What is the ACA Minimum Income Requirement?

The Affordable Care Act (ACA) has been a significant topic of conversation lately, particularly as it relates to early retirement planning. The ACA allows individuals and families to purchase health insurance through the Health Insurance Marketplace, and it provides subsidies to help low- and moderate-income people afford coverage. To qualify for these subsidies, you must meet certain income requirements.

The minimum income requirement for the ACA is $12,880 for a single person and $26,500 for a family of four in 2023. This income requirement is based on the Federal Poverty Level (FPL), which is a measure of poverty in the United States.

How to Qualify for ACA Subsidies if You Don’t Meet the Minimum Income Requirement

If you don’t meet the minimum income requirement for the ACA, you may still be eligible for subsidies if you are enrolled in Medicaid or the Children’s Health Insurance Program (CHIP). Medicaid is a health insurance program for low-income individuals and families, while CHIP is a health insurance program for children from families with low incomes.

In addition, you may be eligible for a subsidy if you are considered a “special enrollment period.” Special enrollment periods are available for people who have recently lost their health insurance, experienced a change in income, or had a change in family size.

Ways to Increase Your Income to Qualify for ACA Subsidies

If you are not eligible for Medicaid or CHIP and you don’t meet the minimum income requirement for the ACA, there are a few things you can do to increase your income and qualify for subsidies. One option is to get a part-time job. Another option is to start a side hustle or freelance work. You can also consider selling some of your assets, such as stocks or bonds.

Conclusion

The ACA minimum income requirement is an important factor to consider when planning for early retirement. If you don’t meet the minimum income requirement, you may still be eligible for subsidies if you are enrolled in Medicaid or CHIP. You may also be eligible for a subsidy if you are considered a “special enrollment period.” If you are not eligible for Medicaid or CHIP and you don’t meet the minimum income requirement, there are a few things you can do to increase your income and qualify for subsidies.