Quarterly payments refer to payments made every three months, totaling four payments in a year. This schedule is common for business taxes, insurance premiums, or loan installments, allowing expenses to be spread out over time rather than paying a large lump sum. Quarterly payment plans can be beneficial for managing cash flow, especially for businesses or individuals with fluctuating income. By spreading costs throughout the year, quarterly payments can prevent budget strain and offer a structured approach to financial management, making long-term budgeting easier.