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If me and my spouse file jointly and she made very little, will my income affect her CSR subsidy for her ACA insurance?

In other words will they pay less in her insurance if she files with me? Bc I make more.
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1 Best answer

Accepted Solutions
MarilynG
Expert Alumni

If me and my spouse file jointly and she made very little, will my income affect her CSR subsidy for her ACA insurance?

It might.  When you apply for health insurance thru the Marketplace, you enter all household members and all household income (even if other family members are not applying for insurance).  The subsidy amount is based on this income. 

If your Spouse's subsidy was based on your estimated joint income, it should not change, or very little, if your actual income was close to the income estimated on the application.  If you were married all year and your Spouse applied for coverage using only her income, the subsidy would definitely change if you now include total income on her application. 

 If you married during the year and your Spouse's subsidy was based on her income only and she did not report the change, it could affect her subsidy and/or eligibility going forward, and a difference in Advance Premium Tax Credit would be calculated on your joint tax return.  She should have received a 1095-A that is entered into TurboTax to report her premium and subsidy amounts. 

There are considerations for those that married during the tax year, however.  TurboTax will calculate any excess APTC.  You do have the option to file separately. 

Here's more info on Alternative Calculation for Year of Marriage from the IRS (see Table 4):

https://www.irs.gov/pub/irs-pdf/i8962.pdf

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2 Replies

If me and my spouse file jointly and she made very little, will my income affect her CSR subsidy for her ACA insurance?

If she files as Married Filing Separately, that will disqualify the Premium Tax Credit ("subsidy").
MarilynG
Expert Alumni

If me and my spouse file jointly and she made very little, will my income affect her CSR subsidy for her ACA insurance?

It might.  When you apply for health insurance thru the Marketplace, you enter all household members and all household income (even if other family members are not applying for insurance).  The subsidy amount is based on this income. 

If your Spouse's subsidy was based on your estimated joint income, it should not change, or very little, if your actual income was close to the income estimated on the application.  If you were married all year and your Spouse applied for coverage using only her income, the subsidy would definitely change if you now include total income on her application. 

 If you married during the year and your Spouse's subsidy was based on her income only and she did not report the change, it could affect her subsidy and/or eligibility going forward, and a difference in Advance Premium Tax Credit would be calculated on your joint tax return.  She should have received a 1095-A that is entered into TurboTax to report her premium and subsidy amounts. 

There are considerations for those that married during the tax year, however.  TurboTax will calculate any excess APTC.  You do have the option to file separately. 

Here's more info on Alternative Calculation for Year of Marriage from the IRS (see Table 4):

https://www.irs.gov/pub/irs-pdf/i8962.pdf

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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