MediCal income limits and types

[CABarb]

Hi,

When ACA (Obamacare) sign up began in California, I went to the website and applied to see what I qualified for. But after numerous attemps to complete the application, I quit. I am unemployed and it will be almost 2 years in October since I lost my job. Although I've been to interviews and sent in countless resumes, I've yet to land a job - mostly because I'm over qualified. And I think that my age is a factor in my not getting hired. I was hoping to be employed by now and have an employer sponsored health plan

The County sent me an application for MediCal after I told the guy that I'm not working and am living off my savings. I've earned about $5,000 in investments so far. But I just received $13K from my late brother's estate which I'm told is a gift(and taxable). I wanted to know if this totally disqualifies me from Obamacare. Will I end up paying more in premiums than the income I make from my investments?

What options do I have as far as getting affordable healthcare. Is there anyone on this board that has healthcare through CA's MediCal plan. If so, what is your experience? TIA

 

[Walt34]

But I just received $13K from my late brother's estate which I'm told is a gift(and taxable).

It should not be taxable, at least not at the federal level. We've received several inheritances that size and one a bit larger but all well under the $5 million where the federal tax kicks in. The taxes have already been paid by your brother or his estate. I don't know if California taxes an inheritance.

I can't answer about the insurance.

 

[MichaelB]

The executor or trustee of your late brother's estate should confirm if it is taxable distribution or not.

Regarding health care insurance, this charts tells you what income sources are taxable http://laborcenter.berkeley.edu/pdf/2013/MAGI_summary13.pdf
If your MAGI income is less than 200% of the federal poverty level you will be eligible for Medicare in California (MediCal). The FPL is here http://aspe.hhs.gov/poverty/14poverty.cfm and if your MAGI income is slightly over 200% you will be eligible for an subsidized policy from Covered California.

What health care coverage do you have now?

 

[jim584672]

Looks like gifts and inheritances will not be counted at all for MAGI.

http://www.healthlaw.org/component/jsfsubmit/showAttachment?tmpl=raw&id=00Pd0000009aNwaEAE
Page 27
NOTE: Gifts and Inheritances
Other common examples of “lump sums” are one-time gifts or inheritances. Gifts and
inheritances are NOT included in MAGI (because gifts and inheritances are taxed to
the donor or the estate, not to the receiver). Therefore, under MAGI rules for both
Medicaid and APTCs, gifts and inheritances will not be counted at all.