Thanks for the videos. You really help relieve me of anxiety and stress! I have 2 questions about income and changing plans. 1) How should I report a one time estate disbursement I received in July that counts as supplemental income? Should I divide the total amount by 6 and report the monthly amount for the rest of the year? 2) Am I allowed to change plans after reporting the new income as I will probably lose most all of my subsidies at my new annual income level and want to go to a more affordable plan rather than paying full price for a higher tier? Again, thank you for your videos 😊
1. If the income is a one-time event, you can report as such in the month you received it. You don’t need to spread it out over the rest of the year. Either way, it will increase your annual income and your subsidies will decrease. 2. If you have an enhanced Silver plan (73, 87, or 94), it will increase to possibly a Silver 70 plan. However, that is the only plan change that can happen with an income change. An increase or decrease of income does not trigger the ability to change the metal plan (Silver to Bronze or from Blue Shield to Kaiser) or switch carriers of the health plan.
Hello Kevin, what if I forgot to report my income in covered California. I got a raise and I forgot to report my new income started in January 2023, if I update my income now. Can I update the income section and state that my income started at the beginning of the year? Or just put today as the effective date?
Yes, you can update your income anytime and backdate the start date. Your monthly subsidy will drop disproportionately because of the accumulated income increase that began in January. You can also use today’s date, but that will cause your income estimate to be artificially low. Consequently, you may have to repay some or all of the excess subsidy amount because your final MAGI will be much higher than the CC estimate.
@@KevinKnauss Thank you again, Kevin! Thank you for your time patience and help :) your answer makes sense and it is more clear now. Your videos are very educational.
With such a positive video like this, you make my day.
I'm so glad!
Again. Thank you so much, Kevin. Invaluable information!
Glad it was helpful!
Thanks for the videos. You really help relieve me of anxiety and stress!
I have 2 questions about income and changing plans.
1) How should I report a one time estate disbursement I received in July that counts as supplemental income? Should I divide the total amount by 6 and report the monthly amount for the rest of the year?
2) Am I allowed to change plans after reporting the new income as I will probably lose most all of my subsidies at my new annual income level and want to go to a more affordable plan rather than paying full price for a higher tier?
Again, thank you for your videos 😊
1. If the income is a one-time event, you can report as such in the month you received it. You don’t need to spread it out over the rest of the year. Either way, it will increase your annual income and your subsidies will decrease.
2. If you have an enhanced Silver plan (73, 87, or 94), it will increase to possibly a Silver 70 plan. However, that is the only plan change that can happen with an income change. An increase or decrease of income does not trigger the ability to change the metal plan (Silver to Bronze or from Blue Shield to Kaiser) or switch carriers of the health plan.
Thank you for your help!
Hello Kevin, what if I forgot to report my income in covered California. I got a raise and I forgot to report my new income started in January 2023, if I update my income now. Can I update the income section and state that my income started at the beginning of the year? Or just put today as the effective date?
Yes, you can update your income anytime and backdate the start date. Your monthly subsidy will drop disproportionately because of the accumulated income increase that began in January. You can also use today’s date, but that will cause your income estimate to be artificially low. Consequently, you may have to repay some or all of the excess subsidy amount because your final MAGI will be much higher than the CC estimate.
@@KevinKnauss Thank you again, Kevin! Thank you for your time patience and help :) your answer makes sense and it is more clear now. Your videos are very educational.