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Old 07-13-2019, 03:15 PM
 
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Quote:
Originally Posted by martinjsxx View Post
Does anyone know how SS benefits count toward Obamacare subsidies? For example if you are under 65 and buying a health plan under ACA with a subsidy and then start collecting Social Security does that full amount get counted toward the income limits for an Obamacare subsidy?
it is counted .

taxable and Non-taxable Social Security benefits are counted as income for the Affordable Care Act and affect tax credits.
This means that when calculating your eligibility for a subsidy your social security income is used to determine your eligibility and may affect the amount you qualify for.

To get your modified adjust gross income (MAGI, which is often referred to as “household income” when we talk about subsidy-eligibility and Medicaid-eligibility), you start with your adjusted gross income (AGI) from your tax return. Then there are three things that must be added to your AGI if any of them apply to you:

Non-taxable Social Security income.
Foreign-earned income (and housing expenses if you live abroad).
Tax-exempt interest income.

So in general, if you have Social Security income that isn’t include in your AGI on your tax return, you need to add it to your AGI to get the total household income on which subsidies are based.

Source: https://www.healthinsurance.org/faqs...-the-exchange/
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Old 07-13-2019, 03:18 PM
 
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Thanks much mathjak107!
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Old Today, 09:55 AM
 
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Quote:
Originally Posted by mathjak107 View Post
it is counted .

taxable and Non-taxable Social Security benefits are counted as income for the Affordable Care Act and affect tax credits.
This means that when calculating your eligibility for a subsidy your social security income is used to determine your eligibility and may affect the amount you qualify for.

To get your modified adjust gross income (MAGI, which is often referred to as “household income” when we talk about subsidy-eligibility and Medicaid-eligibility), you start with your adjusted gross income (AGI) from your tax return. Then there are three things that must be added to your AGI if any of them apply to you:

Non-taxable Social Security income.
Foreign-earned income (and housing expenses if you live abroad).
Tax-exempt interest income.

So in general, if you have Social Security income that isn’t include in your AGI on your tax return, you need to add it to your AGI to get the total household income on which subsidies are based.

Source: https://www.healthinsurance.org/faqs...-the-exchange/
Thanks again mathjak107. Are you familiar with ACA subsidies in general? I have a followup question if you are.
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Old Today, 10:18 AM
 
1,399 posts, read 275,935 times
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Quote:
Originally Posted by martinjsxx View Post
Does anyone know how SS benefits count toward Obamacare subsidies? For example if you are under 65 and buying a health plan under ACA with a subsidy and then start collecting Social Security does that full amount get counted toward the income limits for an Obamacare subsidy?

From healthcare.gov..the answer is yes, it is counted.


https://www.healthcare.gov/income-an...mation/income/

Include both taxable and non-taxable Social Security income. Enter the full amount before any deductions.
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Old Today, 12:16 PM
 
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Quote:
Originally Posted by martinjsxx View Post
Thanks again mathjak107. Are you familiar with ACA subsidies in general? I have a followup question if you are.
ask away .....
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Old Today, 01:21 PM
 
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Quote:
Originally Posted by mathjak107 View Post
ask away .....
My question relates to having a policy period that does not correlate with a calendar year.

I have a policy from NY State of Health with a policy period of October 1st thru September 30th of the next year. In renewing now they asked for my projected 2019 (not 2020) income to determine financial assistance for the next policy year. If I take Social Security benefits in January my income would increase to a point that my financial assistance would be less. I know you are supposed to report changes in income within 30 days and I would do that, but technically wouldn't I qualify for the existing assistance until September 30, 2020? When I renew next year (2020) my latest tax return would be for 2019 and would show my income without SS. The next renewal for October 1, 2020 I could project my income including SS and would expect lower financial assistance.

If my policy year was the same as the calendar year there would be no issue but it's not. Like I said I will call the exchange when my income changes but I'm not sure how this situation should be handled.
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Old Today, 01:30 PM
 
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Quote:
Originally Posted by martinjsxx View Post
My question relates to having a policy period that does not correlate with a calendar year.

I have a policy from NY State of Health with a policy period of October 1st thru September 30th of the next year. In renewing now they asked for my projected 2019 (not 2020) income to determine financial assistance for the next policy year. If I take Social Security benefits in January my income would increase to a point that my financial assistance would be less. I know you are supposed to report changes in income within 30 days and I would do that, but technically wouldn't I qualify for the existing assistance until September 30, 2020? When I renew next year (2020) my latest tax return would be for 2019 and would show my income without SS. The next renewal for October 1, 2020 I could project my income including SS and would expect lower financial assistance.

If my policy year was the same as the calendar year there would be no issue but it's not. Like I said I will call the exchange when my income changes but I'm not sure how this situation should be handled.
They actually go by your taxes when filed and adjust up or down ...what you tell them is only a starting point
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Old Today, 03:25 PM
 
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Thanks. There's a bit more to the story, it's going from an Essential Plan policy to a regular ACA policy with federal subsidies. The Essential Plan doesn't reconcile income with financial assistance on the tax return as it has either a $20 or $0 premium for all eligible for it. I don't know if NY would take me off the Essential Plan mid-year because when I renew for October 1st of next year my latest tax return (2019) would show income eligible for the plan during the period.
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Old Today, 04:52 PM
 
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You can change mid stream. It's called a major life change and that includes an income change, address change, dependent change, etc. Then they readjust your premium and you start paying the new premium right away.

I just did it when I moved to SC. New plan, new premium as of 7/1.

https://www.healthcare.gov/glossary/...ng-life-event/
https://www.healthcare.gov/coverage-...llment-period/
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Old Today, 05:04 PM
 
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Quote:
Originally Posted by TMSRetired View Post
You can change mid stream. It's called a major life change and that includes an income change, address change, dependent change, etc. Then they readjust your premium and you start paying the new premium right away.

I just did it when I moved to SC. New plan, new premium as of 7/1.

https://www.healthcare.gov/glossary/...ng-life-event/
https://www.healthcare.gov/coverage-...llment-period/
Thanks again. Were you being insured from the NY exchange (NY State of Health)? NY makes you go through them to get coverage and if you are in a certain income level they force you into Medicaid or something called the Essential Plan. I'm in the Essential Plan which is state run.
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