The ACA Individual Mandate

Penalty for non-compliance

The Affordable Care Act or ACA requires that everyone have qualified coverage, either through their employer, through an individual policy or they many pay a tax penalty, an Individual Mandate.

2014.  Individual will pay a penalty for each family member which will be $95 for adults ($47.50 for a child) or 1% of household income, whichever is greater.

2015.  The penalty rises to $325 per adult and $162.50 per child (up to $975 for a family) or 2% of family income, whichever is greater.

In 2016 it jumps to the greater of $695 for adults ($347.50 for a child) or 2.5% of income.

Current  Individual Mandate

The greater of 2.5% of income or three times the per-adult penalty ($695 each) ($2,085).

 

Information from www.healthcare.gov 

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