What Changes Financially When You Get Married?
Getting married is one of the most beautiful milestones in a couple's lives, but it's also a turning point for your financial life. What changes financially when you get married? Quite a bit. Beyond celebrating love, marriage means merging two lives—including two sets of finances. While you may already share a Netflix account or split date night bills, tying the knot brings a deeper level of financial connection. From combined expenses to tax benefits (and surprises), the financial landscape changes significantly when you say "I do."
When you were single, you made financial decisions based solely on your own income, expenses and goals. But now, as a married couple, it's no longer just about you, explains Abby Eisenkraft of Choice Tax Solutions in Melville, New York. Who will take the lead on financial decisions? Will you share the responsibility equally or will one spouse handle the day-to-day management of your money? And what about big decisions, like investments or major purchases—will they always be joint conversations?
Having these discussions early and setting clear expectations can save you from future disagreements or unmet expectations. Establishing a financial plan together not only ensures transparency but also strengthens your partnership as you work toward shared goals.
In this article:
- What Changes Financially When You Get Married?
- Positive Financial Changes After Marriage
- Potential Negative Financial Changes After Marriage
- How to Navigate Financial Changes After Marriage
What Changes Financially When You Get Married?
Marriage can bring financial perks—like potentially lowering your taxes or giving you access to better health insurance options, but it also requires more detailed and intricate conversations about things like joint accounts, budgets and long-term planning. Will you combine finances after marriage, keep them separate or take a hybrid approach? How will you tackle debt, savings or big purchases as a team? These aren't the most romantic conversations, but they're vital for a healthy financial future, notes Bobbi Rebell, CFP, founder of Financial Wellness Strategies and author of Launching Financial Grownups.
One thing you might not think about is how marriage can change your financial identity. Your partner's credit score, debt and spending habits don't just stay theirs—they can affect your shared goals, like saving for a house or starting a family. On top of that, marriage brings legal shifts, like listing each other as beneficiaries or combining assets, so it's important to sit down together and review things like your bank accounts, budgets and even estate plans.
Every couple's financial journey looks a little different. For some, marriage means combining finances to build wealth together while, for others, it's an opportunity to set boundaries or rethink financial goals, Rebell explains. The important thing is to know what changes might come your way and tackle them with open communication and a solid plan.
Positive Financial Changes After Marriage
Here's a look at some of the positive financial changes that come along with tying the knot.
Tax Perks
Once you're married, filing taxes as a married couple jointly can actually save you money. It's not guaranteed in every situation, but for many couples, it can lead to marriage tax breaks or credits that wouldn't be available if you were filing separately. This can be especially true if there's a big income difference between you and your spouse. Another bonus? Filing jointly can open the door to certain tax credits and deductions that are only available to married couples. Things like the Earned Income Tax Credit or the Child and Dependent Care Credit are more accessible when you're filing together. Plus, if one spouse has significant medical expenses or student loan interest, combining your incomes might help you meet the threshold to deduct those expenses.
Shared Expenses
When you combine resources, you can split living costs like rent, utilities and groceries, which makes things a lot easier on your wallet than handling everything on your own. For example, instead of paying $1,500 for rent alone, splitting that cost can free up money for other things like saving for a house, paying down debt or even treating yourselves to something fun. The same goes for grocery shopping—buying food for two often works out cheaper per person compared to buying for one, especially when you can share bulk purchases or meal plans.
Greater Purchasing Power
Having two incomes, officially combined, also gives more buying power and more borrowing power, Rebell explains. "Couples can often qualify for better terms when they borrow money, like lower interest rates, thanks to their pooled resources," she says. "They can also file one return instead of two (aka a joint return) which often translates into paying less to Uncle Sam."
Better Benefits
One of the benefits of marriage is that one partner can join the other's health insurance plan, which can reduce costs or provide better coverage. "A new husband or wife may also be able to tap into, often at no charge, some workplace benefits of their beloved, such as discounts at retailers and even things like spousal life insurance," Rebell says. "You can also put your spouse on a credit card with perks, often at no additional fee or for a fee much lower than if they were to get their own card—and of course, things like shared phone bills and family plans are a nice perk as well (Hint: Time to get off your parent's plan!)."
Stronger Credit Opportunities
When even just one spouse has excellent credit, it can be a total game-changer for your financial future as a couple. Credit scores play a huge role in determining what kind of interest rates or terms you get on things like loans, mortgages or credit cards, Rebell explains. If one of you has a stellar credit history, it can offset the other's less-than-perfect score when you apply for these things together. For example, let's say one of you has great credit and the other is still building theirs up. When you apply jointly for something big—like a mortgage for your dream home—the lender will often look at both credit scores to determine your rate. That stronger credit profile can mean lower interest rates, saving you thousands of dollars over time. The same goes for personal loans or car loans—it's all about showing lenders that you're a reliable, low-risk borrower.
Improved Long-Term Planning
Whether it's buying a home, saving for retirement, traveling the world or building financial security, marriage encourages you to dream big as a couple and figure out how to make those dreams happen. For example, if owning a home is on your radar, you'll start having conversations about saving for a down payment, improving your credit scores and figuring out a budget that works for both of you. Or maybe you both want to retire early—marriage gives you a reason to create a plan for investing, saving and making smart money decisions to reach that goal faster. Plus, there's something really motivating about having someone in your corner who's just as invested in your future as you are. It makes those big goals feel more achievable because you're tackling them as a team.
Potential Negative Financial Changes After Marriage
Along with the positive, there are some potential drawbacks to what changes when you get married financially.
Combining Debt
If one or both of you are bringing significant debt into the marriage—like student loans or credit card balances—it can quickly feel like a shared responsibility, even if the debt came from before you tied the knot. "Unless that spouse makes changes to his or her lifestyle, even if the debt gets wiped out with the assistance of the other spouse, the credit cards will get maxed out again," Eisenkraft says. Debt after marriage can sometimes create tension, especially if one person starts to feel weighed down by the other's financial past.
Different Spending Habits
Merging finances can get a little tricky if you and your partner have completely different money styles. Maybe one of you is all about saving every penny, while the other loves to splurge a little. If those differences aren't talked about and managed, they can lead to disagreements—or even put some strain on your finances, Eisenkraft warns.
Shared Financial Liability
If one spouse is self-employed and the other spouse is an employee (receiving a W-2), both spouses are responsible for the taxes, Eisenkraft explains. "Should there be an audit, both spouses are on the hook," she says. "If you want nothing to do with your spouse's business, especially if you know there are illegal things going on (i.e., paying people off the books, hiring people who cannot legally work in the US, someone who keeps two sets of books, someone who doesn't declare cash received, etc.), file separately!"
Loss of Financial Independence
Many couples feel that combining their finances is a big step toward partnership and trust while others feel like they've lost control over their own money. Maybe one person feels hesitant about asking for "permission" to spend money they used to manage freely, or perhaps they feel like their financial contributions don't hold as much weight if their income is lower. To avoid this, it's important for couples to have open, ongoing conversations about money. Discussing boundaries, setting shared goals and even allowing for a bit of financial independence—like separate "fun money" accounts—can go a long way in preventing feelings of frustration or imbalance. After all, being married doesn't mean losing your individuality, and finding a balance between shared responsibilities and personal freedom is key to keeping things harmonious.
Complicated Estate Planning
When you get married, you may want to update things like who inherits your assets, who can make medical decisions for you in an emergency or who's named on your life insurance policy.
Who inherits what if one of you passes away? How do you want things handled if there's shared property or a business involved? Without clear plans, it's easy for misunderstandings or even disagreements among loved ones to arise. The good news is that updating these documents doesn't have to be complicated. Sitting down with a financial advisor or estate attorney to review everything and make necessary changes can give you and your spouse peace of mind. It's about protecting each other and ensuring your wishes are carried out, no matter what happens.
How to Navigate Financial Changes After Marriage
Follow these expert-approved tips for how to figure out your finances in your most-married era and find harmony in how you manage your money.
Have Open and Honest Discussions About Money
While it might not be the most fun conversation, talking about your financial histories, habits and goals is so important, notes Eisenkraf. Discussing debt with your partner, as well as your spending habits, credit scores and current savings plans is so important. For example, does one of you have a lot of student loan debt or credit card balances? Or is one of you a natural saver while the other is more of a spender? These are things you'll want to know upfront so you can work together to create a plan that balances both of your styles.
Create a Budget That Works for You Both
Rebell recommends taking the time to do what she refers to as a "new family" financial assessment. "Go over the key financial foundations including your current net worth, your debt and recurring financial obligations, your budgetary needs, your emergency fund, your savings and investments, your insurance status and your expected tax bill so that you aren't hit with any unexpected financial emergencies that can throw your relationship into a tailspin," she says.
Decide Whether (and How) to Combine Your Finances
Rebell recommends being strategic in how you set up your family finances. "Think carefully about whether it makes sense to combine some or all of your financial accounts, and consider each other's feelings and emotional needs, as well as the financial goals as you move into this new phase of life," she says. "Create a family financial ecosystem but also keep in mind that it is often healthy to let each spouse maintain some financial independence."
Set Clear Goals for Your Financial Future
It's important to know what matters most in life to each of you so that you can utilize your finances in a way that benefits you both. What does your ideal future look like? Maybe it's buying a cozy home, traveling the world or starting a family. If one of you is saving for a vacation while the other is trying to pay off a credit card, it can lead to frustration. But when you're on the same page, you can make decisions together and feel good about how your money is being spent. Think of this as a team effort. You're not just planning for yourself anymore—you're building a life together. Having clear financial goals gives you both something to work toward, which can strengthen your bond and give you a sense of purpose as a couple.
Seek Professional Advice
If you're feeling overwhelmed or unsure of where to start when it comes to managing finances as a couple, it's worth contacting a financial advisor who can help break down tough topics like investments, taxes or retirement planning. If you're trying to figure out how to invest your money wisely, whether to open a joint retirement account or how to maximize your tax benefits as a married couple, they've got you covered.