Tuesday, July 2, 2013

Millionaires and Billionaires Can Qualify for PPACA's 'Low Income' Subsidies

Think early retirees with millions in the bank who are not currently generating much income: 

To be eligible for subsidized coverage, your income would have to be between 100 and 400 percent of the federal poverty level ($11,490 to $45,960 for a single person in 2013). 

"Income" in this case means modified adjusted gross income -- basically the total of your adjusted gross income from your tax return and any tax-exempt interest income you have as well as certain foreign income. Your stock portfolio wouldn't be included in that total, experts say.

"Assets would not be counted, except for any income that's generated from the assets," says Mark Luscombe, a principal federal tax analyst at CCH, a tax and business information publisher. 

Full story: Kaiser Health News