form 8962 wrong AGI?

[MFonseca]

 

My  form 8962 is not calculating the correct AGI but the full income earned How would I fix  or adjust this ?

MAGI on form 1040 is$ 19963, so why on form 8962 is the total my husband received from social security for his disability for years 2022, 2023, 2024 $ 123809.30  we are doing the lumpsum and we had to pay back $57867.30 to the insurance . 2022 $41787.30 and for 2023 $16080, this is affecting the total real income received for 2024 and the marketplace is based on the total income received for 2024

[KeshaH]

Line 11 on Form 1040 is your adjusted gross income. Line 2a on Form 8962 is your modified adjusted gross income. These two numbers may not be the same, as in your case.

For the premium tax credit, the modified adjusted gross income is calculated by adding back nontaxable income such as tax exempt interest, foreign earned income, and nontaxable social security benefits to your adjusted gross income. Since you received the lump sum social security benefits in 2024, this income is added to the household income. 

[mprincic]

On Healthcare.gov website, it states to use income from 1040 Line 11 to estimate income for the year - why is form 8962 different - 

[RogerD1]

As KeshaH mentioned, certain income incomes that are non-taxable get added back to your income.  Go to Healthcare.gov - it has a section on estimating your expected income.  They start with the adjusted gross income (AGI) on line 11 of your 1040 and add back certain items that were not taxable to get an estimate of your 2026 income.  They also recommend altering this figure for any expected changes to your 2026 income.  The ACA health care marketplace will use this information to determine how much of a premium tax credit that you will qualify for to offset the cost of the insurance payments.  Since you can only estimate your future income, you may find that if your income was higher than the estimate you gave to the Healthcare Marketplace, you may owe back some of the Premium Tax Credit that you received when you file your 2026 taxes next year.

[YYOO]

But what if some of the nontaxable income (like 1040 box 5a) is not included as the MAGI on Form 8962 box 2b? The market place income estimate is then different from the MAGI on 8962. 

[MarilynG1]

The calculation for 8962 is generally AGI + foreign income exclusion + tax-exempt interest + non-taxable Social Security. If you have an amount on 5a and 5b of your Form 1040, Form 8962 may be adding the difference between these amounts to your MAGI on Form 8962.

The best way to check if you're using TurboTax Desktop is to go to FORMS mode, Open Form 8962, and right-click on Line 2. Choose 'data source' and a window pops up telling you the documents used to calculate the number.

@YYOO