My husband and I just got married and we’re contemplating on which status to file for our taxes. Our biggest worry is student loans. I am currently under an income based driven plan. I make $115,000 a year and he makes $120,000. We both have student loans. I am not in default and I am in forbearance until October 2023. According to the Student Aid estimated monthly payment calculator, I’ll have to pay $1,246 per month if we file jointly. If we file separately, the calculator says $562 per month. Currently, my payment plan is $173 per month.
Since the monthly payment appears to be very high, we are considering filing separately. However, I’m sure there are other considerations for filing separately, such as the interest deduction (I haven’t made any payments or interest payment since 2020). I’ve done some preliminary research and heard that filing separately is essentially filing as a single person. Is this true? Is there an online tool to calculate both scenarios of filing jointly/separately to take into account all tax liabilities?
Thanks in advance!
