It is good, when you are your own boss! You can manage your schedule; do the job you like, stay independent from your employer.
But it is you, who are responsible for everything and getting health insurance (it is mandatory in USA) is also your own problem. So let’s solve it and invest money reasonably!
Affordable Health Insurance for Self Employed Is It A Myth?
Many self-employed workers complain that after ObamaCare affordable health insurance for self employed became a myth. For sure, it is not a myth, but you have to count everything correctly or apply for a subsidy, if you have a right to get it.
ObamaCare Act has some positive aspects. First of all, now you can be sure, that you will get insurance policy. Later you could be denied for some health conditions and thus went bust, when you had needed an urgent surgery or several weeks of recovery in hospital. Now you are guaranteed to get the policy and protection.
If it seems to you that you earn not much and you can’t purchase health insurance, you can always try to become subsidized.
ObamaCare Act has certain rules for self-employed. Let’s learn, who is self employed! It is a person, who has no other workers in his company. At least one colleague in your office – and you are not self employed.
So, if you have learnt exactly, that you are self employed, and getting individual insurance policy seems too much for you, study this information and put it into practice!
- You can become the member of the group insurance policy that is provided by the employer of your spouse.
- You can get individual insurance policy – without entailing it to your working place
- You can apply for a subsidy.
- You can calculate your deductible correctly and get tax benefits after it.
Self Employed Health Insurance Deduction – Calculating without Cheating!
Deduction is the part of new health insurance policy. Let’s deep into this question as it gives self employed people new opportunities.
The first thing a self employed person should do is to take a calculator and count his income per year. It is hard of course to predict it precisely – as precisely as it is possible but necessary, so take your time and do it. And if your income is really small, you can write an application for self employed health insurance deduction.
So, self employed health insurance deduction is the sum supposed for medical expenses during the year. It must be less than 10% in comparison with your income. Thus if your monthly premium is the tenth part of your income, it can be returned, at least partially. It is a difficult task for a self employer to predict accurately the amount of his monthly income. But it is absolutely necessary as if you write too high level of income than it actually is, you will pay high premiums for health insurance and it will be too hard bargain on your shoulders. If you write too low income, you will get the deductible in return, but thus you will be cheating. If you have predicted the amount of monthly income not precisely – you can change it in your application form later. But don’t give in to temptation to cheat and write too low income on purpose – otherwise you can get tax penalty. Writing claim for a deduction is one more idea to save money on your health insurance policy. And of course, it is necessary to get appropriate health insurance plan for self employed.
Self Employed Health Insurance Plans – Think Before You Get!
Oh, you’ve did it! You have started your own business! Look in the mirror – this lady or gentleman is your new boss from now. You have to care about him or her and purchase the best health insurance for self employed. Follow these three steps and you will succeed. It is better to do it online.
- Find the sites of different popular insurance companies like Amica, Metlife and others.
- Ask for quotes from them. Learn, what they can propose as for health insurance for self employed. Learn, if there are any discount programs.
- Compare different insurance plans, offered by the companies. You will see that their rates are different. Some of them are cheaper; the others offer new interesting options. Entail their plans to your own needs and choose the best one.
- Compare the coverage you will get in case of an emergency. Calculate your needs and try to predict, what amount of coverage you suppose to get, if you suddenly become ill. Are you ready to pay the additional amount from your own pocket in case if the coverage you’ve got is not enough?
- Pay attention to dental care. Is it included in your health insurance plan? Very often insurance companies offer separate policies for dental care.
- Read the testimonials about the insurance companies, comments of their clients and make the final choice.
- Fill in the application and get your policy.
If you have followed all these steps, counted a deduction and still you see, that getting the best health insurance for self employed is impossible in your situation because of too low income, you can use one of these innocent tricks that can help you to get your individual insurance policy as cheap as it is possible.
- Remember, that your employer must keep you as a member of the group insurance policy for 18 months after you have left the job. This period will give you an opportunity to start and develop your own business and get higher level of income to pay medical expenses by yourself.
- Become the part of the affordable group plan. Even if you can’t become the part of your spouse’s group insurance policy at his (her) job, you can find another group – religious, freelancers association etc.
- Find one more employer to turn your self employed insurance policy into small business insurance policy – it can be much cheaper.
- Open HSA. It is the best one among self employed health insurance plans. Health Savings Account is medical account that is affordable to the citizens of USA. It is possible to save funds for medical expanses there from year to year. They are tax free and can be used for medical service any time you like. You won’t lose this amount, even if you haven’t used it during the year and next year you can get more. Thus it is a kind of investment in your health. It is affordable for individuals, guarantees a certain amount of money for medical expenses and can be completely controlled by its owner.
So, invest money in your health, do it reasonably and enjoy the results!