But she also probably has to pay for the $250 per month of ADHD medication under that plan, since the deductible won't be reached. So the monthly cash flow out is $650 per month before any other medical costs, which she will also have to pay out of pocket, except for the zero cost checkups, vaccinations, etc.
Also, as a self employed person she has to pay all of the FICA and Medicare out of her income. So instead of seeing a 7.65% tax rate, she pays 15.3% off the top directly to the federal government. That's another $625 per month, $312 more than somebody who is not self-employed pays.
Finally, for all its problems, Medicaid is usually a generous insurance program from the user's point of view with low or zero deductibles and copays. So Medicaid is way more appealing than a typical ACA insurance plan. The next bad effect we'll see will be people who adjust their income to stay under the thresholds which cause them to lose their subsidized or free plans.
-——$250 per month of ADHD medication——
She could also stop the meds and be mother. She’s made her kid a druggie. A little conscientious mothering might go a long way to reversing the kid’s supposed problems
And, during this first year, without employers being involved, there is no way for the government to document your actual income.
Accordingly, the income entry is on the "Honor System"...