How to Lower Your Income for Premium Tax Credits

[@andre..9222]

If you do NOT have earned income(retired), will it still be beneficial to purchase the more expensive HSA plan and contribute after tax dollars?

[@andre..9222]

You are awesome! I love watching your videos, very informative.

[@James4cycling]

Am I the only one that has a problem with someone that has a large amount of assets getting a tax credit for the Affordable Care Act? When HUD Housing calculates your monthly rent, they look at your income and your assets.

[@petertu7359]

Contributions to 401K or IRA reduce taxable income - not MAGI. MAGI is an above the line calculation.

[@alphamale2363]

?

[@marksin515]

That is not accurate. 401k contributions come out in your W-2, so never are part of AGI. IRA contributions reduce AGI, as do HSA contributions, and both are fed in from Schedule 1, Form 1040, line 26, to line 10 of the form 1040. That means they ARE part of the AGI (form 1040, line 11), which is the starting point of calculating this version of MAGI. See instructions for line 2a of form 8962 to see how that works.