Self Employed Moms and Health Insurance
Health insurance is necessary so that we can afford decent healthcare which is quite expensive. The good thing for people who are employed is that there are employers that provide health insurance for their employees. But there are many who are not employed, and most self-employed individuals do not have health insurance at all. But this should not stop you from getting health insurance for yourself if there is no employer to provide you one.
There are many options for insurance for those who are self employed. You can purchase insurance from private companies selling government-vetted policies offering different coverage amounts. This is made possible by the Affordable Care Act requiring states to run their own insurance marketplace or use the federal one.
But, if you don’t want to take advantage of government-run exchanges, there are still other reasonable health insurance for self-employed people.
In healthcare sharing ministries, you contribute to health insurance as a group. So if you pay monthly premiums, this covers your healthcare and the healthcare of your group members. You can cut costs with this. But to ensure that you are getting the right coverage for you and your family you need to make a careful research on this.
Another option you can take is to open a Health Savings Account. You health funds will here be under your control. This health plan is a high-deductible plan. Money is put into this account which you can withdraw for your medical expenses that meet qualifications with no tax or penalty on it. And the good thing about this is that it is your own money. So if you need money for non-medical expense, you can still take it out and use it, but with possible taxes and penalties.
You can get the best insurance deals by comparing insurance prices. Decreasing your cost on expensive health insurance is still possible.
If you want to save on insurance then get one with less coverage. Metal rating system is used by the ACA where platinum covers 90% of your out of pocket costs, gold is 80%, silver 70%, and bronze 60%.
If you incomes is less than 400% of the poverty level, then you can buy insurance through the state marketplace which qualifies your for savings.
There are also tax breaks from health insurance for being self-employed, if your income is less than enough to cover the premium. In your tax form, fill up Schedule C with your self-employed income, then you should make schedule C zero by deducting your premiums from it. You can then put the leftover premium costs as an itemized deduction on schedule A. Although this is not guaranteed to work but it can help to save money on health insurance if you are self-employed.