Should my wife and I (with drastically different incomes ) file taxes together or seperate?
January 29, 2007 9:00 PM Subscribe
TaxFilter: My wife and I have drastically different incomes. She made about $45K this year and I only made about $15K, mostly from freelance gigs, so no taxes were paid. Should we file jointly or married but filing separately?
posted by anonymous to work & money (15 answers total) 3 users marked this as a favorite
I have my own business so I have deductions for travel and some equipment purchases. However, my income is so low I am not sure if they will matter much.
So is it better if we use my income to drag down the average between us or should I file myself since I basically have paid almost no taxes?
The only job that has taken out taxes for me is a consulting firm that took $400 in Federal Income and $415 in social security tax on $6700 in income. So that leaves almost $10K with no tax paid.
I should also mention I recently moved to NJ so basically no state tax was taken out at all (I think I have paid about $20 in state income tax from a part time hourly job in Dec). However, my car and drivers license are still based in Florida, but my address I will be filing the insurance will be NJ. How does this affect things?