Dual Income Tax Calculator
Compare filing jointly vs separately — and find out if marriage helps or hurts your taxes.
Earner 1
0 = standard deduction
Earner 2
0 = standard deduction
Household
Filing Jointly
$25,753
16.4% eff. rate
Filing Separately
$25,753
16.4% eff. rate
As Two Singles
$25,753
Marriage Bonus
$0
Best Strategy:
Married Filing Jointly
Saves $0 vs the other option
Side-by-Side Comparison
Simplified federal + state estimate. Does not include AMT, NIIT, or all credits/deductions. Consult a CPA for exact figures.
Marriage Penalty vs Marriage Bonus
The "marriage penalty" occurs when a married couple pays more in taxes than they would as two single filers. The "marriage bonus" is the opposite — when filing jointly saves money. Whether you experience a penalty or bonus depends primarily on how equal your incomes are. Couples with similar incomes are more likely to face a penalty because combining their incomes pushes more money into higher brackets.
When Each Filing Status Wins
| Scenario | Best Filing Status | Why |
|---|---|---|
| One earner, one stay-at-home | MFJ | Double standard deduction + wider brackets |
| Unequal incomes ($120K + $40K) | MFJ | Lower earner fills up low brackets |
| Similar high incomes ($150K + $140K) | MFJ (usually) | Still benefits from wider joint brackets |
| One spouse has high medical bills | MFS | Lower AGI = easier to hit 7.5% threshold |
| Income-driven student loan payments | MFS | Only your income counts for IDR plans |
| One spouse owes IRS/has liens | MFS | Protects the other spouse's refund |
Marriage Penalty by Income Level
| Combined Income | Equal Split | Unequal (70/30) | One Earner |
|---|---|---|---|
| $100,000 | +$0 to -$200 | +$800 bonus | +$3,000 bonus |
| $200,000 | -$1,000 to -$2,500 | +$1,500 bonus | +$6,000 bonus |
| $400,000 | -$3,000 to -$5,000 | +$2,000 bonus | +$12,000 bonus |
| $600,000+ | -$5,000 to -$10,000 | -$1,000 to +$3,000 | +$15,000+ bonus |
Positive = marriage bonus (you save). Negative = marriage penalty (you pay more). Estimates based on standard deduction, no children.
Strategies to Reduce Marriage Penalty
If both spouses earn similar high incomes, maximize pre-tax retirement contributions ($23,500 each in 2026 for 401(k)). This reduces your combined AGI by up to $47,000, potentially dropping you into a lower bracket. HSA contributions ($4,300 individual / $8,550 family) further reduce AGI. If one spouse is self-employed, consider timing quarterly estimated payments and business deductions strategically.
Frequently Asked Questions
Is it ever better to file separately?
Rarely — filing jointly is cheaper for about 95% of married couples. MFS loses access to many credits (Earned Income Credit, education credits, child care credit). The main scenarios where MFS wins: income-driven student loan repayment (IDR counts only your income), one spouse has very high medical expenses (easier to exceed the 7.5% AGI floor), or one spouse has tax debt you want to keep separate.
Does the marriage penalty still exist in 2026?
Yes, though the Tax Cuts and Jobs Act (TCJA) reduced it significantly for most brackets through 2025, and subsequent extensions have maintained similar bracket widths. The penalty primarily affects high-income couples where both earn $200,000+, or couples affected by the $10,000 SALT deduction cap (which doubles for MFJ but is still $10,000 for MFS).
See also: Income Tax Calculator and Take-Home Pay Calculator.