NOTE: This tax blog is applicable to taxpayers who reside in non-community and non-marital property states.   If you reside in a marital property state (like Wisconsin), the ability to shift income and deductions between spouses who file as “married filing separately” is generally NOT a viable income tax savings strategy).

Why Your Filing Status Matters

If you’re married, you can choose to file your taxes together (jointly) or separately. This choice affects how much tax you pay, what tax breaks you can get, and your standard deduction.

How to Minimize Your Taxes

Most couples pay less tax when they file jointly, especially if one spouse earns much more than the other. Filing jointly can also let you claim more tax credits and deductions, such as:

• Child and Dependent Care Credit: Helps cover childcare costs.
• Adoption Credit: Helps with adoption expenses.
• Education Credits: Like the American Opportunity and Lifetime Learning credits, which help with college costs.
• New deductions starting in 2025 for tips, overtime, and seniors.

Filing separately might help if one spouse has high medical bills (over 7.5% of their income), but it usually means missing out on other tax breaks.

Special Rules for Couples Married in 2025

If you’re legally married by December 31, 2025, you must file as either “married filing jointly” or “married filing separately.” You can’t file as single. For lower and middle incomes, the tax rates and standard deductions are similar for single and married filing separately. But for higher incomes, married filing separately can mean higher taxes and fewer benefits, like higher rates on investment income and a bigger chance of paying the alternative minimum tax.

Who Is Responsible for the Tax Bill?

If you file jointly, both spouses are responsible for the total tax, interest, and penalties — even if only one earned most of the income. Some couples choose to file separately so each person is only responsible for their own tax, even if it means paying a bit more overall.

Choosing the right filing status can make a big difference in how much tax you pay and what tax breaks you can claim. For most couples, filing jointly is the best choice, but there are situations where filing separately makes sense, especially if you have high medical expenses or want to keep your tax responsibilities separate.

If you’re unsure, reviewing your specific situation or running the numbers both ways can help you make the best decision for your family.   Please reach out to your Wegner Tax advisor if you have questions on the best tax return filing status for your situation.