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Tax tips for newlyweds

Print Posted by Andrew Chan November 3, 2011 10:00 AM

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If you were recently married or are soon to be married, here are some tax tips that can make preparing your taxes go a little more smoothly.

1) Notify the Social Security Administration (SSA) of any name change to ensure that your social security number matches your name when you file your next tax return. You can contact the SSA at www.ssa.gov, by calling 800-772-1213 or by visiting one of their local offices.

2) Notify the IRS of any change of address. You should contact the IRS and complete a Change of Address form (Form 8822). You can obtain the form from the IRS’ web site at www.IRS.gov or by calling 800–TAX–FORM (800–829–3676).

3) Notify the U.S. Postal Service of any change of address to ensure that any refunds or correspondence are forwarded to your new address.

4) Notify your employer of any change of address or name change to ensure that your proper name and address are reflected on your Form W-2.

5) Notify the financial institutions that you have accounts with such as banks, brokerage firms as well as the administrator for your employer-sponsored retirement plans (e.g., 401(k), 403(b)) to ensure that any Form 1099s (for interest, dividends, IRA distributions, etc.) are sent to your proper address.

6) Review your and your spouse’s income tax withholdings if you both work. Combining your and your spouse’s income on your tax return may push you into a higher tax bracket. If so, you may need to adjust the amount of taxes being withheld from your pay checks to avoid any potential underpayment penalties. The IRS has an online calculator (www.irs.gov) to help you determine the correct amount to withhold based on your filing status.

7) If you or your spouse needs to adjust your withholdings, complete a new Form W-4 (Employee's Withholding Allowance Certificate) and give it your employer(s). You can obtain a new Form W-4 at the IRS website, www.irs.gov.

8) Determine if you and your spouse should file jointly or separately. For most married couples, filing jointly usually results in a lower tax liability. However, this isn’t always true. One of the best ways to determine which one is best is to complete your tax return both ways and see which one results in a lower tax liability.

This blog is not written or edited by Boston.com or the Boston Globe.
The author is solely responsible for the content.

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Local finance professionals share insights and advice on issues such as budgeting, managing debt, and retirement planning.

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About the contributors

Andrew Chan is the founder of Integrative Financial Advisors in Framingham. He provides comprehensive financial planning advice and investment management services. He has been an adviser for over 12 years and works with clients to integrate all aspects of their finances including investments, retirement, education funding, and tax planning.

Cheryl Costa is a principal at Forteris Wealth Management which is an independent, fee-only firm with offices in Framingham and Purchase, NY. She advises clients on investing, education funding, taxes and retirement planning. She has a BS from Worcester Polytechnic Institute and an MBA from Boston University and she is a Certified Financial Planner.

Jamie Downey has been an accountant for more than 14 years. He's a partner at Downey & Co. in Braintree. Prior to joining the firm, he served as a manager in the audit department of accounting firm KPMG.