We were wondering if Filing separately would help by placing us in a lower tax bracket. One Spouse is Military ($46K income) and the other is a 100% disabled vet making just under $26K in SSA benefits. What spurred our question is that when making between $25,000 and $34,000 and filing separate, you may have to pay income tax on up to 50 percent of your benefits. However when filing jointly and make more than 44k combined ....up to 85 percent of your benefits may be taxable.
Taking that into consideration makes me think we should file separately. What other factors must we consider when deciding what would yield the best return?
