The individual mandate of the Affordable Care Act takes effect on January 1, 2014. Under the mandate, millions of uninsured Americans will be required by law to obtain health insurance coverage or face a tax penalty. However, many of these new consumers will be eligible for tax subsidies to help them pay for health care costs.
GoHealth has created a tool to make calculating these tax subsidies for 2014 easy. In addition, the calculator provides an estimate of 2014 health insurance premiums, no matter where you live in the United States.
How the tax subsidy calculator works:
The technology is unlike any other because produces more granular results. The amount of a tax subsidy a household can expect to receive depends on a variety of factors including household income, the number of dependents, and the region of the country the household resides within. The subsidy calculator requires a zip code to accurately target results.
To receive a tax subsidy to cover health costs the federal government has a basic set of requirements that U.S. citizens and legal residents must meet.
- United States citizen or legal resident
- Family income between 100 and 400 percent of the federal poverty level (FPL). For individuals in 2013, 100 percent FPL is $11,490 and 400 percent FPL is $45,960. For a family of four, 100 percent FPL is $23,550 and 400 percent FPL is $94,200.
- Health insurance must be purchased through a public health insurance marketplace
- Affordable Coverage must not be available through an employer
- Not be eligible for Medicaid
Since the amount of subsidy depends on the annual income you take home. So if you are closer to the 400 percent FPL you will receive less of a subsidy than someone who takes home closer to the 100 percent level. To access GoHealth’s exclusive technology visit the GoHealth Subsidy Calculator today.