ARPARUB
ARPA Chain / Russian rouble
crypto

Health insurance for a family costs about $27k/year on average in the US. Employees get paid less so their employers can foot about 80% of the healthcare insurance cost. When you retire early your choice is to either pay the full health insurance premium which runs $25k to $30k per year for a decent policy or manage their income to hold it above $138% and below 400% of the federal poverty level in order to receive an advance premium tax credit to lower the premium. If your MAGI (included munis, capital gains and qualified dividends that might otherwise be taxed at 0%) is below 400% of FPL, then the net premium you would pay for the 2nd lowest cost Silver plan would be no higher than 10% of your MAGI. (For 2026, 9.96% of MAGI for those between 300% and 400% of FPL). If your MAGI is over 400% of FPL you get zero subsidy which is also known as the “subsidy cliff”.
Enhanced premium tax credits were added in 2021 as part of the ARPA and extended by the IRA through 2025. The US federal government is currently shutdown in part because Democrats want to extend the enhanced APTC which also capped the subsidized premium for the reference Silver plan at 8.4% of MAGI and extended that beyond 400% of FPL. Republicans want the enhanced subsidies to expire at the end of 2025. Both sides lie (or tell half truths) when they speak about the issue.

Health insurance for a family costs about $27k/year on average in the US. Employees get paid less so their employers can foot about 80% of the healthcare insurance cost. When you retire early your choice is to either pay the full health insurance premium which runs $25k to $30k per year for a decent policy or manage their income to hold it above $138% and below 400% of the federal poverty level in order to receive an advance premium tax credit to lower the premium. If your MAGI (included munis, capital gains and qualified dividends that might otherwise be taxed at 0%) is below 400% of FPL, then the net premium you would pay for the 2nd lowest cost Silver plan would be no higher than 10% of your MAGI. (For 2026, 9.96% of MAGI for those between 300% and 400% of FPL). If your MAGI is over 400% of FPL you get zero subsidy which is also known as the “subsidy cliff”.
Enhanced premium tax credits were added in 2021 as part of the ARPA and extended by the IRA through 2025. The US federal government is currently shutdown in part because Democrats want to extend the enhanced APTC which also capped the subsidized premium for the reference Silver plan at 8.4% of MAGI and extended that beyond 400% of FPL. Republicans want the enhanced subsidies to expire at the end of 2025. Both sides lie (or tell half truths) when they speak about the issue.