Being self-employed comes with so many different benefits. You can set your own hours, determine what clients you take on or be choosy about the kind of work you want to do. You are hopefully doing work that you are passionate about. Being self-employed is a great option for parents who need job flexibility and want complete control over their schedules.
Working for yourself often means you don’t have the benefits of a corporate job. There is no paid time off, 401(k) matching, or employer-sponsored health insurance.
Getting health insurance when you are self-employed in Texas doesn’t have to be difficult or expensive! You just need the right partner.
How Do We Define Self-Employed?
If you are self-employed, you may be a business owner, a consultant, or complete freelance work. For tax purposes, you are an independent contractor, a sole proprietor, or in a partnership.
What differentiates you as a self-employed worker is the fact that you don’t receive benefits or workers’ compensation. Your clients do not withhold taxes from your payment for work that is performed. It is expected that over 50% of the workforce will be freelancers by 2027. You are definitely not alone if you’re self-employed and seeking health insurance options for yourself and/or your family.
Everyone should have health insurance. Without it, one illness or accident could be financially disastrous. It’s just not worth the risk! Make sure you’re covered by looking at these options.
Health Insurance Options for the Self-Employed
Federal or State Health Insurance
Most of us have heard of the federal government’s health insurance marketplace (HealthCare.gov). This is also called the exchange, and it’s where you can shop for all kinds of private insurance plans. Most states use this exchange, but there are 17 states that have their own marketplace website.
There are also federal programs like Medicaid you may qualify for. Instead of trying to navigate government programs alone (which can be confusing), work with an independent firm like Advanced Benefit Solutions to find options.
Spouse Employer Plan
If your spouse works a traditional 9-5 job, they may be eligible for insurance from their employer. Often, they can purchase insurance for spouses or dependents, but these options can be expensive. If this is your situation, you might qualify for a subsidy on your monthly premium thanks to the Family Glitch Law!
How Much Does it Cost?
It’s hard to give a ballpark on cost for individual insurance because it depends on so many different factors. Your age, where you live, how many dependents you have, how much coverage you desire, and even your income and family size can all affect the total cost for your monthly premium.
Understanding these factors and the laws that affect your premium costs are too important to get wrong! When you work with an independent insurance agent, we can help you compare rates, coverage, and find plans that will fit the needs of your family.
Tips for Finding Health Insurance as a Self-Employed Worker
Most self-employed people are extremely motivated with a “I’ve got this!” attitude. You don’t have a human resources department to go to with your questions.
Here are the best tips we have for finding affordable health insurance if you’re self-employed:
1. Know Your Tax Deductions!
Like we mentioned, there are so many different rules and laws that can impact your costs. Family Glitch is just one, but there are many other self-employed tax deductions you can use. If you don’t have a tax expert, you might consider hiring one! The self-employed tax deductions are not applicable to small businesses – a self-employed health insurance deduction is only for individuals and their dependents.
2. Consider a High-Deductible Plan
The best way to lower the monthly premium is to get a health plan with a higher deductible. This is where assessing your healthcare needs as best you can is important. If you don’t anticipate any major health events, a high-deductible health plan can lower monthly expenses and you can use an HSA to help pay for any qualifying medical expenses.
3. Take Advantage of Expert Advice
Getting an affordable plan (and understanding how to utilize it!) can be so confusing. You can get expert advice from experienced insurance agents (and fantastic customer service) without paying any additional fees. We are here to help people just like you.
The best part is that you can come to us with any questions about claims or coverage and we’ll be glad to help you. It’s even better than a human resources department!
Don’t wait to find health insurance if you’re self-employed. Save the time and get in touch with our team at health@abenefitsolutions.com.
