The Wonderful – Premium Tax Credit!

Roger Chartier – Feb – 2014

Enroll in a money saving health care plan

In gaining the advantage you must follow these three rules.

  1. You can not be eligible for specifically generous employer paid or sponsored coverage, Medicare or Medicaid.
  2. In 2014 if you have a household income that falls between one and four times the federally determined poverty level you would fit in. For 2014 that would be between $23,550 and $94,200.
  3. Between 10/1/1013 and 3/31/2014 your would have to register with the open enrollment to get your family’s health insurance from the Health Insurance Marketplace.

Two choices

The marketplace will decide if you are able to qualify for this tax credit when you enroll. This leaves you with these two choices.

  1. You can get all of the the benefit when you file your 2014 tax.
  2. You can get an advance of partial payment or total payment that would go to your insurer to pay on your policy. A partial pre-payment would leave you with a smaller monthly premium insurance payment

If you have income out of the area of acceptability or family size changes during the year it will affect your taxes when you file. You will have to pay the difference. If it changes to be to your advantage you would be entitled to a larger refund.

It is best to notify the Marketplace during the year of any changes.