If you use financial help to lower the cost of health coverage, it is important to let Access Health CT know if your household income changes. You must keep your information updated to avoid a surprise bill when you file your federal income tax return.
How does financial help work?
When you fill out your Access Health CT application, you will be asked to provide information on your household and your household’s annual income. This will determine if you qualify for financial assistance from the federal government to lower your monthly health insurance bill.
You can choose to receive this help in one of two ways:
- Annually, as a one-time tax credit from the IRS when you file your federal income tax return. This credit is called a Premium Tax Credit (PTC).
- Monthly, when the IRS sends a portion of your PTC to your insurance company to lower your premium bill. These monthly disbursements are known as Advance Premium Tax Credits (APTCs).
Why does the IRS say I owe money?
If you choose to use your tax credit to help pay your bill each month, you will have to make sure the right amount was paid at the end of the year. You’ll do this as part of your federal income tax return. If your household income is different from when you enrolled, your insurance company may have been paid too much.
If that happens, you’ll have to pay back the difference to the IRS. Federal law requires you to pay back all of the money you do not qualify for based on your household income.
Who is eligible for financial help?
The amount of financial help you may qualify for is based on how many people are in your tax household and your household income. Generally, the less you make, the more help you may qualify for. If your household income is more than 400% of the Federal Poverty Level (FPL), you do not qualify for any financial assistance from the federal government.
You could have to pay back all the financial assistance you get during a year if your household income goes even one penny above the 400% FPL limit. Some people could end up having to pay back tens of thousands of dollars if this happens.
Is there anything I can do?
Keeping track of your income during the year is a good way to make sure you’re getting the right amount of financial help. If you update your information with Access Health CT, we can adjust how much is being sent to your insurance company each month.
Here are a few other things to think about when you enroll.
- You can choose to get your financial help as one Premium Tax Credit when you file your federal income tax return. You will have to pay your full premium bill each month, but you won’t have to worry about having to pay extra at the end of the year.
- You can choose to have a lesser amount sent to your insurance company each month. When you fill out your application, you can choose how much of the available Advance Premium Tax Credits (APTCs) you want to use. You can use the slider in the application to adjust how much is sent to your insurance company each month. Selecting a lesser amount might lower your risk of having to pay anything back to the IRS.
- Work with a Certified Broker. These free enrollment experts can help you pick health and dental coverage that is best for you and your family. They can also talk about your financial help options.
Have questions?
Access Health CT is here to help. All help is free.
- Visit our get help page for a full list of resources. There, you can chat with an Enrollment Specialist in real time – just click the “live chat” icon. You can also find a Certified Broker who can help you understand your coverage options and enroll in the coverage that is best for you and your family.
- Learn more about Advance Premium Tax Credits (APTCs) and financial help available through Access Health CT.
- Call us at 1-855-805-4325. We can help you fill out your application or report a change, answer questions, or assist with your account. If you are deaf or hearing impaired, you may use the TTY at 1-855-789-2428 or call 1-855-805-4325 with a relay operator. Visit our get help page for hours and holidays.