For married couples (me) it just gets lumped in with everything else. There is no me, just we.
For non-married couples I would say it really depends on the relationship and living situation. If you are keeping your finances completely separate for whatever reason then the person in the higher tax bracket should claim the kids to minimize total taxes paid. Then they can give $500 per child (credit) and $3950/2*your tax bracket per child for the deduction.
If you have a more give and take relationship I wouldn't worry about it too much. Maybe the person who gets the tax break can acknowledge it and take on one of the larger kid expenses.
Like I said though, it really depends on circumstances and how the relationship is set up.
I should explain the numbers because I don't know how much you know about the taxes. You generally get a $1000 tax credit per child and a $3950 deduction per dependent.
$500 came from splitting the credit and the formula with $3950 in it would be what you could get if you were claiming the child. I wouldn't focus on the refund at all, but more of how the child impacts how much tax is paid.
Sorry, didn't realize until now he stayed at home and probably doesn't work. I wouldn't give him a bonus because you got a refund for the same reason I wouldn't give him a bonus if you had to pay. Your finances should be somewhat linked because of the child already. Whatever you normally give him should still be given. If you think you can give him more now because you are actually making more money than you thought then you can do that.
Or sit down and decide what to do with the refund. Something for the house or for the kid. Maybe even an engagement ring if you guys are headed down that road.
I think I'm the only person still here.
I just don't want to be selfish. But I don't get why he needs 700 in there
It might just be a comfort thing if he has no way of making money right now. Maybe he just wants some to call his own. $700 is about right at half of what you would expect to get back from a child in taxes for most people.
If he plans to use it on things that one of you would buy anyway it's probably not a big deal. If he's just going to blow it on wasteful things then that's a different story.
In our house it's all just 1 credit card, 1 bank account and 2 paychecks. Didn't get a tax return last year, first time I've ever owed $$. I think it's because I refinanced my mortgage in dec-2012 and paid so much less in interest.
I can relate to wanting to have money in my account i like having a little extra after everything is paid for even if i don't spend it