For most couples, life changes after marriage. You have a partner with whom you share a mutual commitment, someone to raise a family with, and a companion to help build a home and life together. But there are other changes that happen after marriage as well, some that you may be unaware of—like taxes. Below, learn more about how marriage will affect your tax planning and preparation.

How Marriage Impacts Taxes

1. Different Filing Status

After marriage, you no longer file your taxes as a single person. There are two options available: married filing jointly and married filing separately.

When filing jointly, the IRS considers the income of both spouses as a single household income. When filing separately, the IRS treats each spouse's individual income as a single, separate entity.

There are many benefits of filing jointly after walking down the aisle, including higher deduction limits—$24,400, compared to $12,200 for separate filers—and a credit for child and dependent care costs, which isn't available on separate filings.

2.  A New Tax Bracket

However, if you choose to file as married filing jointly, there's a chance you could move into a higher tax bracket. This is because the IRS looks at the combined household income to determine the tax bracket of each spouse. This can—but doesn't necessarily—mean you will pay higher taxes; in fact, there are rules in place that aim to reduce the tax rate for married couples.

Furthermore, if one spouse earns substantially less than the other, they could bring the other spouse down into a lower tax bracket, ultimately paying a lower rate than they would as individuals. Consult a tax planning professional to learn more about your specific tax bracket.

3. Estate Protection

Married couples can legally give one another gifts, including cash and property, without incurring gift taxes. When one spouse passes away, they can leave their spouse any amount of money without the surviving spouse getting a hefty estate tax bill. These factors may change the way you handle your estate planning, so revisit your end-of-life preparations after saying your vows.

When you need tax planning and preparation services in the Texarkana, TX, region, trust Young Hoy & Burnett, CPA. For over four decades, they have been providing tax, accounting, bookkeeping, and payroll services to area residents and businesses. They will ensure you understand your tax rights and responsibilities as a married person. Call (903) 794-2211 to schedule a consultation today. Learn more about their capabilities online.