MONDAY, FEBRUARY 3, 2014
If you do not apply for a health plan by March 31, 2014 you may incur a fee at the end of the year. The fee is sometimes called the "individual responsibility payment," "individual mandate," or "penalty".
You will pay the greater of these two amounts:
$95 per person for the year ($47.50 per child under 18). The maximum penalty per family using this method is $285.
1% of your yearly household income. The maximum penalty is the national average yearly premium for a bronze plan.
The fee increases in the following years. In 2015 it’s 2% of income or $325 per person. In 2016 and later years it’s 2.5% of income or $695 per person. After that it is adjusted for inflation.
It is important to note that you do not have health insurance if you pay the penalty.
Not everyone without insurance will have to pay the penalty. You may qualify for an exemption if:
- You’re uninsured for less than 3 months of the year
- The lowest-priced coverage available to you would cost more than 8% of your household income
- You don’t have to file a tax return because your income is too low
- You’re a member of a federally recognized tribe or eligible for services through an Indian Health Services provider
- You’re a member of a recognized health care sharing ministry
- You’re a member of a recognized religious sect with religious objections to insurance, including Social Security and Medicare
- You’re incarcerated, and not awaiting the disposition of charges against you
- You’re not lawfully present in the U.S.
- For more info please visit my health insurance page.
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It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional
in your state. By using this blog site you understand that there is no broker client relationship between
you and the blog and website publisher.
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