How the Tax Code Penalizes Marriage in 2026

In this episode, Lucas and Luna explore the marriage penalty in the US tax code — how getting married can increase a couple's tax bill by thousands of dollars. They break down the history of the penalty, how it interacts with the 2017 Tax Cuts and Jobs Act, and why two-earner couples are hit hardest. Using a concrete example of a dual-income household earning $200,000 combined, they calculate the penalty under 2026 brackets and discuss proposals to eliminate it, including the proposed 'Marriage Penalty Elimination Act' introduced in Congress last year. The episode also touches on how marriage penalties affect low-income couples through phaseouts of credits like the Earned Income Tax Credit. A sharp, specific look at an often-overlooked feature of the tax code. #MarriagePenalty #TaxCode #USTaxPolicy #Economics #TaxCutsAndJobsAct #EarnedIncomeTaxCredit #MarriagePenaltyEliminationAct #DualIncomeHouseholds #TaxBrackets #StandardDeduction #FilingStatus #TaxReform #Congress #IRS #PersonalFinance #TaxPlanning #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo