After finding out i owe around 14k in taxes this year... I have learnt my lesson and will be requesting more tax withholding from paychecks in the future.

FWIW you can invest the extra that was not being withheld in a high yield savings account and as long as your not getting hit with penalties you can potentially save a percent or 2 on tax, assuming a current 3.5% rate yield. I understand the convenience factor of having it all included but just throwing out some food for thought.

We'll, thats the bright side the 'extra' ill be using to pay it off is in my emergency high yield saving account 😄. So I'll let my husband know that really we profited .

Sounds strange that they haven't charged interest or penalties on that. Last I checked that was the case if you owed more than 1k at the end of the year

My accountant said he will remove the penalty

but not the interest?

He said there won't be interest if I pay it all at once. Or maybe thats including interest and he just told me the final number? Truth is last year he warned me about it and I didn't listen 😬

when I did this, I was charged interest for not paying quarterly, even though I had the money ready to pay at the end of the year

Oh. I don't know 🤷‍♀️

and from what I remember the interest was 8% 😬

Generally it's best to have withholding be as low as legally possible, as long as you are disciplined to have funds in savings available to pay extra taxes when filing. So that's not necessarily a bad thing unless you will be hit with a penalty. If you live in Israel or used an Israel based accountant, you can get an exemption from the estimated tax penalty due to the war disaster extension, for 2023-2026 tax returns and it will probably be extended to 2027 as well. As well as having any late payment penalties rescinded. Keep in mind that if you live outside the US you can get a full exemption from withholding by filing Form 673.

Even if you owe more than 1k, there's no penalty if you pay at least 90% of what you owe for the year or 100-110% (depending on income) of what you owed the previous year (not sure about interest) https://turbotax.intuit.com/tax-tips/irs-letters-and-notices/guide-to-irs-tax-penalties-how-to-avoid-or-reduce-them/L7Unetw5B#:~:text=What%20are%20the%20IRS%20safe%20harbor%20rules%20for%20estimated%20taxes%3F