Yes, you can pay the IRS from a savings account, and it's often the fastest way
The IRS accepts payments directly from a savings account through a method called the Electronic Federal Tax Payment System (EFTPS). You provide your bank routing number and account number, and the IRS pulls the payment on the date you choose. This works for tax bills, estimated quarterly taxes, and payments on a payment plan. The payment posts to your IRS account within one business day, and you get a confirmation number immediately.
You can also pay through your bank's bill pay feature or through a third-party payment processor that the IRS has approved. Each method has different timing and fees, so the right choice depends on when you need the payment to post and whether you want to pay a processing fee.
Key Takeaways
- EFTPS is free and the most direct route — you set up an account at eftps.gov, enroll your savings account, and schedule payments yourself.
- Your bank's bill pay feature can send an IRS payment, but it takes longer (5 to 7 business days) because the IRS processes paper checks.
- Third-party payment processors charge a fee (usually 1.87% to 2.35% of the payment) but post faster than bill pay and give you a confirmation number right away.
- The IRS accepts payments up to 11:59 p.m. Eastern time on the due date, so you can pay on the deadline itself if you use EFTPS or a processor.
- You need your Social Security number or Employer Identification Number, the tax year the payment covers, and your savings account routing and account numbers.
Setting up EFTPS for recurring or one-time payments
EFTPS is the IRS's own payment system and charges no fee. You create an account at eftps.gov with your Social Security number or EIN, your date of birth, and your address. The IRS mails you a PIN within two weeks, which you use to log in and schedule payments. Once you have the PIN, you can set up a payment immediately.
When you schedule a payment, you enter the amount, the tax year it covers, the type of tax (Form 1040 for individual income tax, for example), and the date you want the money to leave your savings account. You can schedule payments weeks or months in advance, or you can pay the same day if you do it before the cutoff time. The IRS confirms the payment with a confirmation number you should save.
If you file a return and owe money, you can also set up EFTPS to pay automatically when you file electronically. The payment comes out of your savings account on the date you choose, and you don't have to log in to EFTPS again.
Using your bank's bill pay to send an IRS payment
Most banks let you pay the IRS through their bill pay service. You log into your bank's website or app, select bill pay, and enter the IRS as the payee. You'll need to provide your tax identification number and the address of the IRS service center for your state. Your bank sends a check to the IRS, which takes 5 to 7 business days to arrive and process.
This method is free, but it's slow. If you owe money on a deadline, the IRS may not receive the check in time, and you could face penalties and interest. Bill pay works best if you're paying estimated quarterly taxes weeks in advance or if you're on a payment plan and have flexibility on the due date.
Check with your bank about whether they charge a fee for bill pay to the IRS. Most do not, but some banks charge a small fee for any bill pay transaction.
Third-party payment processors and their fees
The IRS has approved several payment processors — including PayUSAtax, Official Payments, and ACI Payments — that let you pay from your savings account online. You enter your account information, the payment amount, and the date you want the money to come out. The processor charges a fee, usually between 1.87% and 2.35% of the payment amount, which you pay in addition to the tax bill itself.
The advantage is speed. Payments post within one business day, and you get a confirmation number immediately. This matters if you're paying on the deadline or close to it. The processor also handles the transaction, so you don't have to wait for a check to arrive in the mail.
For example, if you owe $5,000 and use a processor with a 2% fee, you pay $100 in processing costs on top of the $5,000. That's $5,100 total. EFTPS would cost nothing, but it requires setting up an account and waiting for a PIN in the mail. If you're paying on deadline day, the processor fee might be worth the certainty that the payment will post in time.
Timing: when the payment leaves your account versus when the IRS receives it
The date you schedule is the date the money leaves your savings account, not the date the IRS receives it. With EFTPS, the IRS receives the payment within one business day of the withdrawal. With a processor, it's also one business day. With bill pay, it's 5 to 7 business days because the bank mails a check.
The IRS considers a payment on time if it posts to your account by 11:59 p.m. Eastern time on the due date. If you use EFTPS or a processor and schedule the payment for the due date, it will post in time. If you use bill pay, you need to send it at least a week early to be safe.
If you're setting up a payment plan with the IRS, the due date for each installment is usually the 28th of the month. You can schedule EFTPS payments to go out automatically on that date each month, which removes the risk of missing a deadline.
What information you need before you pay
Have these details ready before you log into EFTPS or a payment processor:
- Your Social Security number or Employer Identification Number
- The tax year the payment covers (for example, 2023 if you're paying a 2023 tax bill)
- The type of tax (Form 1040 for individual income tax, Form 1120 for corporate tax, Form 941 for payroll tax, etc.)
- Your savings account routing number (the nine-digit code at the bottom left of a check)
- Your savings account number
- The payment amount
- The date you want the payment to post
If you're not sure which tax form applies to your bill, check the notice the IRS sent you. It will list the form type and the tax year. If you don't have a notice, you can log into your IRS account at irs.gov to see what you owe.
What to do if the payment doesn't post or you need to cancel
Save your confirmation number from EFTPS or the processor. If the payment doesn't show up in your IRS account within two business days, contact the IRS at 800-829-1040 and provide the confirmation number. The IRS can tell you whether the payment was received and when it will post.
If you need to cancel a payment, you can do so through EFTPS or the processor's website, but only if the payment hasn't already been sent to the IRS. Once the money leaves your account, you can't cancel it through the system. If the payment was sent but you want to reverse it, you'll need to contact the IRS directly and request a refund. This takes longer and may result in interest charges if the original payment was late.
If you accidentally overpay — for example, you pay $5,000 when you only owe $4,500 — the IRS will send you a refund or apply the overpayment to a future tax bill. You can request a refund through your IRS account or by calling 800-829-1040.
Frequently Asked Questions
Can I pay the IRS from a joint savings account?
Yes. The account just needs to be in your name or your name and your spouse's name if you're filing jointly. When you enter the account number, make sure it matches the name on your tax return. If the account is in someone else's name only, you cannot use it to pay the IRS.
Does paying from savings affect my credit score?
No. The IRS does not report payments to credit bureaus, and paying a tax bill does not show up on your credit report. Only if you don't pay and the IRS files a tax lien against you will it affect your credit.
What if I don't have a savings account, only checking?
You can pay from a checking account using any of these methods. EFTPS, processors, and bill pay all work with checking accounts. The routing and account numbers are the same whether the account is checking or savings.
Can I pay a payment plan installment from my savings account?
Yes. If you're on an IRS payment plan, you can set up EFTPS to withdraw the installment amount automatically each month from your savings account. You can also pay a single installment early using EFTPS or a processor if you have extra money.
Is there a limit to how much I can pay at once?
EFTPS has no stated limit. Processors may have limits depending on the company, usually $1 million or higher. Check the processor's website or call them if you're paying a very large amount. Your bank may also have limits on the amount that can be withdrawn in a single day, so contact them if you're paying more than $10,000.