Married Filing Jointly vs Separately: Which filing status should you choose?

You’ve said “I do” to the love of your life, and now, for better or worse, you have to file your taxes as married for the first time! Yet, deciding how to file taxes as a married couple can be tricky—as it is the first time you do anything new.

The first step is figuring out which filing status to use when you do your taxes together for the first time. Your options are:

• Married Filing Jointly and
• Married Filing Separately.

Each filing status affects your taxable income, so it’s important to get your filing status right. Selecting the right status impacts your tax rates, eligibility for specific tax benefits, and deductions.

Read on as we weigh the marriage tax benefits and cons of each status, help you answer “Is it better to file taxes jointly or separately?” as well as outline the details of the marriage tax penalty.

If you’re married, take a look at both options to see which status best matches your current situation and financial goals.

Married filing separately vs. jointly: Weighing the benefits and drawbacks

Let’s cut to the chase: Is it better to file jointly or separately? When it comes to filing your tax return as a married couple, you’re almost always better off Married Filing Jointly  as many tax benefits aren’t available if you file separate returns.

This is primarily because some of the most common tax credits and deductions are unavailable on separate returns, like the:

• Earned Income Tax Credit (EITC) (for most filers)
• Child and Dependent Care Credit (for most filers)
• Student loan interest deduction
• Adoption Credit (for most filers)
• Lifetime Learning Credit or American Opportunity Credit
• Credit for the elderly or disabled
• Exclusion of interest on Series EE or I U.S. Savings Bonds used for higher education expenses
• The deduction for losses from rental real estate passive activities with active participation is limited or not available.
  • If you were married and lived apart the entire year you can deduct up to $12,500 of losses on a separate return.
  • If you file jointly the maximum loss deduction is $25,000.

What’s more, filing separately impacts the couple’s choice to take the standard vs. itemized deduction. When filing separately, both spouses need to take deductions in the same way. One spouse can’t itemize deductions while the other takes the standard deduction. And vice versa. This could be a headache for tax filers—hence why the MFJ status could make sense.

In addition, the Child Tax Credit is usually reduced because the thresholds are lower for MFS.

If you received Social Security or railroad retirement benefits and lived with your spouse at any time in the year, more of your benefits could be taxable with a separate tax return. For other filing status nuances, see our tax filing status guide.

State level considerations

If you live in a community property state, filing a joint tax return may be in your best interest. A community property state is a marital property law where each spouse is considered to own 50% of all shared property acquired during the course of a marriage. Married taxpayers who file separately generally must report half of their combined marital income with deductions taken out on their federal return if living in a community property state. This is sometimes not tax-advantageous for MFJ filers. Here are the states that are community property states:

• Arizona
• California
• Idaho
• Louisiana
• Nevada
• New Mexico
• Texas
• Washington
• Wisconsin

When would I want the Married Filing Separately vs Jointly filing status?

Every married couple’s tax situation is unique. While in most cases the MFJ is the right tax move, some situations call for filing taxes separately. So when is it better to file “married separately”? Here are some reasons married couples should consider filing separate returns:

If you’re income is subject to AMT:

The Married Filing Separately status might benefit you if you are subject to the Alternative Minimum Tax (AMT) on a joint return. This only applies if one spouse is liable on a separate return) because the spouse with the lower income can qualify for certain tax deductions only by filing a separate return.

If you and your spouse have very different income levels:

It may be of value for one spouse with a lower AGI to file separately to be able to claim certain itemized deductions. When filing separately, spouses need to take deductions the same way (Related: Standard vs. itemized deduction). The standard deduction amount for 2024 is $29,200. When you itemize deductions as Married Filing Separately, expenses must be split between the spouses.

If one spouse has large medical bills:  

In the case of large medical bills, is it better to file jointly or separately? It’s beneficial to file as Married Filing Separately if one spouse paid a large proportion of medical bills but had a smaller income. Itemizing might allow you to claim the medical expenses on one spouse’s taxes when either of these applies:

You usually wouldn’t be allowed to claim them because of they don’t exceed your combined AGI threshold.

The expenses would be limited to a smaller amount because of the threshold.

If your spouse has tax penalties:

The last instance of situations that answer, “When is Married Filing Separately better?” relates to tax liens or penalties. If you choose to file with the status Married Filing Jointly, then you can be held responsible for the tax and any interest or penalty due for your spouse. (One spouse might be held accountable for all the tax due—even if the other spouse earned all the income. If either spouse doesn’t agree to file jointly, then both spouses must file separately.)

Disadvantages of Married Filing Separately

Overall, couples often get fewer benefits and might pay more in taxes when they file separately rather than jointly. In addition, you’ll have double the paperwork filing two returns.

How to decide what filing status is best for you and your new spouse

The best way to determine whether Married Filing Jointly vs Married Filing Separately will benefit you the most is to prepare your returns both ways. Then, choose the filing status with the lowest net balance due or refund. After you choose the appropriate filing status for your situation, know that your tax rates (tax bracket) could differ based on filing status.

Need personalized guidance? Talk to a tax pro to see what’s best for your new family.

What is the marriage tax penalty and does it apply to me?

Let’s clear the air about the marriage tax penalty for couples filing as Married Filing Separately. In reality, there’s no tax penalty for this tax status. What people thought of as the marriage tax penalty was just a quirk of the tax brackets before 2018.

Prior to 2018, all but the two lowest brackets for many double-income married couples would owe more tax when filing as Married Filing Jointly than they would have owed if they were filing as Single. That’s because the Married Filing Jointly tax rate brackets weren’t exactly double the Single filer brackets. So, if each spouse had about the same income, they paid more total tax.

The Tax Cuts and Jobs Act of 2018 largely ended this so-called marriage tax penalty by making most of the Married Filing Jointly tax brackets exactly twice the size of the Single-filer tax brackets. In addition, the Married Filing Separately tax brackets were changed to mirror Single-filer brackets.

Considerations to review with your new spouse before filing

You may discover many questions you haven’t considered about your newlywed status and taxes. Discuss these questions before you have an awkward conversation with your spouse in front of your tax professional—who knows, you may find the answer could result in some tax breaks!

• “Did you sell or buy a home recently?”
• “Are you on the mortgage jointly or only one of you?”
• “Do you have unpaid tax debts or student loan defaults?”
• “Does you owe or pay alimony or child support?”
• “Do you have gambling wins or losses?”
• “Do you have any capital gains or losses?”
• “Do you add any dependents?” (Related: How to file taxes after having a baby & Child Tax Credit details)

Tax filing paperwork: Whether you’re filing married separately vs. jointly, it adds up

When filing taxes as a married couple, prepare for more paperwork than you’re used to. Ensure all your documents are on hand early in the tax season to give you enough time to file. These documents include—W-2s, 1099s, and other documents that report your income or potential tax credits or deductions.

Then, establish a filing system for all your important financial and tax documents. And make sure you both know where that information is kept.

After you’ve filed, take some time as a couple to evaluate where the process was a bit rocky. Then, you may want to think about what to change for future tax returns. For example, if your tax refund was larger than expected, you may consider adjusting your tax withholding to keep more money in your wallet. Related: Learn how to fill out W-4. If you owe a large tax bill, you should consider changing your withholdings to ensure it doesn’t happen again.

Filing in the years ahead

Talk with your spouse about decisions that can affect your tax liability for next year. Will you have a baby? Finish your college degree? Pay off debt? Start investing? Support charities? Move or buy a house? These are all helpful questions to ask.

Knowing these answerswill help you avoid any surprises at tax time next year.

Married Filing Jointly vs Married Filing Separately FAQs

Here we answer some common questions about the two statuses.

What is the standard deduction for Married Filing Jointly?

The standard deduction for married couples filing jointly for tax year 2024 is $29,200.

Can you change your filing status from Married Filing Separately to Married Filing Jointly?

If you filed as Married Filing Separately but want to change your filing status to Married Filing Jointly, you may do that. To amend your tax return and change your status, do it within three years from the due date of the original return.

Why is choosing the right filing status important?

Choosing the correct filing status is a crucial step to accurately filing your tax return. It determines:

• If you should file a federal tax return
• The amount of tax you will owe
• Your refund amount
• The standard deduction amount
• If you’re eligible to claim certain tax credits or deductions

If you and your spouse have large medical bills, is it better to file jointly or separately?

It’s usually favorable to file as Married Filing Separately if the spouse with a smaller income paid most of their medical bills. When you itemize and file separately, you can claim the medical expenses on one spouse’s taxes. You may not be able to deduct medical expenses or the expenses may be limited to a smaller amount when you file jointly.

Why can’t you file as Single if you’re married?

The Single filing status is for people who aren’t married or who are legally separated under state law, so married taxpayers should choose between Married Filing Jointly or Married Filing Separately statuses. There are very limited circumstances under which a married individual may be able to file as Head of Household.

When you’re filing with the correct status, you’ll maximize your tax credits and deductions.

What is the penalty for filing as Single when married?

Your filing status is important to get right on taxes. In fact, filing incorrect status can result in penalties, interest on unpaid taxes, and potentially criminal charges with fines and imprisonment.

What filing status should you use if you and your spouse divorced or legally separated?

Your tax filing options will change if your marital status changes from a legal separation or divorce. Once legally separated or divorced, you can file as Single or Head of Household.

Get help with your taxes, no matter if you’re filing jointly vs. separately

Whether you choose to file with a tax pro or file with H&R Block Online, you can rest assured that we’ll get you the biggest refund possible.