IRS payment plan calculator: see your real monthly cost
Every month on an IRS plan adds interest and penalty, so call a licensed tax pro to find your cheapest plan today.
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We pick up 24/7, review your numbers free, and start building your plan today.
Example: $12,000 over 36 months
$388 a month You pay about $13,968 in all, $1,968 more than the balance. The math holds today's 7% IRS rate, adds the 0.25% monthly penalty and the $29 setup fee. If the IRS changes its rate, the total changes too.How this number is worked out
At $388 a month for 36 months, call now and a licensed tax pro checks your real numbers free.
How is the monthly payment worked out?
Two charges grow every month until the balance is paid. IRS interest is 7% a year, compounded daily, per the quarterly rate table.
The late-payment penalty is 0.5% a month. It drops to 0.25% on an approved plan if your return was filed on time. The penalty stops growing once it reaches 25% of the unpaid tax.
The setup fee is added to the balance: $29 online with automatic withdrawals or $69 without, per the IRS payment plan page. By phone or mail it is $107 or $178.
This tool works as an IRS penalty and interest calculator in one and spreads the total into one level payment. A licensed tax pro checks that number against your real notice on the call.
How much more does a plan cost than paying now?
Paying in full today stops new interest and penalty from adding up. A $12,000 balance over 36 months adds about $1,968. That plan runs about $388 a month, including interest, the penalty and the $29 setup fee.
A loan or credit card can cost less than IRS interest and penalties combined, the IRS says in Topic 653. Use this tax payment calculator to compare, then call and a tax pro weighs each choice with you.
The full breakdown of what the rate adds is on our page about IRS payment plan interest.
Do you have to pay within 72 months?
Leave the monthly amount blank on Form 9465 and the IRS divides your balance by 72 months, per the Form 9465 instructions. That is only a default, not a limit.
The IRS manual dropped its 72-month payment rule for Simple Payment Plans in July 2026. A plan can run until the collection deadline, generally 10 years after the tax was assessed.
The time left depends on when your tax was assessed. Our Form 9465 guide covers the form, and a licensed tax pro finds that date and sets a payment you can keep.
What to do now: get your plan cost checked
Every month you wait adds interest at 7% a year plus up to 0.5% a month in penalty. Call now and a licensed tax pro checks your numbers and starts your plan today.