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What to do when having to pay premium tax back?

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Level 1

What do you do when you are self-employed and your income is too high to qualify for the premium tax credit, but adding the premium credit pay back to the self-employed health insurance deduction decreases your income to where you are not required to pay the credit back?

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Level 12

First, you are letting the program do the iterative calculation, right?

Second, test out if contributing to a Traditional IRA will get away from the weird 400% zone.

Third, try doing the calculation manually (which is gruesome), and use 'any reasonable method' to calculate the numbers.

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1 Reply 1
Highlighted
Level 12

First, you are letting the program do the iterative calculation, right?

Second, test out if contributing to a Traditional IRA will get away from the weird 400% zone.

Third, try doing the calculation manually (which is gruesome), and use 'any reasonable method' to calculate the numbers.

View solution in original post

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