Tax Classes 2026: Which Combination Pays Off for Couples?
Few topics cause as much confusion among newly married couples as the choice of tax class. Does the higher earner have to take class III? Does III/V really bring more money? And what is this factor method all about? This guide clears up the most common misconceptions and shows what actually matters in the choice — and what does not.
The single most important insight first: whether you choose IV/IV or III/V does not decide how much tax you pay in the end. It only decides when and to whom the money flows during the year. Once you understand that, the choice becomes far less stressful. You can compare your personal figures at any time in the <a href="/steuerklassen-rechner">tax class calculator</a>.
Which combinations exist at all?
Married couples and registered civil partnerships have three options. First, the IV/IV combination: both partners have tax class IV and are essentially taxed like single people — each keeps their full basic allowance. Second, III/V: one partner takes class III with the doubled basic allowance and low wage tax, the other class V with correspondingly higher deductions. And third, IV/IV with a factor, a special form in which both stay in class IV but an individual factor distributes the tax burden fairly.
Why III/V can bring more monthly net
In class III the higher earner is credited with the doubled basic allowance. The monthly withheld wage tax is therefore much lower. The lower earner in class V pays disproportionately more, but because they earn less overall, the advantage for the higher earner often prevails on balance. The combined net rises — but only apparently, because this is merely an advance payment that is settled later.
How large this effect is depends decisively on the income ratio. If the salaries are far apart, say 4,000 to 2,000 euros, the liquidity advantage of III/V is noticeable. If both earn similar amounts, it shrinks to almost nothing — and then IV/IV is the simpler choice.
The big catch: the back payment
Because III/V tends to withhold too little wage tax during the year, the tax office reclaims the difference through the income tax return. Couples with this combination therefore have an obligation to file a return. Anyone who spends the monthly liquidity advantage instead of setting it aside faces an unpleasant surprise at year-end. Plan for a back payment from the outset.
The factor method as a fair middle way
For some years now the factor method has offered a third option that combines the best of both worlds. Both partners stay in class IV, and the tax office additionally enters a factor below 1. This ensures that the monthly wage tax already matches the expected joint annual tax quite closely. The result: more net than plain IV/IV, a fair split between the partners and usually no back payment. Read more in our article on the factor method.
Tax class and wage replacement benefits
An often overlooked point: the tax class affects not only the monthly payout but also wage replacement benefits such as parental allowance, sick pay, unemployment and short-time work benefits. These are based on net pay. Anyone who switches to a more favourable class before parental leave or looming unemployment can noticeably increase their later benefit. Timing is decisive — the switch must be made in good time before the assessment period.
Conclusion: calculate first, then choose
The right tax class combination is not a question of right or wrong, but of timing, liquidity and personal planning. For the pure tax burden the choice is neutral, but for your monthly balance and for wage replacement benefits it is quite relevant. Compare IV/IV, III/V and the factor method with your own salaries in the <a href="/steuerklassen-rechner">tax class calculator</a> and then decide deliberately.