Getting Married? Essential Tax Tips for Newlyweds
Summer is often thought of as wedding season and getting married is a great milestone moment. Weddings are always an exciting occasion, from planning the ceremony to cake tastings and honeymoon planning. That being said, there are more things to consider with marriage than the wedding itself — taxes being one of the big ones. A taxpayer’s marital status on December 31 determines their tax filing options for the entire year. Once you are married, there are several legal tasks you’ll need to take care of before you file your taxes for the calendar year. If you’re getting married in 2025, here are the steps you can take now to make things easier before the year end and tax filing happens.
Report a Name Change
One of the first things to do is report any name changes to the Social Security Administration (SSA). Taxpayers should file Form SS-5, Application for a Social Security Card with their updated information. This is a critical step because the name on a tax return must match what is on file with the SSA.
Update Your Address
If you are moving into a new house, make sure to update your address with the U.S. Postal Service, as well as your employer and the IRS. To officially change your mailing address with the IRS, taxpayers must compete and submit Form 8822, Change of Address. Be sure to complete a change of address with your state taxing agency as well.
Decide on Your Tax Filing Status
More than likely, you’ve been filing your taxes as single or head of household. Married people can choose to file their federal income taxes jointly or separately. While filing jointly is usually more beneficial, you and your new spouse will want to determine the tax both ways to find out which makes the most sense. Keep in mind that depending on your incomes and you plan to file jointly, marriage can either reduce your tax burden (the “marriage bonus”) or increase it (the “marriage penalty”). This means couples with uneven incomes often get a bonus, while two high earners may face a penalty due to combined income pushing them into higher tax brackets.
Check Your Tax Withholdings
Discuss with your spouse if either or both of you plan to change your income tax withholdings. If you do, newly married couples must give their employers a new Form W-4 within 10 days of the marriage. This is especially something to discuss if you are combining households and families and bringing children into the marriage from previous relationships. Keep in mind that some tax credits and deductions have income limits that may be affected by your combined earnings. These include the Earned Income Tax Credit, Child Tax Credit, and certain education credits.
Consider Future Life Changes That Impact Taxes
There are many life changes that often accompany marriage — buying a house and having children (or combining families) being the biggest ones. Both of these have tax implications as well. Even if children are not on the horizon anytime soon, start thinking about things like childcare costs and credits, educational savings plans, homeownership deductions, and your retirement contributions. Remember that any money you contribute to your retirement accounts after marriage is considered community property in states like California.
Marriage is an exciting milestone! Take the time to enjoy your wedding or other festivities. And also take the time to think through the tax implications and make the necessary changes in a timely manner. Remember, you can always seek the advice of a tax attorney to help you determine what you need to assure your taxes and documents are ready for next year’s federal and state tax filings.
Allison Soares is a partner and tax attorney at Vanst Law LLP. It doesn’t matter the issue: audits, collections, appeals, international disclosures, grumpy people— Allison enjoys fixing problems. In addition to her legal work, she has worked in accounting and utilizes that knowledge to her advantage while handling cases involving EDD audits from San Francisco to San Diego.
