Application fee is 1.900 thb no matter on time given or even denied. So you did not pay for 1 year.
You are not allowed to be inside a foreign country with an invalid passport, which is the reason that the last day of permission to stay inside Thailand is the same as the last day validity passport.
And you think when you make a new passport, the Thai Immigration Bureau will delete all your information on their database to please your way of living in Thailand?
I guess you have a big stamp in your passport with in line 2 the text "Extension of Stay permitted up to
*****
/2024.
Buy a Single Re-Entry Permit at your local Immigration office, cost 1.000 Thb, leave to Europe, apply for the new passport, come back using BOTH passports, get a new entry stamp Admitted until
*****
/2024 in your new passport.
And apply for a new Extension of Stay by handing over both passports, your idea is good, simple and can be done without any problems.
Benefit on the ON-LINE application is that computers do not talk.
You type and choose the options needed, so make two account, one for you, one for the missus, and apply for one Non Immigrant O visa based on being over 50 years of age (retirement and for one Non Immigrant O visa based on visiting family or staying with applicants family resided in Thailand.
All neighbor countries of Thailand has the rule of minimum 6 months validity of passport to enter the country, so back to Thailand is no problem but you can not leave by land.
Only option is fly back home, get a new passport and come back into Thailand.
There is a limit of 2 times a calendar year visiting Thailand by land or sea borders using the Visa Exempt Entry, NOT with tourist visa, NOT with any other VISA and NOT when coming in by air.
You apply for an Extension of Stay based on marriage with a Thai National, the change of jobs or income does not effect the reason why this Extension of Stay is issued.
See it as the same if you change address, or changes the furniture after making the needed pictures of proof of marriage.