Should I use an inline varchar(max) column or store it in a separate table?

Keep it inline. Under the covers SQL Server already stores the MAX columns in a separate 'allocation unit' since SQL 2005. See Table and Index Organization .

This in effect is exactly the same as keeping the MAX column in its own table, but w/o any disadvantage of explicitly doing so.

Paradoxically, if your data is normally less than 8000 characters, I would store it in a separate table, while if the data is greater than 8000 characters, I would keep it in the same table.

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