Payment of Expenses by the Higher Income Spouse

Generally speaking it can be tax effective for the higher income spouse to pay all the family's expenses, while the lower-income spouse invests as much of their income as practical. The investnment income earned will be taxed at a lower rate than if it were earned by the higher-income spouse. This assumes the higher income spouse is not incurring these expenses to earn an income and can't write off the expenses. This arrangement will allow the lower-income spouse to generate investment income that otherwise would have been used to pay off personal debt.