You can set up a payment plan directly on the IRS website without calling or visiting an office

The IRS lets you create a payment plan online through their website if you owe federal income tax. The process takes about 15 minutes, requires your Social Security number, tax return information, and a bank account for automatic payments. You will receive a confirmation number when ready and can start making payments right away.

The online route works only if you owe $50,000 or less in combined taxes, penalties, and interest. If you owe more, you must call the IRS at 1-800-829-1040 or work with a tax professional. The IRS also requires that you have filed your tax return already — you cannot set up a plan for a return you have not yet submitted.

Key Takeaways

  • Go to IRS.gov and use the Online Payment Agreement tool to set up a plan without speaking to anyone.
  • You need your Social Security number, the tax year you owe for, and your bank routing and account numbers for automatic payments.
  • The IRS charges a setup fee (currently $31 for online plans) and a monthly fee of $225 if you miss a payment.
  • Once approved, your first payment is due by the date shown in your confirmation, usually within 30 days.
  • You can change your payment amount or end date later through your IRS online account, but you cannot change the plan type without reapplying.

What you need before you start

Gather these items before you open the IRS website. You will need your Social Security number or Individual Taxpayer Identification Number (ITIN), the tax year for which you owe money, and the exact amount you owe. The IRS pulls this from their records, but having it handy lets you verify it matches what you expect.

You will also need your bank account information: the routing number and account number for the bank where you want payments withdrawn. The IRS only accepts automatic bank withdrawals for online plans — they do not take credit or debit card payments through this tool. If you do not have a bank account, you can call the IRS instead to discuss other payment methods.

Have your most recent tax return nearby. The IRS may ask you to confirm information from it, such as your filing status or the number of dependents you claimed. If you filed jointly with a spouse, you will need both Social Security numbers.

The step-by-step process on IRS.gov

Start at IRS.gov and search for "Online Payment Agreement" or go directly to the payment agreement section under the "Payments" tab. Click "Set up a payment plan" and select "Short-term Extension" if you can pay within 120 days, or "Long-term Payment Plan" if you need more time. The tool will ask which tax year you owe for and confirm the amount owed.

Enter your bank account information exactly as it appears at your bank. The routing number is a nine-digit code specific to your bank; the account number is the number on your checks or statement. Double-check both before submitting — an error here delays your first payment and may trigger a failed withdrawal fee from your bank.

Review the payment amount and due date the IRS proposes. For a short-term plan, they calculate a single payment or a few payments spread over 120 days. For a long-term plan, you choose how many months you want to pay over (typically 24 to 72 months), and the IRS calculates your monthly payment. You can adjust the monthly amount if you want to pay faster, but you cannot pay slower than the IRS's proposal without calling.

Accept the setup fee and any monthly fees, then submit. The IRS displays a confirmation number on screen — write it down or take a screenshot. You will also receive an email confirmation if you provided an email address. Your first payment withdraws automatically on the date shown in the confirmation, usually 30 days after you set up the plan.

Fees and what they cost

The IRS charges a one-time setup fee for an online payment plan. As of 2024, this fee is $31 for online agreements. This fee is added to your balance, so you pay it as part of your monthly payments — it does not come out of your first payment separately.

If you miss a payment, the IRS charges a $225 monthly fee on top of the missed amount. This fee applies only once per month, even if you miss multiple payments in the same month. Interest and penalties continue to accrue on your unpaid balance at the IRS's current rates, which change quarterly.

If you set up the plan by phone or mail instead of online, the setup fee is higher ($225 for a long-term plan). This is why the online route saves money if you are may be able to access for it.

What happens after you submit

Your payment plan is active when ready after you receive your confirmation number. The IRS does not send a separate approval letter — your confirmation is your proof. If you need a formal letter for your records, you can print the confirmation page or log into your IRS online account later to view it.

Your first automatic payment withdraws on the date shown in your confirmation. Make sure your bank account has enough funds on that date; if the withdrawal fails, your bank may charge you a fee and the IRS will send you a notice about the missed payment. You have 30 days to make up a missed payment before the IRS can default you out of the plan.

Subsequent payments withdraw on the same day of each month. If that day falls on a weekend or holiday, the withdrawal happens on the next business day. You can log into your IRS online account anytime to see your payment history, current balance, and remaining payments.

Changing your plan after it is set up

You can modify your payment plan online if you need to adjust the monthly amount or extend the end date. Log into your IRS online account, go to your payment plan details, and select "Modify." You can increase or decrease your monthly payment, or add months to your plan to lower the payment. The IRS does not charge a fee to modify an existing plan.

You cannot change the plan type (short-term to long-term or vice versa) online. If you need to switch types, you must call the IRS at 1-800-829-1040. You also cannot modify a plan if you are in default — meaning you have missed a payment and the 30-day cure period has passed. In that case, the IRS cancels your plan and you must reapply or call to discuss options.

If your financial situation improves and you want to pay off the plan early, you can do so at any time without penalty. straightforward pay the remaining balance in full. The IRS will not refund the setup fee you already paid.

When the online tool will not work for you

The online payment agreement tool is not available if you owe more than $50,000, if you have not filed your tax return yet, or if you are currently in a payment plan with the IRS and want to modify it (you must call for that). The tool also does not work if you are a business owner with unpaid payroll taxes — those require a different process.

If you are married and filed jointly, both spouses' Social Security numbers must be on file with the IRS. If one spouse is missing from the IRS records, the online tool will reject your process and you will need to call.

If you have an active wage garnishment or bank levy from the IRS, you can still set up a payment plan online, but the IRS may not release the garnishment or levy when ready. Contact the IRS to discuss whether setting up a plan will stop the collection action.

Frequently Asked Questions

Can I set up a payment plan if I have not filed my tax return yet?

No. You must file your return before the IRS will let you set up a payment plan. If you owe but have not filed, contact a tax professional or the IRS to file first. Once your return is processed, you can use the online tool.

What if my bank rejects the automatic withdrawal?

Your bank may reject a withdrawal if your account does not have enough funds or if the account is closed. The IRS will send you a notice about the failed payment. You have 30 days to make the payment another way — by phone, mail, or by logging back into your account to retry the automatic withdrawal. If you do not pay within 30 days, your plan is cancelled.

Can I pay more than the monthly amount the IRS suggests?

Yes. You can pay extra at any time without penalty. You can also modify your plan online to increase your monthly payment. Paying more reduces the total interest you owe and shortens the plan.

Do I need to file an extension if I set up a payment plan?

No. A payment plan is separate from a filing extension. If you have not filed your return yet, you need a filing extension (Form 4868) from the IRS. A payment plan covers taxes you already owe on a return you have already filed.

What if I lose my confirmation number?

Log into your IRS online account and go to "Payments" to view your plan details and confirmation number. You can also call the IRS at 1-800-829-1040 with your Social Security number and they will provide it.