(Closed) Do you file your taxes together or seperate?

posted 6 years ago in Money
Post # 3
Member
1444 posts
Bumble bee
  • Wedding: August 2012

I’d like to know, as well.  I haven’t filed married since the 90’s.

Post # 4
Member
244 posts
Helper bee
  • Wedding: May 2012

together. i think if you’re legally married you HAVE to file together. Don’t you???

Post # 5
Member
473 posts
Helper bee
  • Wedding: September 2013

Only in extreme circumstances should you file as married, filing separately. Unless you enjoy fucking yourself in the ass. Innocent If you file separately, you lose a bunch of incentives such as education loan interest or IRA contributions. But for some people it does work. For the most part, if your spouse is self-employed, owes back child support, or you don’t trust your spouse’s financial decisions (you think they’re hiding something, for example) it would pay to file separate. For most married couples, filing jointly is the way to go.

Post # 7
Member
473 posts
Helper bee
  • Wedding: September 2013

I always try to avoid getting a refund, and I try to get as close to zero as possible. If I owe less than $100 or get back less than $100, I consider that a personal victory. I was proud of myself for only get $19 back last year, that means I kept my money and didn’t give the government an interest-free loan!

That said, it does not hurt to consult a tax specialist before you file next year. Before we get married I plan on going over a few things, just to make sure I don’t have to make any adjustments. You can also do dummy returns in your tax filing site of your choice and you can see what filing together or separate will do. There is also a form called injured spouse. I don’t think it would apply to the first-time home buyers credit, but let’s say your spouse defaulted on his student loans and was getting his wages garnished and his tax refunds taken by the IRS. You can still file jointly (giving you tax benefit) and include the injured spouse form, and your refund will be saved from garnishment.

Post # 8
Member
10589 posts
Sugar Beekeeper
  • Wedding: January 2011

Separate, filing together isn’t a option for us.

Post # 9
Member
951 posts
Busy bee
  • Wedding: June 2013

In Canada, we are legally required to file together because we live together. I asked my accountant at KPMG if it was more beneficial to file separately and he said that whether it is or not, we are legally not allowed to.

For purposes of the Income Tax Act, a common-law partner is a person (of the same or opposite sex) who lives with the taxpayer in a conjugal (marriage-like) relationship, and 
(a) has lived with the taxpayer for a continuous period of at least one year, or
(b) is a parent of a child of whom the taxpayer is a parent, by birth or adoption,  or
(c) has custody and control of your child (or had custody and control immediately before the child turned 19 years of age) and your child is wholly dependent on that person for support.

Where two people have been living in a marriage-like relationship, it is considered to be continuous unless it has ceased for a period of at least 90 days due to a breakdown in the relationship.

Where two people previously lived together in a conjugal relationship for at least 12 continuous months, and then resume living together again in such a relationship, they are immediately considered common-law partners.

You must report the net income of your spouse or common-law partner on your tax return.

Post # 10
Member
2065 posts
Buzzing bee
  • Wedding: December 2011

Depends on your individual tax situation. We file jointly because if we filed separately I’d be screwed. He would itemize since the mortgage is in his name and claim lots of deductions, and I would have to itemize as well and not take the standard deduction – but I wouldn’t really have anything to deduct so I’d owe quite a bit more. We also wouldn’t be able to take the student loan interest deduction if we filed separately and that’s a big one for us. Like PP suggested, doesn’t hurt to ask a CPA or financial advisor.

Post # 11
Hostess
8576 posts
Bumble Beekeeper
  • Wedding: October 2014

@mrshoneybee:  In the states, you can file separately, but you pay a penalty for it

Post # 12
Member
2103 posts
Buzzing bee
  • Wedding: April 2011

We file together. Handing my w2 off to the hubby and forgetting it ever happened is one of the best perks of marriage!

Post # 13
Member
2425 posts
Buzzing bee
  • Wedding: May 2012

The research I’ve done has led me to believe that in general, it is financially beneficial to file together once married, and you would actually pay more if you are married filing separately. I don’t know or understand enough about whatever deduction/garnishment issue you have, but it is unlikely to save you anything by filing separately.

Post # 14
Member
2295 posts
Buzzing bee
  • Wedding: April 2013

We’ll be filing together. I have looked at it and filing separately would actually penalize us even more. We’re at the point with our incomes where marriage is going to substantially hurt us on taxes, since we both make about the same amount of money and it’s over a certain threshold. It’s because the tax brackets don’t double for married, you actually enter a higher bracket at a somewhat lower income (doubled).

For example, if we both made $80k and filing single, we’d each be in the 25% bracket. (First 8700 at 10%, 8701 – 35350 at 15%, 35351 – 80000 at 25%).Total tax between the two of us = $24,120.

Married, with the same income of $160,000, and we’ll be in the 28% bracket. Total tax = $32,579

It really kind of sucks that our taxes would be 35% higher just because we are married – same amount of money supporting the same amount of people. I know they do it because the assumption is that you’ll only be supporting one household and can “afford” to pay more in taxes, but lots of unmarried people live together. It seems like quite the racket to me. We’ll be doing what we can to reduce tax liability (401ks, HSAs, other tax-advantaged plans) to try and minimize the hit.

Post # 15
Member
7311 posts
Busy Beekeeper
  • Wedding: October 2011 - Bed & Breakfast

We file together. It sucks, because we actually paid less taxes on the same earnings when we were not married and filed seperately. The joys of the marriage tax penalty. ๐Ÿ™‚

Post # 16
Member
2295 posts
Buzzing bee
  • Wedding: April 2013

@lovekiss:  Ugh, it’s a total freaking scam, isn’t it? I didn’t know about it until I started doing more research on tax implications of being married.

I really don’t get why they do it. The incent other things they want to encourage in society for stability, like home buying. Why do they punish marriage? It’s a pretty substantial hit too in my calculations.

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