The "cafe125" is not insurance so to speak ... it references the IRS code 125 which allows you to pay for your health insurance and flex spending account pre tax via your payroll deductions.
If you have health insurance thru work that you pay for with pre tax $$ then it most likely is a qualified plan for the ACA requirements. Ask your employer if the insurance at work is a qualified plan if you are not sure.
So you need to find out EXACTLY what the "cafe 125" plan is. Is it medical insurance that you receive a medical card and have co-pays and deductibles? Or is it a flex-account that contribute a certain amount of money into an account that can be used during that year? Or something else?
Nope. It is only an account that $100/mo goes into an account that I can use to reimburse my health care expenses. I can not use it to pay an insurance premium. My employer does not offer health insurance (he only has 3 full time employees). Thank you for your help!
That is not qualifying health insurance, so you will owe a penalty unless you qualify for an exemption.
<a rel="nofollow" target="_blank" href="https://www.healthcare.gov/health-coverage-exemptions/forms-how-to-apply/">https://www.healthcare.gov/health-coverage-exemptions/forms-how-to-apply/</a>