 11:09 pm
HueyLD wrote:
Wed Nov 07, 2018 7:53 pm
If your credit is frozen, you won't be able to use the Direct Pay. So, it will be a pain to have to unfreeze and refreeze every time.
I have my credit frozen and I've had no issue with Direct Pay.
You are right, Doc. I confused Direct Pay with online tax transcript.

Let me restate myself: if your credit is frozen, you cannot pull a tax transcript online.

MikeG62
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by MikeG62 » Thu Nov 08, 2018 7:31 am

nbseer wrote:
Wed Nov 07, 2018 8:14 pm
Have been using EFTPS.. so far working well in scheduling future tax payments.
+1
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HueyLD
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by HueyLD » Thu Nov 08, 2018 8:46 am

EFTPS is good for recurring payments

DIrect Pay is good for occasional payments.

RickBoglehead
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Re: EFTPS® vs. Direct Pay what's difference? Which one should I use for Roth conversion tax payment?

Post by RickBoglehead » Thu Nov 08, 2018 8:52 am

I love EFTPS to schedule out the entire year, AND give me the ability to cancel / change future payments.

I hate how my state's system is apparently like Direct Pay, can't schedule anything. I have to put on my calendar to log in and make payments.

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