06 Jun Should I Include my Housing Allowance for the Marketplace?
The Affordable Care Act (also called ACA, federal health care reform or sometimes “Obamacare”) expands health coverage to millions of previously uninsured Americans and makes significant changes to health insurance practices nationwide.
The Health Insurance Marketplace is an online resource for comparing different plans and benefits in order to choose a health insurance plan that’s best for you. This resource may appeal most to people who currently don’t have church-sponsored insurance, including those who work part-time, work for a small business, are self-employed or currently not employed.
Plans offered through the Marketplace are administered by established insurance carriers. The government is not administering health insurance—it’s just providing a new way to make insurance accessible to more Americans.
The Health Insurance Marketplace may not be right for everyone—it is just one of several options for health coverage. The options are complicated, and vary by who you are and where you work.
Clergy housing allowance is not included in modified adjusted gross income (MAGI). MAGI also excludes your pre-tax contributions (salary deferrals) to the retirement account [401(k) or 403(b) type plan], and pre-tax contributions to flexible spending accounts. MAGI also excludes certain “above-the-line” income deductions, such as IRA contributions and self-employment (SECA) taxes.
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