Married Filing Jointly vs. Separately: What’s the Difference, and Which Is Better?
Key takeaways
When you’re married, you can choose to either file your taxes jointly with your spouse or file separately.
Generally, there are more benefits to filing jointly, but there are some situations in which filing separately could result in a lower tax bill.
Working with a financial advisor and a tax professional can help you make an educated decision about the best way to file your taxes.
James D. Klaffer is a senior director of High-Net-Worth Tax Planning at Northwestern Mutual.
Life changes quite a bit once you say “I do.” One of the less Instagram-worthy changes (although still very important) is your tax-filing status. You’re no longer able to file taxes using single status, but you do have a few options.
The IRS gives everyone five options to select from when determining your tax filing status: single, married filing jointly, married filing separately, head of household and qualifying widow(er) with dependent child. As a married person, you’re generally limited to two of these options: married filing jointly or married filing separately.
Many married couples find it advantageous to file jointly; however, there are some situations in which filing separately could be to your advantage. And we all like getting a bigger tax refund or tax breaks. Below, you’ll learn the differences between the two filing statuses and some things to consider when selecting your filing status.
Married filing jointly vs. married filing separately
If you decide to file your taxes jointly, you and your spouse will fill out one tax return for both of you. When filing your joint return, you’ll combine your income, deductions and credits into one return, and you’ll be taxed on your joint taxable income. You’ll also both be on the hook for any tax responsibility.
If you’re married filing separately, you and your spouse will fill out two separate tax returns that each represent your own individual incomes, deductions and credits. You’ll each then be taxed on your own individual income (potentially at different rates) and be separately responsible for what you owe.
Which route you choose to go will ultimately impact many key factors on your tax return, including:
- What tax credits you’re eligible for,
- Your tax rate,
- The deductions you’re able to take, and
- Your annual income threshold (which can impact things like your ability to contribute to a Roth IRA).
How does married filing jointly work?
To file jointly, you’ll fill out one tax return that includes both your own and your spouse’s income, deductions and credits. Once you’ve determined your collective taxable income, you’ll apply the income tax rate for your tax bracket to calculate how much you owe in taxes.
How does married filing separately work?
To file separately, you and your spouse will each fill out your own tax return reflecting your own income, as you did when you were single. But when you’re married, there are a few more rules around filing separately.
When deciding which deductions to take, you and your spouse must use the same method.
- Either both of you can take the standard deduction,
- Or you both can itemize.
One of you cannot take the standard deduction while the other itemizes.
Because you’re filing separately, your deduction amounts will generally be reduced. Because eligibility for credits will also be determined on an individual basis, you’ll also generally be eligible for fewer tax credits when filing separately.
In most cases, married couples who file separately do so because of a large income discrepancy between the two partners. In this case, itemizing can allow the partner with the smaller income to become eligible for more deductions (if they itemize).
If you live in a “community property state” (a state in which all assets obtained during a marriage are split 50/50 between a couple) and choose to file separately, you’ll each report your individual income plus half of any “community income,” or income obtained from joint assets. “Community property states” in 2025 include Alaska (optional), Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin.
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Who claims dependents when married filing separately?
If you file separately, only one of you will get to claim your shared dependents on your return. If you cannot agree on who should claim them, the IRS says the parent who the child lived with the most that year gets the first claim. If the child lived with both parents for the same amount of time, the parent with the highest adjusted gross income gets to claim them.
Married filing separately vs. head of household
A common misconception is that if one spouse doesn’t work, the spouse that does work can file taxes as a head of household. Actually, head of household is intended for an unmarried person who is financially supporting a dependent (which can include a child, sibling or parent but doesn’t usually include a spouse). Married people are not eligible to file as head of household, except in very limited situations.
Is it better to file jointly or separately?
There are a lot of benefits to filing taxes jointly. For the majority of married couples, filing jointly will result in the most available deductions, the most eligibility for tax credits and the smallest tax impact. However, there are some specific circumstances in which filing separately might be more advantageous.
One of you is repaying student loans
If you or your spouse is in the process of repaying student loans on an income-based repayment plan, filing separately could significantly reduce your loan payments. Expected monthly contributions are based only on your individual income, so if you file separately, excluding your spouse’s income from this amount could result in a lower monthly payment.
One of you incurred significant medical expenses in the tax year
If you itemize your deductions, you’re able to deduct any medical and dental expenses that are more than 7.5 percent of your adjusted gross income (AGI). Therefore, a spouse with a lower income would be eligible to deduct more expenses than possible if their spouse’s income were considered.
Say one spouse has an AGI of $150,000, and the other's is $50,000. And say the spouse with an AGI of $50,000 was in a car accident and incurred a hefty medical bill in that tax year. If the couple filed separately, the spouse that was in the accident would be able to deduct anything over $3,750. However, if they filed jointly, that threshold would jump to $15,000.
You’re separated or in the process of divorcing
If you’re in the process of ending your marriage (or if you’re separated), it may be more straightforward to keep your tax responsibilities separate as well.
There are legal issues in play
If one partner is suspected of a crime like fraud or tax evasion, it could benefit the other partner to file separately to protect their financial situation.
What are the disadvantages of filing separately when married?
Generally, the downside of filing separately is that it reduces your eligibility for deductions and credits.
The standard deduction is larger for joint filers, so by filing separately, you’ll usually reduce what you’re able to deduct at your top tax rate. In 2025, the standard deduction for married couples filing jointly is $30,000 and $15,000 per spouse for married couples filing separately. For many couples, one spouse earns substantially more than the other. The half of the deduction used by the lower-earning spouse is at a lower tax rate—so it’s not as beneficial to the couple’s bottom line.
If you file separately, you’re also no longer eligible to claim education credits like the American Opportunity Tax Credit or the Lifetime Learning Credit. You’re also no longer able to claim the Child and Dependent Care Tax Credit or Earned Income Tax Credit.
Should you file jointly or separately?
In most cases, married couples will benefit from filing jointly. The primary reasons that couples will file separately are they have no dependents, one spouse’s income is much higher than the other’s, and the spouse with a lower income is eligible for some substantial itemized deductions.
In deciding whether to file jointly or separately, it’s important to get on the same page with your spouse. Whether you combined finances, what financial events occurred throughout the year, how much your incomes are, what deductions you may be eligible for and what tax credits you may be eligible for all may come into play as you discuss which direction to go.
As you and your spouse discuss your finances, consider connecting with your Northwestern Mutual financial advisor, who can help you and your spouse make good financial decisions. Our advisors are also well connected with other financial professionals—like tax advisors—who can guide you toward steps that will be most tax-friendly for your situation.
Ask your tax advisor or CPA if married filing jointly or separately is better for you. Your tax advisor can run your income tax return both ways and see which method yields the lowest tax burden.
