Since you are discussing the differences between NJ and MD, I am already sure you know this:
"As of 2021, there are penalties for being uninsured
in Mass., New Jersey, California, Rhode Island,
and the District of Columbia"
For the $2k you've identified as your NJ earnings, my question to you is did you have NJ IT withheld? The reason I ask is that you begin by stating that you were teleworking, which means that your place of residence is where you worked from if you did not have NJ IT w/h. In addition, I am hoping that given the age of your dependents (over 18 as you stated) that they still, for all other reasons being, qualify as your dependents.
Having said all of that, the NJ penalty imposed is 2.5% (plus the below) of your modified adjusted income, SO, if your total income is only that $2k that you mention, then your penalty would be zero anyway. Here is the full calculation that will also answer your question:
New Jersey’s mandate includes a penalty amount as the greater of:
- 2.5% of modified adjusted gross income, or
- $695 per adult (adjusted for inflation) and $347.50 per child, capped at three times the threshold regardless of family size or $2,085 (adjusted for inflation).
