Eligibility for Obamacare Subsidies – How do it Work?
If you have questions like how do Obamacare Subsidies Work? And how do I calculate my Obamacare subsidy, then here we discuss on this topic. In America, about 26 million people are eligible for health insurance subsidies in next year. Very few people are familiar with subsidy provisions in the Affordable Care Act. It provides tax credits to low and middle income consumers to help them purchase health coverage through state run insurance exchanges.
According to Families USA’s research, Income earned between $47,100 to $94,200 are eligible to claim subsidies. Around 30 percent people are eligible for subsidies are between 18 to 34 years old. This arrangement is not only for poor but also for reaches.
Let’s check eligibility for Obamacare subsidies. Consumers can enroll under the health care plan in October and coverage stating from January. They are provided with four types of health insurance policies coverage known as platinum, gold, silver and bronze. Each plan is with different premium rates. People, who do not have Medicaid or Medicare or government health insurance programme, are eligible for help paying their premiums.
For An assumption, a family of four with earning $94,200 and purchasing a silver level plan which carrying a $12,500 annual premium will get a subsidy worth $3,550. It limits the cost of the premium to 9.5% of the family’s income. American government does not released the information how many Americans are eligible for subsidy but Families USA believes that up to 26 million Americans are there. But not all have sign up for that. As per one report, there are only 6 million people who have enrolled for this subsidies and it expect to increase to 17 million up to 2017.
Senior research analyst of the Urban Institute, Matthew Buettgens said that many Americans are in the dark about Affordable Care Act provisions that could help them. According to a March Kaiser Family Foundation poll, only 62% Americans are aware about availability of subsidy assistance to individuals under the health reform law. It is also fact that about 35 percent uninsured Americans cannot understand how the Affordable Care Act affects them. From January, 2014 all Americans have to insured under health insurance and if they do not so, they will carry penalties.
Any person who did not understand the provisions and rules of Obamacare, they may skip to enroll with Act and pay penalties regarding uncovered life. But ultimately, this step changes in heavy payment of fine. The affordable way is to sign up with Affordable Care Act.
More Related Queries:
- How do Obamacare Subsidies Work?
- Eligibility for Obamacare Subsidies