7

What effect will not paying COBRA for April and not signing up for an ACA marketplace plan (thereby going uncovered for one month) have? None. Your new employer coverage will begin May 1; and presumably are covered now. You would be responsible for any claims with dates of service in the month of April but that's it. As to the question in your title, ...


7

In general, there are some exemptions that may apply to your situation, but may not, depending on the exact specifics. In particular the two exemptions that seem relevant: If your wife and son are resident aliens, they may qualify for a resident alien exemption. They would need to be bona fide residents of India, or some other country, for the full tax ...


7

According to the IRS (look at the 11th question on this page) a nonresident alien is not covered by the individual mandate. If your wife has been in the country for less than 5 years on the F-1 visa, she is a nonresident alien. You will still need to file a W-7 to get an ITIN for her if you wish to file jointly with her. Some school insurance plans may ...


6

Yes, anything that lowers your MAGI will help you avoid the cliff, and all above the line deductions like HSA/IRA contributions do so. I'd prioritize maxing HSA contributions over maxing IRA contributions, but that's another topic. Here's a good article on avoiding the cliff, but you've already got it figured correctly: Stay Off the Obamacare ACA Premium ...


5

How frequently you can receive certain services will depend on the specific service. Some services are considered preventive and are mandated by law, these benefits will have certain age and frequency restrictions in order for the service to be considered and paid for as preventive, that should be pretty similar across different plans. Generally frequency ...


4

To start: Do I have to get a policy that says it is "HSA compatible" in order to contribute pretax (or have the employer do it) into my HSA savings acct? Yes. There's more to an HSA compatible HDHP than simply the deductible amount. As you mention in your question, with an HSA compatible HDHP you pay all costs until you've met the deductible. Most non ...


4

When it's time to file taxes, must the person pay back some or all of the subsidy received because they made more income in the year than their estimated income when signing up even though the new income realization occurred when not utilizing the ACA plan or receiving subsidies? Effectively, yes, when you calculate your return, the subsidy that was ...


4

You asked, What effect will not paying COBRA for April and not signing up for an ACA marketplace plan (thereby going uncovered for one month) have? Considering that you asked this question well into May, and we can assume you didn't have significant unexpected healthcare costs during the period where you were not covered, the answer is basically nothing. ...


4

Possible? Sure. Likely? Not a chance; there's to much money to be made from selling insurance policies, and the more open the market becomes, the more likely someone else will want to move in to capture some of those customers.


3

You're right. That's pretty much it. You get a deduction for any medical expenses above 10% of your Adjusted Gross Income. You also have to itemize your deductions; claiming the standard deduction won't do.


2

You can claim as often as you like. The "Metal" tiers just identify how much of the costs you pay versus how much the insurance company will pay (after any deductible). Plan Category The insurance company pays You pay Bronze 60% 40% Silver 70% 30% Gold ...


2

Yes, it applies to control groups. If I remember correctly common ownership rules are used to determine "Applicable Large Employer" status but if the time comes to owe a penalty, only the actual entity missing the mark will owe a penalty, not the entire control group. This is an excerpt from Section 4980H (the section that lays out employer requirements ...


2

Yes. While there are the normal annual enrollment periods, you are also granted a "special enrollment period" triggered by certain "qualifying life events." You'll typically have 60 days to make your election once you lose your prior coverage or have a different life event that would allow you to make a change. Some common qialifying life events are: ...


1

COBRA may not make sense for you in your situation, however, one place it makes a big difference is for someone who has already hit their deductible before the end of the year, switching plans would most likely reset it. Note this problem exists for anyone changing jobs with employer coverage too.


1

I helped someone with this a few years ago and AFAIK, the process is still the same. You answered the basic questions and they indicated that you are eligible for a $999 per month "Estimated premium tax credit". If you look at the available plans for your county, it will say "Estimated monthly premium" and a dollar amount after that. That represents your ...


1

Here's what the instructions for the relevant line on form 1040 say: Enter the total amount paid in 2018 for health insurance coverage established under your business (or the S corporation in which you were a more-than-2% shareholder) for 2018 [...] Oddly, this says both "paid in 2018" and "coverage for 2018". This would seem to indicate that payments ...


1

It is clear from the instructions you quoted that there is no need to file an amended return. If it were expected, it would say so explicitly.


1

To answer #3 specifically, there are a number of exemptions from The Individual Shared Responsibility Payment (the "fine" or "penalty" for being uninsured). One of those is: You lived in a state that didn’t expand its Medicaid program but you would have qualified if it had. That exemption (others may well apply based on income to many people in this ...


1

1) When you apply for insurance you indicate your expected income, they figure the subsidy based on this. Note that while this data isn't checked it's only an estimate, any errors will be fixed at tax time so lying is just going to gain you an unpleasant tax bill come April 15. 2) It's not paid in installments, it's just a monthly premium. It's quite ...


1

You claim the tax credit for the tax year in which it was received. The government will send you a 1095-A denoting your monthly premium as well as your monthly advance premium PTC. You'll use form 8962 (Premium Tax Credit) in your filing and if your income ends up at your estimation, the tax credit is all yours.


1

It is possible. The insurance companies are complaining that they are losing money in some states. They are businesses. They have investors. Will they all pull out of the ACA market in a state? There is no way to know. Will they complain every time they submit higher rates and they get cut back by the state insurance commissioners? Yes. The big ...


1

A healthcare provider is a doctor, medical group or healthcare facility, and have nothing to do with the premium paid to your insurance company or whether or not you receive advance premium tax credits from the federal government. If by healthcare provider you mean your health insurance company, then what may have happened is that the Exchange in your ...


1

The income calculation for subsidy is on annual basis, and the final accounting is done on your tax return. You get "subsidized" price based on your estimate, however at the year-end, on your annual tax return, you'll be calculating the actual subsidy. If the actual subsidy ends up being less than you received - you'll have to repay it back. Similarly, if ...


1

You can deduct eyesight correction surgery if it is medically necessary, you itemize deductions, and your medical expenses exceed 10% of your AGI. Obviously, the portion you paid with the money from FSA doesn't count, since it is considered reimbursement, but the FSA contributions are pre-tax. Similarly with HSA.


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