Husseincare strikes again.
Posted on 03/05/2021 10:58:48 PM PST by Libloather
Preschool teacher Michele Ryan was nearly in tears when she filled out her 2020 taxes and learned that she owes the government more than $3,100 despite being unemployed for a significant portion of last year. She owes about $1,000 in taxes on unemployment income, but the bulk of her bill - $2,100 - is to repay some of the subsidy she received to buy health insurance last year.
According to the federal government, Ryan earned too much money on unemployment. It was more money than she would have made working as a preschool teacher, and it bumped her into a different income bracket that reduced her Affordable Care Act insurance subsidy. She’s desperate to keep health insurance in the middle of the pandemic and is trying to figure out how to pay the hefty bill.
“Where do I come up with all of this money to pay them back during the pandemic?” said Ryan, 50, who lives in Bergen County, N.J. “What did they expect us to do? Drop Obamacare during the pandemic?”
Ryan is among the millions of Americans encountering surprisingly large tax bills in the midst of a global health crisis. She was finally able to go back to work at a day-care center, but she says she doesn’t have $3,100. She used what savings she had to move from Pennsylvania to New Jersey when a job opened up in her field.
**SNIP**
Congress is trying to fix this problem so that low-income Americans don’t drop their health insurance because they can’t afford it. The $1.9 trillion stimulus package that is expected to pass by mid-March would forgive these tax bills. (Under a deal reached late Friday, households earning under $150,000 would also be spared taxes on the first $10,200 in unemployment income.)
(Excerpt) Read more at washingtonpost.com ...
Husseincare strikes again.
Lesson 1: Read the fine print.
We’re from the guvmint and we’re here to help.
When you make more money on unemployment than you would have made working, of course you have to pay more tax.
She earned more on unemployment than her job would pay, shocker! But this is an easy fix; the IRS can be instructed to ignore these minor transgressions and imo justifiably so given the mass confusion and mass hysteria.
Stimulus coming up shortly that will help
The simple truth is that if you are on øbamacare, you have to report changes in income to the marketplace. Or you get hot when you reconcile actual income to the estimate you gave when you took out the policy.
Hit, not hot
Been uninsured since April. I hope the hell nothing happens medically (I was forced to stop cancer treatments in April, as my CORBA being $5600 a month to continue... )
If you are a member of a church, you would qualify for one of the insurance alternatives.
Well it sounds like she got hot when she got the bill.
Hot = angry.
Not Hot = you owe money, but look at how hot you are beautiful.
Unemployment insurance has always been fully taxable as income.
Looked into the Christian medi-share and others. Couldn’t even afford the monthly premiums. My AGI for 2019 was too high to qualify for any free government health care, or paid insurance without huge deductibles.
Medishare and similar programs are very lucky who they insure. If you had cancer or have cancer forget it
They also do not cover preexisting conditions
Lucky= picky.
I qualify for Medicare Part B next month, but I’m still on my wife’s plan, and I have no clue what to do......my wife swears we’ll save money if I go ahead and opt up for it, but I have a lot of pre-existing conditions, and I don’t want to
lose my existing primary doctor or watch the cost of some of my meds skyrocket. Suggestions?
I do kind of side with you on that.
There was mass confusion, mass hysteria, the federal bumps in unemployment compensation and the constantly moving financial government targets....It’s a mess.
And even now I have not filed my own taxes, because the tax laws are going to change less than a month before they are due!?
Extension time to file here we all come again this year!
Just think about all that Covid Stimulus money sent to other countries and other non-American things.
How about all that money we spend on supporting illegal aliens that work under the table not reporting their true income.
I guess none of that matters, American lives don’t matter.
Should have paid taxes immediately on the unemployment benefits and paid attention to the income limits for Obama care. She’s lucky she’s not stuck with the entire bill for insurance which can easily be $1K per month for single person.
I early retired and have to supplement my retirement income with savings to avoid full insurance costs till 65.
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