Because of the Affordable Care Act, many people who buy their own health insurance can get financial assistance that lowers your costs. This assistance is called a subsidy. There are two kinds of subsidies: the Advanced Premium Tax Credit and Cost Sharing Reduction.
The Advanced Premium Tax Credit goes toward your health insurance premium—what you pay each month to maintain your health coverage. You can apply it to our bronze, silver, gold and platinum plans. Here's what else you need to know about the premium tax credit.
Who is Eligible?
If you can answer yes to all these question, you may be eligible for the premium tax credit.
- My household income is 100 to 400 percent above the Federal Poverty Level. Most people in this range will be eligible, but not everyone. See note below.
- My employer doesn't offer health insurance that costs less than 9.5 percent of my income and pays at least 60 percent of covered benefits.
- I'm not eligible for health insurance through a government program like Medicaid or Medicare.
- I'm married and file a joint return.
- I'm not claimed as a dependent by another person.