One of the most important concepts that I learned in college was that married filing jointly is the best filing status. I've never really heard of a marriage "penalty" unless one of the spouses was making a lot more money / "illegal" money; therefore, the couple would have to file married filing separate (MFS). I've always thought of marriage as a bonus and I agree with married couples being taxed as a single unit.
Personally, I like the idea of being taxed as a unit because isn't that what marriage is all about "transforming into one"? (lol) To have a double income and an economic family approach is very attractive to those who are thinking about getting married. Couples are indeed taxed more because there's an increase in income; however, they are also given a higher deduction/exemption threshold to accommodate for this increase. I can see why this might be considered a marriage penalty since it considers the progressive tax approach - the more money that comes into a household, the higher the tax. The couple might be entering a higher tax bracket and in turn, lose some or all of their refundable credits (EIC/ Child Tax Credit).
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A married couple can choose whether to file joint or separate. They are able to do the with-and-without calculation and figure out which is more beneficial to them so I would leave as is for
Marriage was put into rolls in the 1950s. Men would work and supply the money. Women would stay home, clean the house, and tend to the children. Now, in the twenty-first century, we no longer have rolls in marriage. Both parties work and supply money. Marriage has changed in many ways throughout the years.
Marriage has changed dramatically over time in the many years it has been around. What do think Marriage was like 100 years ago? The article, “American Marriage in Transition”, describes how many different types of marriage there are and how people have changed their view on it. Andrew Cherlin (the sociologist of the article) does a great job going in depth explaining American marriage. He arranges the different marriages in three different categories; Institutionalized which was the earliest type of marriage, then Companionship around World War II, and currently we are considered Individualized.
The most advantageous filing status for spouse A and spouse B to use is married filing jointly.
Married Filing Jointly would be the most beneficial for this couple because it will allow them to stay at a lower tax bracket and also qualify to take a higher standard deduction and higher deduction on the sale of their home than they would as individuals.
The filing statuses available to the taxpayer couple are married filing jointly, and married filing separately. The best filing status for Spouse A and B is married; filing jointly. Both spouse A and B have separate income for the year and so could file separate returns but they would also have to file at a higher tax rate schedule because their income is not combined. They would be required to claim any exemptions, deductions, and credits available separately. The couple is also precluded from filing a dependent twice so if A were to file for one of their 3 dependents then B could not claim
From the two filing statuses that the couple can use, the most advantageous for them would be married filing jointly and not married filing separately.
The joint liability could cause issues for both parties if there were more tax liabilities or an audit was found in the IRS’s favor. When a joint return is filed personal exemptions are allowed for both spouses and exemptions for dependents can be claimed for all dependents.
In over half a century, marriage has transformed from being a social requirement to simply being an option in today’s society. What has caused this change? Many institutions in our society have changed drastically along with marriage. Although these institutions have not caused marriage to be optional, they do strongly correlate with the decreased value. The economy, education, religion, and government have all altered since the 1950s. When any institution encounters a change, all other institutions are affected. Family is a major institution in society, and I believe that marriage is an important aspect of this institution. Cohabitation, religion, women in the work world and divorce have all effected the way marriage is viewed today.
If you have custody of dependent children, then you'll need to file as the head of household. This will give you several tax advantages that will save you money. If you don't have dependent children, then you will file as a single parent. There may also be alimony issues, which require the services
Andrew J. Cherlin’s article from 2004, The Deinstitutionalization of American Marriage, argues that marriage is becoming deinstitutionalized while cohabitation is becoming institutionalized. More couples are starting to realize that they do not need a piece of paper to signify their love or compassion for one another. If they are happy living together unmarried than they should not need to get married, which is why cohabiting is becoming more prominent. “The first transition, noted by Ernest Burgess, was from the institutional marriage to the companionate marriage. The second transition was to the individualized marriage in which the emphasis on personal choice and self-development expanded.” (Cherlin pg. 848) According to Cherlin, two transitions within marriage
According to Robinson, couples prefer to simply live together without ceremony or state license. Robinson also includes this type of relationship between couples are also referred to as “common-law marriage.” Today, it is common to find more couples living together as if they are married. Since 2001, the number of couples living together without the traditional ceremonial traditions by law has risen throughout the states (Slater). This type of marriage can become challenging because the commitment to one another is tested in more ways than one. Robinson explains how this type of marriage is also one that is “…an informal arrangement which may be temporary or permanent.” Marriage used to come before purchasing a house or having children however theses life changing moments are becoming the foundation of a marriage (Cherlin, 139). In doing so, couples living together and supporting one another as if they are indeed married in front of friends and family, has become a more common practice in
Of those who do, a large majority will wait to do so until they are in a lower tax bracket when the penalty occurs. This is a strategy often recommended by financial advisers. Yet this advice doesn’t take into consideration the repercussions of going from a married filing status to a single filing status. Handling taxes during the senior years can be more of a juggling act than anything else – particularly if you are a single senior because you end up in a higher tax bracket even at the lower income level. Therefore it becomes important to formulate divorce orders in a way that can help minimize tax repercussions whenever
However the big question is what exactly makes up a marriage? According the Deboer it's " a private couples love, fidelity, devotion, sacrifice and family", however this is merely untrue. He leaves out one significant element, equality. How can two or more individuals devote themselves to each other for the rest of their lives if there is an unequal balance in roles? ”Marriage is a complex institution with layers of moral, social, and legal relations[ Many present marriage as an ideal for a shared life, in which each spouse may claim their partner’s attention, care, and resources and insist on a joint say in life decisions.]”(Strauss,520).Needless to say when a family structure consists of a central spouse in typical cases a husband and several wives it's merely impossible for this single individual to fulfill all the responsibilities and acquirements a marriage accounts for. This can include simple tasks such as getting the kids ready for school or making dinner for the night. You see however that’s one of the major flaws to a plural marriage, an individual's roles
Another point that I disagree with Doe’s argument is the economic benefits that she says cohabiting couples are missing, which may be true for some cases but not all. Ninetta Papadomichelaki and Keith Vance wrote an article called, “The Importance of Being Married” agree with me that marriage is obsolete. They share the same argument about cohabitation couples having more money than married couples when they say, “Marriage doesn’t even provide a tax break as in many cases couples pay the so-called “marriage penalty” by being charged more taxes than if they filed as individuals.” (Vance, 261). Doe’s argument about economic benefits from marriage may work for many marriages, but not ALL of them. How about those couples that meet each other in
Several arguments had occurred, however the answer remains various according to different perspectives. Marriage is a sacred phase in our lives consisting of a man loving a woman; thus, they come to be married by means of choice. [The Article, “Should It Be More Difficult To Get A Divorce”] states that no person should be enforced to make life decisions based on what others might think what is best to do. Kids age up healthy with both parents at their side, in spite of this they do better with ones that are not strained to act a fake play. Obligation will never exist as an answer if it was not