Most Married Couples Will File Taxes Jointly in 2025: Should You?

For most married couples, filing a joint tax return in 2025 is usually the best option. While there are situations where filing separately makes sense, those cases are the exception rather than the rule. Understanding why joint filing is often advantageous can help couples avoid higher taxes and missed benefits.

Why filing jointly usually makes sense

When married couples file jointly, they are treated as a single tax unit. This generally results in lower overall taxes for several reasons.

First, the tax brackets for married filing jointly are more favorable than those for married filing separately. Joint filers typically have wider income ranges before moving into higher tax brackets, which can reduce the amount of income taxed at higher rates.

Second, many valuable tax credits and deductions are either reduced or completely unavailable to couples who file separately. Filing jointly allows access to credits such as the Child Tax Credit, the Child and Dependent Care Credit, education credits, and more favorable rules for IRA contributions.

Third, filing jointly is simpler and often less expensive. One return means fewer calculations, fewer chances for errors, and lower preparation costs. For couples who share finances, joint filing usually reflects economic reality more accurately.

Finally, joint filers often receive better treatment under various income-based phaseouts. These phaseouts tend to be harsher or apply at much lower income levels for married filing separately taxpayers.

Three situations where filing separately may make sense

Although joint filing is usually the default choice, there are specific circumstances where filing separately can be beneficial or even necessary.

1. One spouse has significant medical expenses or miscellaneous deductions
   If one spouse has very high medical expenses relative to their income, filing separately can sometimes allow more of those expenses to be deducted. Medical expenses are deductible only to the extent they exceed a percentage of adjusted gross income. Separating the income can lower that threshold for the affected spouse, potentially increasing the deduction.

2. One spouse has income-based repayment obligations or legal exposure
   In cases where one spouse has student loans on an income-driven repayment plan, filing separately can reduce the required loan payment by excluding the other spouse’s income. Similarly, if one spouse has unpaid taxes, legal judgments, or other liabilities, filing separately may help protect the other spouse’s refund from being applied to those debts.

3. Significant trust, liability, or marital separation issues
   When spouses are separated, dealing with complex trust income, or concerned about being jointly liable for tax positions taken on a return, filing separately may be appropriate. A joint return creates joint and several liability, meaning both spouses are responsible for the entire tax bill and any future IRS adjustments. In certain situations, separating that liability can be worth the higher tax cost.

Additional considerations for retired couples

• Social Security taxation is based on combined income. Filing jointly often results in clearer planning and avoids surprises, while filing separately can sometimes push more Social Security benefits into taxable ranges.

• Pension and IRA distributions are usually taxed more efficiently on a joint return due to wider tax brackets.

• Required minimum distributions can create higher marginal tax rates, and filing jointly generally smooths out income spikes better than filing separately.

• Medicare IRMAA surcharges are based on modified adjusted gross income. Married filing separately triggers much lower thresholds, which can unexpectedly increase Medicare premiums.

• Capital gains planning is typically more favorable for joint filers, especially when selling investments or real estate later in retirement.

Additional considerations when one spouse owns a business

• Business income reported on Schedule C or via a pass-through entity is often taxed more efficiently on a joint return due to broader tax brackets.

• Filing jointly can preserve eligibility for business-related deductions and credits that may be limited or unavailable when filing separately.

• Self-employed retirement contributions such as SEP IRAs or solo 401(k)s are generally easier to optimize when filing jointly.

• Qualified business income deduction calculations are often more favorable for joint filers, especially as income approaches phaseout ranges.

• Filing separately may still make sense in limited cases involving liability concerns, income-based student loan repayment, or aggressive tax positions that one spouse prefers not to share responsibility for.

The bottom line

For the majority of married couples in 2025, filing jointly results in lower taxes, more credits, and fewer complications. Filing separately should generally be viewed as a strategic exception rather than a default choice. Because the tax impact can vary significantly based on income, deductions, and personal circumstances, married couples should review both options before filing and consult with a tax professional when the situation is not straightforward.

As with all things related to finances and taxes, every situation is somewhat unique. There, we always welcome a discussion to have a more in depth conversation about your specific scenario and questions. Please contact us today to schedule a brief, free consultation.