How can the government assist me in paying for my health care plan?
If you would like government assistance to afford your health care plan, there are two ways that a Subsidy Advantage/Premium Tax Credit can help. A Subsidy Advantage/Premium Tax Credit is a refundable tax credit that assists eligible individuals and families with low or moderate income to afford health care insurance.
The amount of your premium tax credit is based on a sliding scale. People who have a lower income, typically qualify for a larger credit to help cover the cost of their insurance. When you enroll with benefitbay® we will automatically check to see if you are eligible to qualify for a Subsidy Advantage/Premium Tax Credit to lower the cost of your monthly premium. You can do this as an Advance Premium Tax Credit, which would go toward your health insurance premium each month.
If you choose to accept the Subsidy Advantage/Premium Tax Credit, you forgo the employer contribution. In addition, when you file your tax return, it is important to report the Subsidy Advantage/Premium Tax Credit to ensure your taxes are filed correctly.
The benefitbay® platform is the only ICHRA system that allows the ability to unlock the best possible solution for all parties involved. Through the use of the proprietary Subsidy Advantage tool, employers can review the best path for employees and help unlock the best purchasing power for the employee population.