To marry or not
Hello my fiance and I are considering to tie the knot this year. I want to know how to determine if it is a good idea financially. I have to claim one child in college who used me for financial aide and I am paying for her health care through the market place. I claim head of household in previous years.======> the child can remain on her partents’ health insurance policy until she is 26The health care reform law allows you to keep your child, st3p child, on your health plan until she turns 26 years old regardless of her student status, marital status, whether she lives with her parents, or is claimed as a dependent on her parents’ tax return, as long as the dependent is not eligible to enroll in other employer provided coverage. If you want to add the dependent to your health plan who is younger than 26 years of age, you have a one-time special enrollment right under the law. UNLESS you are currently enrolled, but wish to do so to take advantage of the dependent coverage right, you and your adult child may both enroll during the special enrollment period if you meet eligibility requirements.
subsidies can be available for people buying health insurance through the marketplace who earn between 100% and 400% of the federal poverty level to help them pay for their health insurance premiums. Curently, 400 % of the FPL is an annual income of $45,984 for a single adult and $94,224 for a family of 4. In order to have health coverage for the 2016 calendar year, you must enroll by January 31Even if you signed-up during the last Open Enrollment Period, you must renew your plan or get a new one.. If you miss this current Open Enrollment Period, you will not be able to obtain a Government Health Plan until 2017. Many middle- to low-income people buying coverage through the exchanges may also get government tax credits to help . You can only get the subsidy if you buy your coverage through the exchange, and you can’t get a subsidy if you have an offer of insurance from your employer that meets certain standards. The Affordable Care Act requires health insurance companies to remove lifetime dollar limits on benefits from all plans.
Next year she will be using her father so she can go to school where he lives. How do I know whether the combined woud be better for us both and I claim married file jointly or wait till next year so I can stay as head of household?==========>>>filing a joint return saves you tax over filing as head of household with the same income and deductions You'd pay less tax if you get married before the end of the year , dec 31 2015,so you can file as married filing jointly. The tax rate will be a little lower for MFJ than HOH, and you'll get an extra $2850;12600-9250 standard deduction. As you can see, MFJ means you are married on the last day of the tax year of 2015. Head of household status means you are unmarried /considered unmarried, but you maintain a home for a qualifying dependent who is not your spouse. Your qualifying dependent can be absent from your home for qualifying reasons such as attending school / temporary visits away from home. The standard deduction for a couple filing married filing jointly is higher than someone filing as head of household;HOH have certain immunities,. Because of its moral implications, a HOH filing status may receive certain exemptions when filing for bankruptcy due to general debts. Some states even offer property tax shields for properties owned by HOH and give lower tax rates compared to married and single individuals. HoweverHOH can only declare incomes taxable for federal income tax purposes. Welfare and social security benefits do not figure in the said filing. In comparison, married couples benefit hugely when filing jointly if one spouse is earning significantly more than the other spouse is. The downside to this is that if either of the spouses posts tax discrepancies, the other is equally liable for incurred penalties unless the other spouse makes a written claim of having no knowledge about any tax fraud or irregularity made by the spouse.