Heading toward divorce during the holidays can feel like navigating a snowstorm with no clear road ahead—stressful, overwhelming and full of obstacles. But do not worry; there is a light at the end of the tunnel—it is the fresh start that January can bring. Waiting until the new year to file for divorce might not seem festive, but it could be your favorite gift of the season because the timing of this decision can have significant financial, legal, and emotional impacts. Here are a few reasons why holding off until January might be the best course of action.

One of the most compelling reasons to delay filing for divorce after Dec. 31 is the impact on an individual’s tax filing status. The IRS determines marital status based on the last day of the calendar year. If a person is still legally married on the last day of the year, taxes can be filed jointly, which often comes with significant tax benefits compared to filing as single or head of household. For example, married couples filing jointly typically qualify for more significant standard deductions, higher income thresholds for certain tax credits, and sometimes more favorable tax brackets. Filing as a single individual or head of household can result in a higher tax burden, mainly if one of the spouses earns substantially more income. Delaying a divorce until January is one way to take advantage of these financial benefits for one final tax year. Beyond taxes, waiting can also provide more time to organize and plan for financial changes. Divorce involves dividing assets and debts as well as often adjusting to significant changes in income, while the holiday season can add financial strain with increased spending on gifts, travel, and celebrations. Postponing the legal process until after the holidays gives valuable time to budget, plan for legal fees, and evaluate the long-term monetary impact of decisions.