Affordable coverage

A job-based health plan covering only the employee that costs 9.56% or less of the employee’s household income. If a job-based plan is “affordable,” and meets the “minimum value” standard, you’re not eligible for a premium tax credit if you buy a Marketplace insurance plan instead: The plan used to define affordability is the lowest priced “self-only” plan the employer offers — meaning a plan covering only the employee, not dependents. This is true even if you’re enrolled in a plan that costs more or covers dependents. The employee’s total household income is used. Total household income includes income from everybody in the household who’s required to file a tax return.