For the cobra option of (6 months + 9k cash), does anyone know how much tax we will have to pay on the 9k? Trying to decide whether to go with the 6mo+9k or the 12mo option. Thanks.
6 replies (most recent on top)
If you are getting health insurance on your own, do you need to get it through the Affordable Care Act (Obama Care)?
Unless you actually need to see a doctor, you can get HMO plans for ~$250/month. $9000 can easily cover that
If you think you'll land another job within 6 months, then take the cash. Otherwise you'll have 6 months of double insurance.
In end though, after you file your taxes, it will be taxed like any other income. It just gets taxed higher up front.
That said... I bet the extra months of insurance coverage get taxed somehow to... The government always gets their share... I have no idea how though...
Figure 25% FEDERAL TAX
7.65% FICA
0-10% state tax depends on state
Total tax 32.65% plus state
When do you get this email to choose after choosing vsp?