I pay for my own health insurance. I’m single, and have no kids. In 2012, I made less than $25,000. Based on my income, will my premiums be affected?
Dear Calculating Buyer,
At $25,000 in earnings for a single-person household, you are at around 250% of federal poverty. Therefore, you will qualify for government subsidies to purchase a plan on your state’s health insurance exchange (also called “marketplace”). The subsidies will reduce your cost for health coverage to between 6.3 and 8.05% of your income. You would spend between $1,575 and $2,012 for your coverage for the year. You will also qualify for help paying the plan’s deductible and co-pays. The amount of these (called “cost sharing subsidies”) depends upon the type of plan you choose.
You can use one of the online subsidy calculators; Kaiser Family Foundation has one and there are plenty of others. Keep in mind that these calculators are estimating how much your plan will cost. Starting October 1, you will be able to visit www.healthcare.gov find your state’s exchange, and then get actual numbers.
And kudos to you for buying your own plan, earning $25k a year. Plenty of people would love to know how you made all of those ends meet!