Avoid the penalty for not having health insurance

If you don't have qualifying health coverage, you must pay a penalty known as the individual shared responsibility payment.

The penalty is 2.5% of your household income or $695 per adult — whichever is higher. The fee rises every year with inflation, and final 2018 amounts will be published when available. But starting with the 2019 calendar year, there's no penalty for not having coverage. Note: This change will take effect with 2019 taxes, which are filed in early 2020.

So if you don’t have health insurance, you have to spend money on a penalty — and pay for all of your health care yourself.

Learn more about the penalty for not having health insurance.