Form 1095-C and Marketplace Subsidies Per Month (Accidently worked Full-time)
I have a part time job that I started in Jan 1st 2023. I also work freelance and it is a sizeable part of my income. The W2 part time was supposed to be just 29 hours/week, they started to offer 40 hours/week every other week or so and I would take them up on this offer.
I was offered health insurance coverage starting July 1st due to accidently going full-time and them being forced to offer it to me. I DID NOT TAKE THEIR OFFER (it is “affordable” and minimum value standard by the IRS). I realize by not taking it I will still be penalized for my ‘mistake’ (my employer should have fucking warned me somehow somewhere, this may end up costing me everything, if this ends up like I think it might, and threatening my very life, would I have a chance at a lawsuit for them not informing me of anything at all related to this mess? I am not a moron I was just ignorant of this part time job moving to full time without them telling me anything at all, I did not realize what I was doing and now I am going to be homeless without my life saving medicine?)
This is a major problem as I rely heavily on marketplace subsidies for my silver plan for my health (bad issues).
Here is some info from the IRS website:
“Form 1095-C is filed and furnished to any employee of an Applicable Large Employers (ALE) member who is a full-time employee for one or more months of the calendar.” per the IRS website.
This is also a webpage I am referencing for help https://www.cigna.com/employers/insights/informed-on-reform/employer-mandate
My question is, will I be forced to pay the full premium of each individual month that I worked full time hours? My employer designates these large groupings of months with ‘look back periods’ to determine when someone becomes full time. They also will not stop offering me a health plan until March 1st 2024.
Can I simply revert my hours to 29 hours/week, and not face the full price of subsidies for future months? As long as I am part time again? Even though they are still offering me these plans? As it stands, the plan they offer is garbage, but it meets the minimum value standard, it is affordable if I continue to make more money (which I need to! I need to afford my rent and food!). However, if I get off of my subsidized plan, this new plan will bankrupt me and potentially kill me lol.
Are the subsidies taken away ONLY in the months I worked full time, or are they taken away for the ENTIRE rest of the YEAR after I am offered a shitty healthcare plan from my employer?
I can afford to pay 2 months of unsubsidized coverage for my ‘mistake’ of working full time and being offered health insurance from July, August and still to September (and all the way to March 2024…). If I ONLY work PART TIME from here on out (all September so far I have only worked enough to reach part time by the end of September), can I only pay the unsubsidized months of July and August as long as i continue to work part time?
Does the IRS and the healthcare.gov charge me just for the months or for the entire year?
Please help! This is all so confusing! I am just a diseased peon in the messed up system.
To reiterate, I was part time and did not have a employer healthplan until July 1st, can I, this year, this month of September and onward start working only part time hours 29/hrs/week and only have to pay the full price marketplace premiums for the months of July and August come tax time? Will this save me from being charged the full unsubsidized marketplace price? As long as I work part time starting this month for my employer?
I work freelance as well and can increase money there to help keep a roof over my head and food in my belly. But i RELY on my subsidized plan to keep living (chronic expensive diseases).
THANK YOU SO MUCH FOR READING THIS, I appreciate your help more than you will ever understand!
