If you can afford health insurance but choose not to buy it, you must have a health coverage exemption or pay a fee. (The fee is sometimes called the "penalty," "fine," "individual responsibility payment," or "individual mandate.")
Select the button below. We’ll ask you a few questions and show you all health coverage exemptions that may apply to you.
If you don’t have coverage in 2015, you’ll pay the higher of these two amounts:
If you didn’t have coverage in 2014, you’ll pay the higher of these two amounts:
1% of your yearly household income. (Only the amount of income above the tax filing threshold, about $10,000 for an individual, is used to calculate the penalty.) The maximum penalty is the national average premium for a bronze plan.
$95 per person for the year ($47.50 per child under 18). The maximum penalty per family using this method is $285.
Did you have to pay the fee with your 2014 taxes? You still may be able to get 2015 coverage if you:
Aren’t currently enrolled in coverage through the Health Insurance Marketplace for 2015,
Paid the fee with your 2014 federal income tax return, for not having health coverage in 2014, and
Were confused or didn’t know about open enrollment dates for 2015 coverage, and need another opportunity to enroll in coverage for the remainder of 2015.
This special enrollment period will start on March 15 and end April 30, 2015. Look for more details soon!
The penalty increases every year. In 2016 it’s 2.5% of income or $695 per person. After that it's adjusted for inflation.
You’ll pay the fee on the federal income tax return you file for the year you don’t have coverage. Most people will file their 2014 returns in early 2015 and their 2015 returns in early 2016.
Learn more about the individual shared responsibility payment from the Internal Revenue Service.
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If you’re uninsured for just part of the year, 1/12 of the yearly penalty applies to each month you’re uninsured.
If you’re uninsured for less than 3 months of the year, you don’t have to make a payment.
You’ll pay the penalty when you file the federal income tax return for the year for which you’re seeking coverage. Most people fill out their 2014 tax returns early in 2015 and their 2015 tax returns early in 2016.
The IRS will hold back the amount of the fee from any future tax refunds. There are no liens, levies, or criminal penalties for failing to pay the fee.
Yes. The rules about paying penalties are the same whether the Marketplace is run by your state or the federal government.