2019 Health Insurance Subsidy Calculator

The 2019 Health Insurance Subsidy Calculator helps you determine your eligibility for the Affordable Care Act (ACA) premium tax credit. This subsidy was designed to make health insurance more affordable for individuals and families with moderate incomes. The calculator uses the 2019 tax year rules to provide an accurate estimate of your potential subsidy.

How the 2019 Health Insurance Subsidy Works

The 2019 health insurance subsidy was part of the Affordable Care Act, which established the Health Insurance Marketplace to help people purchase health insurance. The subsidy is based on your income, household size, and the cost of the health insurance plan you select.

Key Formula

The subsidy is calculated using the following formula:

Subsidy = (Plan Premium - (Income × Subsidy Rate)) × Subsidy Percentage

The subsidy rate and percentage are determined by your income level and household size.

The subsidy is applied to the monthly premium of your health insurance plan. The amount of the subsidy depends on your income level relative to the federal poverty level (FPL). For 2019, the FPL for a single person was $12,140, and for a family of four it was $24,720.

Note: The subsidy is only available through the Health Insurance Marketplace. It is not available if you purchase insurance directly from an insurance company or through an employer.

Income Eligibility

To qualify for a subsidy, your household income must be between 100% and 400% of the federal poverty level. If your income is below 100% of the FPL, you may qualify for Medicaid or other low-income health programs. If your income is above 400% of the FPL, you will not qualify for a subsidy.

Subsidy Rates

The subsidy rates for 2019 were as follows:

Income Level	Subsidy Rate	Subsidy Percentage
100-133% of FPL	0.085	0.9
134-200% of FPL	0.075	0.85
201-250% of FPL	0.065	0.77
251-300% of FPL	0.055	0.69
301-400% of FPL	0.045	0.62

How to Use This Calculator

Using the calculator is simple. Follow these steps:

Enter your household income for the 2019 tax year.
Select your household size (number of people in your household).
Enter the monthly premium of the health insurance plan you are considering.
Click the "Calculate" button to see your estimated subsidy.

The calculator will display your estimated subsidy amount and show how it affects your monthly premium. You can also see a chart that compares your premium with and without the subsidy.

Important: This calculator provides an estimate based on the 2019 rules. Actual subsidy amounts may vary based on your specific circumstances and the exact plan you select.

Worked Example

Let's look at an example to see how the calculator works. Suppose you have a household income of $35,000 for 2019 and you are considering a health insurance plan with a monthly premium of $300.

Step 1: Determine Income Level

First, we need to determine your income level relative to the federal poverty level. For 2019, the federal poverty level for a single person was $12,140. Your household income of $35,000 is 2.88 times the federal poverty level (35,000 ÷ 12,140 ≈ 2.88).

Step 2: Identify Subsidy Rate and Percentage

Based on the subsidy rates table, an income level of 2.88 times the FPL falls into the 251-300% range. Therefore, the subsidy rate is 0.055 and the subsidy percentage is 0.69.

Step 3: Calculate Subsidy

Using the formula:

Subsidy = (Plan Premium - (Income × Subsidy Rate)) × Subsidy Percentage

Subsidy = (300 - (35,000 × 0.055)) × 0.69

Subsidy = (300 - 1,925) × 0.69

Subsidy = (-1,625) × 0.69

Subsidy = -$1,121.50

In this case, the subsidy calculation results in a negative number, which means you would not qualify for a subsidy with this income level and plan premium. This example illustrates that higher income levels may not qualify for a subsidy, even with moderate plan premiums.

Frequently Asked Questions

Who qualifies for the 2019 health insurance subsidy?

Individuals and families with incomes between 100% and 400% of the federal poverty level qualify for the 2019 health insurance subsidy. The subsidy is available through the Health Insurance Marketplace.

How is the subsidy amount calculated?

The subsidy amount is calculated based on your household income, household size, and the cost of the health insurance plan you select. The subsidy rate and percentage are determined by your income level relative to the federal poverty level.

Can I get a subsidy if I have health insurance through my employer?

No, the subsidy is only available through the Health Insurance Marketplace. If you have health insurance through your employer, you will not qualify for a subsidy.

What happens if my income changes during the year?

If your income changes during the year, you may need to update your subsidy amount. The subsidy is based on your income for the 2019 tax year, so changes during the year may affect your eligibility.