When a marriage is terminating, the timing of the divorce or court-decreed separation needed to be unmarried for tax purposes is flexible in light of the local court calendar. If both spouses have significant income, it is usually best to be unmarried before year-end. However, when one spouse has little or no income, it is usually best to delay divorce or court-decreed separation until after year-end. Cash flow and financial aid should also be considered when dealing with a divorce near, or during, college years.