You can improve your long-term financial health and reduce taxes by deciding that the higher income spouse should spend and the lower income spouse should invest. If your income levels vary significantly, it's a good idea to have the partner with the lowest tax rate do most or all of the investing while the higher earning partner pays for groceries and other daily living expenses. That way, over time, more investment income will be earned in the hands of the lower income spouse, and this should reduce the taxes on investment earnings and put more money in your pockets over time.

Income-splitting strategies are an important part of an effective financial plan. Talk them over with your Investors Group Consultant and put them into practice to reduce your tax bite and increase your after-tax investment returns.

This page is part of the GayFinance series.