Married Filing Separately Vs. Married Filing Jointly

If you’re married, you have the option to file one or two tax returns every year. While most people file together on one return due to the increased standard deduction, in some situations, it makes more sense to file two separate returns. 

When should I file separately?

There are several situations where married filing separate can benefit you. For example, sometimes filing jointly pushes you into the next tax bracket. If you file separately, you will most likely fall into a lower tax bracket, which means your income will be taxed at a lower rate.

Some other reasons to file separately include: 

• If one spouse has a substantial medical expense
• If one person doesn’t want to be liable for the other’s taxes
• If one spouse is unwilling or unable to consent to file a joint tax return
• If the spouses are separated but not divorced and they wish to keep their finances separate
• If one spouse qualifies as head of household
• If one spouse has a significant itemized deduction

Do I lose anything when I choose to file separately?

Filing separately can help with particular circumstances, but it can limit other tax breaks you might be eligible to take. Some of the credits and deductions you might lose include:  

• The Child Care Tax Credit
• The Adoption Credit
• The Earned Income Tax Credit
• Tax-free exclusion of U.S. bond interest
• Tax-free exclusion of Social Security benefits
• The credit for the elderly and disabled
• The deduction for college tuition expenses
• The Student Loan Interest Deduction
• The American Opportunity Credit and Lifetime Learning Credit
• The deduction for net capital losses
• Traditional IRA deductions
• Roth IRA contributions

If you count on any of these credits or deductions, then it might not be worth it to file separately.  

In short, if one spouse itemizes, the other should as well. This is especially important because the new tax code has nearly doubled the standard deduction for all filing statuses. It could be more beneficial than ever to file jointly.

How do I file separately?

The steps to file separately are straightforward:  

1. Ask your accountant or Log in to your tax preparation software and create a free account
2. Enter your personal information, including your name and mailing address
3. Choose “married filing separate” for your filing status
4. Continue to fill out your taxes as normal

How do I file jointly?

The steps to file jointly are very similar to filing separately.  

1. Ask your accountant or Log in to your tax preparation software and create a free account  
2. Enter your personal information, including your name and mailing address
3. Choose “married filing jointly” for your filing status
4. Continue to fill out your taxes as normal