You may see additional financial assistance, including Advance Premium Tax Credits (APTC) applied to your account as a result of the American Rescue Plan (ARP). Any additional savings you might qualify for will be applied to your account starting June 7th. The American Rescue Plan savings are retroactive to January 1st. Pennie has taken any additional savings you qualify for between January and May, and is applying them to your premiums from June 1st to December 31st. Any additional tax credits Pennie is not able to apply to your account will be paid back to you in the form of a refund when you file you taxes.
To see how much additional Advanced Premium Tax Credits are being applied to your account you will need to:
- Take your updated APTC and subtract it from your Pre-American Rescue Plan APTC.
- Multiply by future coverage months (7)
- Divide by total covered months (usually 12)
- Rebalanced amount = Updated APTC – PreARP – Result of #3)
- 743 – 400 = 343
- 343 x 7 = 2401
- 2401 / 12 = 200
Rebalanced amount = 743 – 400 – 200 = $143