health in penalty 2014

**John of PA** · 02-01-2014, 05:39 PM

There is a wealth of information, including some calculators, at the Kaiser Family Foundation Websight on the ACA. KFF.org I'm not sure about the penalty other than the 2014 penaty from my understanding is 95 per month for every month without insurance OR 1% of your income, whichever is greater.

**rjholmes** · 02-01-2014, 06:54 PM

Penalty

The penalty is the greater of $95 for the year 2014 or 1% of income in excess of the threshold amount. Or am I reading it wrong?

**TaxGuyBill** · 02-01-2014, 08:45 PM

Originally posted by rjholmes

The penalty is the greater of $95 for the year 2014 or 1% of income in excess of the threshold amount. Or am I reading it wrong?

Yes, it is 1% of income in excess of the threshold.

http://www.law.cornell.edu/uscode/text/26/5000A#c_2_B

The 'flat' penalty amount is $95 PER adult ($47.50 per child) with a maximum of $285. THEN you figure out which penalty method is greater.

http://www.law.cornell.edu/uscode/text/26/5000A#c_2_A

I agree, the Kaiser calculator is the best one out there.

Health Insurance Marketplace Calculator | KFF

http://kff.org/interactive/subsidy-calculator/

The Health Insurance Marketplace Calculator, updated with 2025 premium data, provides estimates of health insurance premiums and subsidies for people purchasing insurance on their own in health insurance exchanges (or “Marketplaces”) created by the Affordable Care Act (ACA).

EDIT: In answer to the original question, Form 1040 ES indicates you should include the penalty into the estimated tax.

http://www.irs.gov/pub/irs-pdf/f1040es.pdf