Question

use Tax Table for 2019

Required: Raphael and Martina are engaged and are planning to travel to Las Vegas during the 2019 Christmas season and get married around the end of the year. In 2019, Raphael expects to earn $54,600 and Martina expects to earn $21,000. Their employers have deducted the appropriate amount of withholding from their paychecks throughout the year. Neither Raphael nor Martina has any itemized deductions. They are trying to decide whether they should get married on December 31, 2019, or on January 1, 2020. What do you recommend? Use the appropriate Tax Tables. Collective tax liability in 2019 If Raphael and Martina get married in 2019 If Raphael and Martina get married in 2020 Recommendation: Thus, for tax purposes, it makes more sense for Raphael and Martina to get married in 2019. Thus, for tax purposes, it makes more sense for Raphael and Martina to get married in 2020.

Answer 1

If Raphael and Martina get narried in 2019, they will file their return jointly, then their tax liability would be:-

Earnings of Raphael $ 54600

Earnings of Martina $ 21000

TOTAL EARNINGS $ 75600

Less Standard Deduction $ 24400

TAXABLE INCOME $ 51200

Tax thereon:-

Upto 19400 @ 10% $ 1940

On 31800 at marginal rate @12% $ 3816

Therefore total tax payable $ 5756

If they do not get married in 2019 but get married in 2020. That means they will file their tax return as single in 2019

Raphael Martina

Earnings $ 54600 $ 21000

Less Standard deduction $ 12200 $ 12200

TAXABLE INCOME $ 42400 $ 8800

Tax Thereon   

Upto 9700 @10% 970 880

From 9700 upto 39475 @12% 3573   

From 39475 to 42400 @22% 643.50

TOTAL TAX $ 5186.50 $ 880.00

Hence total tax for both of them together is 5186.50 + 880.00 = $6066.50

That means if they file jointly they save (6066.50 - 5756.00) $ 310.50 as tax .

HENCE THEY SHOULD GET MARRIED IN 2019 to save tax