This has been covered a few times over the years, but I think it's a good idea to bring it u p again, especially with everything that's going on in the UK right now. You might already know the basics here, so if that's the case, you can skip towards the bottom and grab the eligibly checker and calculator.
If not and you want to know more, then here you go.
What is Marriage Allowance?
It lets you transfer £1,260 of your personal allowance over to you other half (Husband, wife or civil partner)
This in turn can reduce their tax by up to £252 in the tax year - 6 April to 5 April the next year.
In order to claim this benefit, the lower earner usually has to have an income below your personal allowance. Your personal allowance essentially the amount that you're allowed to earn, before having to pay tax. (Normally £12,570)
Not everyone will be entitled to claim this, as there are some base requirements:
You have to be married or in a civil partnership
Just living together wouldn't count at all.
Your partner has to be paying the basic 20% tax rate
That means earning less than £50,270 or £43,662 if you're in Scotland. Any higher and you won't be eligible.
One of you must earn under the the usual £12.570 personal allowance
Basically a non-tax payer.
Both of you must have been born on or after the 6th April 1935
If you were born before this date, then you might want to take a look at Married Couples Allowance, which could bring down your tax bill between £364 and £941.50 a per year. I believe this is being phased out though, so worth looking in to or passing on to anyone you may know that could be eligible.
The short answer is yes. However, this amount will be different for everyone. Here's a list of previous tax years and the maximum amount they could be worth to eligible couples.
You shouldn't need to do anything to get it backdated, as it's normally automatic anyway, so don't worry if you don't see anything regarding previous years.
In the current tax year, you'll find that the higher tax payer will pay a little less tax on their take home pay.
What about when backdating?
If you're applying and getting your payments backdated, you'll either get a bank transfer or a cheque when claiming online. This can take a couple of weeks though, but well worth it
If you claim via post, then you can expect a wait of around a month.
There are a couple of links below that should be useful to you, to quickly establish if you're eligible for marriage allowance and if so, you'll be able to calculate it too.
By doing this, you may find that your own tax goes up, but the overall tax paid between a married couple is actually less. It's well worth looking into and doesn't really take that much time either.
If not and you want to know more, then here you go.
What is Marriage Allowance?
It lets you transfer £1,260 of your personal allowance over to you other half (Husband, wife or civil partner)
This in turn can reduce their tax by up to £252 in the tax year - 6 April to 5 April the next year.
In order to claim this benefit, the lower earner usually has to have an income below your personal allowance. Your personal allowance essentially the amount that you're allowed to earn, before having to pay tax. (Normally £12,570)
Not everyone will be entitled to claim this, as there are some base requirements:
You have to be married or in a civil partnership
Just living together wouldn't count at all.
Your partner has to be paying the basic 20% tax rate
That means earning less than £50,270 or £43,662 if you're in Scotland. Any higher and you won't be eligible.
One of you must earn under the the usual £12.570 personal allowance
Basically a non-tax payer.
Both of you must have been born on or after the 6th April 1935
If you were born before this date, then you might want to take a look at Married Couples Allowance, which could bring down your tax bill between £364 and £941.50 a per year. I believe this is being phased out though, so worth looking in to or passing on to anyone you may know that could be eligible.
The short answer is yes. However, this amount will be different for everyone. Here's a list of previous tax years and the maximum amount they could be worth to eligible couples.
- 2022 / 2023 - £252
- 2021 / 2022 - £252
- 2020 / 2021 - £250
- 2019 / 2020 - £250
- 2018 / 2019 – £238
You shouldn't need to do anything to get it backdated, as it's normally automatic anyway, so don't worry if you don't see anything regarding previous years.
In the current tax year, you'll find that the higher tax payer will pay a little less tax on their take home pay.
What about when backdating?
If you're applying and getting your payments backdated, you'll either get a bank transfer or a cheque when claiming online. This can take a couple of weeks though, but well worth it
If you claim via post, then you can expect a wait of around a month.
There are a couple of links below that should be useful to you, to quickly establish if you're eligible for marriage allowance and if so, you'll be able to calculate it too.
By doing this, you may find that your own tax goes up, but the overall tax paid between a married couple is actually less. It's well worth looking into and doesn't really take that much time either.
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250 Comments
sorted byWho should apply for this allowance?
It would always be the lower income person that would have to apply for it, so it's worth going through the form and applying to see if you can get something out of it. (edited)
I'm out.
£252 seems almost comical as a marriage "benefit".
Calculate here:
tax.service.gov.uk/mar…652
Both discussed here: moneyhelper.org.uk/en/…nce (edited)
Selfservatives will urgently arrange a meeting to make bonuses unlimited as banker's are really suffering during a cost of living crisis (edited)
To think that in in 1985 we had this in a key budget speech... and nothing happened.
"There is, therefore, a strong case for changing to a new system of personal allowances more suited to today's economic and social needs. Under this, everyone, man or woman, married or single, would have the same standard allowance; but if either a wife or husband were unable to make full use of their allowance, *the unused portion* could be transferred, if they so wished, to their partner."
ifstudies.org/blo…-uk
Bend over those who earn decent money regardless of the fact that we pay the most to the country.
This a similar flaw in child benefit.
I have shares which I am looking to sell but what's stopping me is the tax bill at the end. I've been told transfer some shares to the wife to make things easier.
My wife earns is the lower earner so would need to apply.
She has a valid drivers liscence and passport.
My passport is expired and I do not drive.
Do we both need to provide those documents or just the person applying?
Thanks (edited)
My income goes up and down and my wife has up'd her hours so could end up paying back what ever I get
Think I'll leave it for the sake of £250
Kudos to you!
You really are a superman.(y) (edited)
For 2023/2024 the Marriage Allowance is £1260, with basic rate tax relief at 20% making it worth £252.