By Elizabeth Russell Owen CPA | Tax Advisory Services
The Top Line
Wedding season is a time for celebration, but it also marks a new chapter in your financial life. Along with shared responsibilities and future planning, marriage brings several important tax considerations that newlyweds should not overlook.
Whether you are still enjoying your honeymoon or diving into name change paperwork, now is the perfect time to update your tax situation and avoid surprises next spring. Here are four key steps every newly married couple should take.
- Report Any Name Changes
What it means for you:
If either spouse changed their last name, you must update that information with the Social Security Administration. If your tax return name does not match the name on file, your refund could be delayed.
To update your name, file Form SS5, Application for a Social Security Card. You can complete this through SSA.gov, by calling 800 772 1213, or by visiting a local Social Security office.
Takeaway:
Make the update as soon as possible to avoid errors when filing your return.
- Update Your Address with the Right Agencies
What it means for you:
If you moved after getting married, inform the IRS, your employer, and the postal service to ensure timely delivery of important tax documents.
To notify the IRS directly, complete and submit Form 8822, Change of Address. Instructions for filing are included on page two of the form.
Takeaway:
Keeping your address current helps ensure W-2s, IRS letters, and refunds reach you without delay.
- Check and Adjust Your Withholding
What it means for you:
Marriage may place you in a different tax bracket. If both spouses work, the change could lead to a higher combined income and affect your tax liability.
Submit a new Form W4 to your employer within ten days of getting married. Use the IRS Tax Withholding Estimator online to make sure your new withholding is accurate and helps avoid tax season surprises.
Takeaway:
This quick step can prevent underpayment penalties and reduce stress at tax time.
- Choose the Right Filing Status
What it means for you:
Your marital status as of December 31 determines your filing status for the entire tax year. Couples may choose to file jointly or separately.
Filing jointly often results in better tax benefits, but depending on income and deductions, filing separately may be more advantageous. Use a comparison calculator or consult a tax advisor to explore both options.
Takeaway:
A thoughtful filing decision can result in significant savings or better refund outcomes.
Why This Matters to You
Marriage is an exciting life change, and getting your taxes in order now can help you start this chapter with financial clarity and confidence. By updating records and understanding how your new status affects your taxes, you can avoid delays, penalties, or missed savings.
Resources for More Information
- IRS Topic 157: Change Your Address
- IRS Publication 505: Tax Withholding and Estimated Tax
Questions about your new tax situation? Contact our team for personalized guidance. We are here to help you start your financial journey on the right foot.
Congratulations to all the newlyweds celebrating this wedding season; best wishes for a successful marriage and a prosperous financial future!