I have been assisting a number of clients with the expected tax consequences of the Affordable Care Act also known as Obamacare and I am finding that for the most part people are either misinformed or uninformed. There is also a great deal of fear and trepidation regarding the change to Obamacare. Humans are predisposed to the status quo. No matter how bad the situation, the known tends to be perceived as a better alternative than the unknown.
I have talked to clients who are battling ongoing chronic illnesses and who literally have no health insurance whatsoever, none, zero, zip, nada. But when I tell them about the availability of coverage under the Affordable Care Act as well as the possibility of receiving subsidies to reduce the out of pocket cost to even reasonably high income earners, not to mention the tax penalty provisions for those who don’t have coverage in place by January 2014, these clients tell me they don’t know about this Obamacare thing. They say they have heard bad things about this Obamacare and they don’t want to get caught up in something that might bring ridicule and embarrassment upon them.
Look, I get it. You are a family four and you are earning darn near $100,000 a year. You don’t want to put on your tuxedo and show up at the cocktail party to brag about how you qualified for a small healthcare premium subsidy under Obamacare. But if you are sick and you have no coverage whatsoever, I’m not seeing the downside to this deal. And anyone who tries to discourage you from signing up for coverage that just might save your life has a special seat in Hades with their name on it just waiting for them.
Yes the Affordable Care Act website is currently FUBAR and it may take some time to get it functioning correctly. So what? I defy you to name one website anywhere that functions correctly all the time. This is a no lose situation for most of us and many of us have already won by being able to keep our kids on our healthcare plan up to age 26 or eliminating pre-existing conditions rules. So as soon as the website is available get online and signup. If the website isn’t working get on the phone and call to sign up or submit a paper application but get it done.
If Tax On Wheels, LLC can be of assistance to you in helping you understand the law and the tax consequences that flow from it please feel free to give us a call at 803 732-4288. Click here to view a special page we have set up to direct you to the resources that can help you understand how Healthcare Reform works.