Two Methods on Paying The Fine For No Health Insurance
Do you ever know that there will be fine for no health insurance? If you just heard about it this time or not understand about it yet, this article is the right place to get all the information.
The term of the fine
When someone is in the condition that actually can afford health insurance but do not do it, then he or she will be charged by a fine. There are many terms to call the fine. It usually called as individual shared responsibility payment, penalty, fine, or individual mandate. However, in certain case, people may meet the criteria for health coverage exception. If it happens to you, then you may not need to pay the fine.
There is also other term, which you need to know. It is the minimum essential coverage. It is a condition when counted as owing the fee for the month that you, your spouse, or even your tax dependents do not have qualifying health coverage.
Calculating the fee
There are two ways to calculate the fee.
1. Through the percentage of your household income
To count from the household income, it is taken as many as 2.5. The maximum border in the calculation is the full amount of yearly premium for the national average price of the Bronze plan, which sold through Marketplace.
2. Through per person method
Move to the second way, the per person takes $695 for adult, and $347.5 for child under 18 years old. The maximum border of this one is $2,085.
Paying the fee
It is important for you to know that the penalty may rise yearly along with inflation. If choose to pay with the percentage method, then only the part from your household income, which is more than the yearly tax filling requirement that will be counted. On the other hand, if you pay by using the per person method, you will only need to pay for the people who do not have insurance coverage.
If you have the coverage for half year, then the fee will be 1/12 of the annual amount for every month that you do not have coverage. However, if you are not covered for only 2 months or less, then you will not need to pay any fee.Those are all information about fine for no health insurance. Hopefully, it is clear enough for you to understand better about the fine that you need to pay if you do not have health insurance.