You can enroll through the Marketplace if you're a freelancer, consultant, independent contractor, or other self-employed worker who doesn't have any employees.
- When you fill out a Marketplace application, you'll find out if you qualify for premium tax credits and other savings on a health plan. This will be based on your income and household size.
- You'll also find out if you qualify for free or low-cost coverage through the Medicaid and CHIP programs in your state. This will depend on your income, household size, and other factors.
You can choose from several categories of coverage, from plans with low premiums that mainly protect you in worst-case scenarios to plans where you'll pay more each month but less out-of-pocket when you get health care services.
Marketplace coverage for the self-employed
You're considered self-employed if you have a business that takes in income but doesn't have any employees. If your business has even one employee (other than yourself, a spouse, family member, or owner), you may be able to use the SHOP Marketplace for small businesses to offer coverage to your employees. See "How do I know if I'm self-employed or a small employer?" to learn more.
Self-employment income and Marketplace savings
Marketplace savings are based on your estimated income for the year you're getting coverage.
Projecting your income
When you fill out a Marketplace application, you'll have to estimate your net income for the year you want coverage. (See "Reporting net income" below to understand what income to report.)
When you're self-employed, it may be hard to estimate your income.
- Do your best to estimate your self-employment income and expenses for the year accurately, based on your past experience, realistic expectations, industry standards, and other information.
- During the year, if it looks like your yearly income will be higher or lower than you estimated, update your Marketplace application as soon as possible.
Important: Update your estimated annual income when your business circumstances change. If you wind up making more than you reported on your Marketplace application, you could have to pay back some or all of the premium tax credits you took during the year. If you wind up making less, you could qualify for more savings than you claimed during the year.
Reporting net income
On your Marketplace application, you'll be asked to report your net income from your self-employment. (Net income is sometimes called "profit.")
Your net income is the difference between your self-employment income and your business expenses.
- If your self-employment income is higher than your business expenses, you report this net income.
- If your business expenses are higher than your income, you report a net loss.
Your net income from self-employment is what you report on Schedule C of your federal tax return.
Other kinds of income
When you apply for Marketplace coverage, you must report income from everyone in your household. If you don't have coverage, you'll pay a penalty. Most Americans must have minimum essential coverage or pay a penalty. This is true no matter what your job status is.
CONFUSED? NEED FURTHER GUIDANCE?
Health insurance is insurance that pays for medical expenses. It is sometimes used more broadly to include insurance covering disability or long-term nursing or custodial care needs. It may be provided through a government-sponsored social insurance program, or from private insurance companies.
Health insurance often provides coverage for medicine, visits to the doctor or emergency room, hospital stays and other medical expenses. Policies differ in what they cover, the size of the deductible and/or co-payment, limits of coverage and the options for treatment available to the policyholder.
Health insurance can be purchased directly by an individual or it may be provided through an employer (such as group health insurance). Medicare and Medicaid are programs that provide health insurance to elderly, disabled, or uninsured individuals.
The Patient Protection and Affordable Care Act (Obama Care) is the most significant regulatory overhaul of the U.S. healthcare system since Medicare and Medicaid were created almost 50 years ago. How is this legislation going to affect your personal healthcare choices, your business or your employees? Wouldn't it be great to have someone to whom you can turn in order to get the answers?
Let one of the professional and knowledgeable agents at EgggNest Insurance Services, LLC in Palm Springs assist you in making the most informed decision based on your health insurance needs.
This tax tip is updated to clarify that self-insured employers that are not applicable large employers, those with fewer than 50 full-time or full-time equivalent employees in the preceding calendar year, should file Form 1095-B. Self-insured employers that are applicable large employers should report health coverage information on Form 1095-C. This tip does not apply to information reporting on health care coverage of individuals who are not employees or entitled to coverage because of a relationship to an employee.
If, at the end of your tax year, you are married and one spouse is a U.S. citizen or a resident alien and the other is a nonresident alien, you can choose to treat the nonresident as a U.S. resident. This includes situations in which one of you is a nonresident alien at the beginning of the tax year, but a resident alien at the end of the year, and the other is a nonresident alien at the end of the year.
If you make this choice, the following rules apply:
- You and your spouse are treated, for income tax purposes, as residents for all tax years that the choice is in effect,
- You must file a joint income tax return for the year you make the choice, and
- Each spouse must report his or her entire worldwide income on the joint income tax return
Oct. 15 is the last day to file 2014 tax returns for most people who requested an automatic six-month extension. However, you can file any time before Oct. 15 if you have all your required tax documents. If you are one of the nearly 13 million taxpayers who asked for more time to file your federal tax return this year, you don't need to wait until Oct. 15 extension deadline to file your return. You can file now if you are ready. As you prepare to file, here are some things that you should know:
Use IRS Free File. Even though it is after April 15, nearly everyone can use e-file their tax return for free through IRS Free File. It does the math, checks to see if you qualify for tax breaks that you might miss, and it works best for those who are used to doing their own taxes. The program is available on IRS.gov now through Oct. 15. IRS e-file is easy, safe and the most accurate way to file your taxes. E-file also helps you get all the tax benefits that you're entitled to claim.
Khon2.com reports, "In the 60 years since Disneyland has opened, millions have walked its streets. It seems like every inch of the place is just so, a perfectly curated fantasy. But behind every good magic trick is an even better secret. CNN Money got access to three of the most sacred spots inside Disneyland, places the public can't go. The Disney Dream Suite is a two-bedroom suite, designed to be a luxurious place for Walt Disney and his family inside the park."
"This upstairs space of Pirates of the Carribean attraction, which is below is, is the perfect place for a Dream Suite," explained Imagineer Kim Irvine." Though millions of people have visited Disneyland, few know about three secret locations inside the park. Cristina Alesci goes inside the most sacred spaces in the "Happiest Place on Earth," all with special ties to Walt himself.
Matt Ferner of HuffingtonPost.com reports, "A 38-year-old Kansas woman who lost custody of her 11-year-old son and faces charges that could send her to prison for 30 years over her use of medical marijuana was released on bail last week.
Shona Banda, who has a severely debilitating case of Crohn's disease, now prepares for the fight of her life -- one that her attorney is hoping will not just keep her client out of prison and restore custody of her child, but one that she hopes will cripple "absurd, archaic and outdated marijuana laws that should have been changed decades ago" in Kansas and the rest of the United States."
CNBC is reporting, "Starbucks posted fiscal third-quarter earnings of 42 cents per share on $4.88 billion in revenue. Analysts forecast Starbucks would report earnings of 41 cents a share on $4.86 billion in revenue, according to a consensus estimate from Thomson Reuters."
As TEDxBoulder reports, "Josh will sift through the propaganda, fear and greed encompassing medical marijuana. Recently featured on CNN, Josh and his brothers developed a non-psychotropic strain of marijuana which is drastically reducing seizures for many pediatric epilepsy patients in Colorado. With millions facing life-threatening illnesses, Josh outlines the hurdles needed to effect social change and maps a path toward helping those who desperately need revolutionary medicine."
Reports Andy Greenberg for WIRED Magazine, "Though I hadn't touched the dashboard, the vents in the Jeep Cherokee started blasting cold air at the maximum setting, chilling the sweat on my back through the in-seat climate control system. Next the radio switched to the local hip hop station and began blaring Skee-lo at full volume. I spun the control knob left and hit the power button, to no avail. Then the windshield wipers turned on, and wiper fluid blurred the glass."
CNBC reports, "Package your selling points into an "elevator pitch" so that when you are in an interview or at a networking event, it's clear what you bring to the table. "Highlight the skills that fit the role you want," said Salemi. "Think of it like a tweet" where you have to express your feelings and thoughts in limited phrasing."
When you land that job, don't forget to invest!
Reports NBCNews.com, "Music legend Willie Nelson, who has made no secret of his love for marijuana, has launched his own cannabis brand, the singer-song writer announced on Monday — also known as '4/20' day. Nelson, 81, paired up with "some of the best master growers in America," to create the marijuana varieties and products for the brand, which he has called 'Willie's Reserve,' according to a statement from his representative, Elaine Schock."
Watch the video from Rolling Stone.