Tax Planning for Newly Married Couples: What Changes and Why It Matters

Marriage changes a lot more than your last name and your living arrangements—it shifts your entire financial landscape. Suddenly, it’s not just about what you make, owe, or save. Now it’s about us. And when it comes to taxes, that shift is no small thing.



At Andrea Ward CPA, we work with a lot of newlyweds who walk in surprised by just how much marriage affects their taxes. From new filing statuses to shifting tax brackets and updated deductions, tying the knot brings a wave of changes. Some are great. Some… not so much. But with a little planning, you can navigate the transition smoothly and avoid nasty surprises come tax season.

If you've recently gotten married and are wondering how things like combining incomes, joint filing, or deductions will shake out, you're in the right place. We’ll break it down piece by piece—with real-life examples, simple explanations, and tips to keep your finances as strong as your relationship.

Your Filing Status Just Changed—Now What?

Once you're legally married, the IRS says you must file as either Married Filing Jointly or Married Filing Separately. Which option you choose matters—a lot.



Married Filing Jointly is usually the go-to for most couples. Why? Because:

• It offers a higher standard deduction ($29,200 in 2024).
• You may qualify for more credits and deductions.
• Your tax rate might be lower overall compared to filing separately.

But it's not a one-size-fits-all answer. Let’s say one spouse has significant student loans with income-based repayment or there’s concern over liability from a spouse’s business. In those cases, Married Filing Separately might be smarter—even if it costs a bit more in taxes. It’s about more than the numbers.

Pro Tip: Whatever you choose, your filing status is based on your marital status as of December 31st of the tax year. So even if you got married on New Year’s Eve, you’re considered married for the full year.

Watch Your Tax Bracket Shift

Here’s where many couples are caught off guard. When two incomes combine, it can bump you into a higher tax bracket. That doesn’t mean you’re taxed at a higher rate on everything—just the portion of income that crosses into the next bracket.



Example: Let’s say Alex earns $75,000 and Taylor earns $95,000. As singles, each would be in the 22% bracket. But together, they have $170,000 in taxable income—now part of that income falls into the 24% bracket.

It’s not the end of the world, but it can affect take-home pay and eligibility for certain deductions or credits. Planning ahead can keep you from being surprised.

Combined Income? New Rules for Deductions and Credits

Once your incomes are merged, it may change your eligibility for common tax benefits like:

• The Child Tax Credit
• The Earned Income Tax Credit
• Education-related deductions
• Roth IRA contributions



That’s because many of these phase out after a certain income threshold—and that threshold is different (and often lower than expected) for joint filers. So yes, getting married can actually cause you to lose a credit you were eligible for before.

This is where having a CPA run a tax projection can really pay off. You’ll know what to expect and can adjust your withholding or saving strategy accordingly.

To Combine or Not to Combine Finances?

This isn’t a moral debate—it’s a logistical one. Some couples jump straight into joint bank accounts and shared credit cards. Others keep things separate. Either way, the IRS sees you as one financial unit, at least for tax purposes.



So even if you’re not sharing accounts, you’ll still be reporting joint income if you file together. That makes good recordkeeping crucial. Know what belongs to whom, keep receipts organized, and track deductible expenses throughout the year.

Pro Tip: Apps like Mint or YNAB can help you stay organized even if you keep finances separate. And if you do combine accounts, decide together how to manage spending and saving goals. It’ll save you more than just money—it’ll save a few arguments too.

Withholding Changes: Adjust Your W-4s

Once you’re married, your tax withholding might need a reset. If both spouses keep withholding at single rates, you might be overpaying (or worse, underpaying). Either way, it’s worth checking.

Use the IRS Tax Withholding Estimator to see where you stand. Then, submit new W-4s to your employers with your updated status. This step alone has saved some of our clients hundreds of dollars in surprise tax bills.



Example: A client named Jordan got married mid-year but didn’t update their W-4. At filing time, Jordan and their spouse owed nearly $3,000 more than expected. A simple update earlier in the year could’ve spread that out across paychecks instead.

Health Insurance and Benefits Coordination

If both spouses have jobs with benefits, marriage opens the door to some smart reevaluation. Should one of you drop a plan and join the other’s? Would a High Deductible Health Plan (HDHP) with an HSA make sense now?

Coordinate:

• Health insurance plans
• Dependent care FSA contributions
• Retirement plan contributions (401(k), IRA, etc.)

The goal is to avoid duplicating benefits and make sure you're maximizing the best options between the two of you.

Consider a Tax Projection (Seriously)

We can’t say this enough: if you recently got married and your incomes are moderate to high, do a tax projection. It’s not just for millionaires or big corporations.



A mid-year tax checkup will show:

• Whether your current withholdings are enough
• If you’ll owe or get a refund
• Strategies to reduce your tax liability (like increasing retirement contributions or bunching deductions)

One couple we worked with expected a refund. After reviewing their numbers, we found they were actually on track to owe $2,400. They increased their 401(k) contributions and adjusted their W-4s—problem solved. Crisis averted.

Keep an Eye on State Taxes

Don't forget your state filing obligations. Some states follow federal rules closely, others don't. If you got married in one state and moved to another, you might need to file in both.



Also, states may have different rules for deductions, income thresholds, and filing statuses. When in doubt, get state-specific advice—or let us handle it.

Plan for the Long Game

Marriage is about building a life together—and financial planning is a huge part of that. Whether you're saving for a home, planning for kids, or just trying to reduce financial stress, tax planning gives you a roadmap.



Think long term:

• Should you start a joint emergency fund?
• Are you saving for a home or planning to invest?
• Do you want to start a business together or support one spouse's career break?

All of these plans have tax implications. The earlier you get strategic, the more flexibility you have.

Final Thoughts: Don’t Let Taxes Surprise You

At Andrea Ward CPA, we know marriage is a joyful transition—and a huge financial one. Taxes might not be the most romantic topic, but dealing with them early on can make the ride a whole lot smoother.

Marriage can shift your tax bracket, change your deductions, and alter how you file. But with the right plan in place, those changes can work in your favor. Whether you need help with your W-4s, want a tax projection, or just need some straight answers—we’re here to help.

Because starting your life together should feel exciting, not stressful. And trust us, few things feel better than entering tax season already ahead of the game.