Which of the following are ACA “Individual Mandate” penalties?
A. Flat amount
B. A percentage of income
C. Both A & B
Both A & B
The Individual Mandate penalty for not having insurance in 2016 is $695 per adult (and $347.50 per child) or 2.5% of household income, whichever is greater. For 2017 and beyond, the penalty will be based on the 2016 flat amounts plus adjustments for inflation, while the 2.5% rate for household income will remain the same with a maximum of $2,085.