On your Pennie application, you'll report your net income from your self-employment.
- If your self-employment income is higher than your business expenses, you report this net income
- If your business expenses are higher than your income, you report a net loss
Your net income from self-employment is what you report on Schedule C of your federal tax return. Learn about self-employment income from the IRS (PDF).
NOTE: Do your best to estimate your self-employment income and expenses for the year accurately, based on your past experience, realistic expectations, industry standards, and other information. If you wind up making more than you reported on your Pennie application, you could have to pay back some or all of the premium tax credits you took during the year. If you wind up making less, you could qualify for more savings than you claimed during the year.
If you're asked to verify self-employment income to resolve an inconsistency
If you're self-employed, you may be asked to upload a self-employment ledger to verify your income. There isn't a standard self-employment ledger format. It just needs to provide an accurate, detailed record of your self-employment income and expenses.
Other income to report
- When you apply for coverage on Pennie, you must report income from everyone in your household, including those who don't need coverage
- You'll follow general Pennie rules for reporting all income
- When you fill out your application and select self-employment, you'll describe the kind of work you do. There's no special format – just describe the work. For more information, visit Instructions for Schedule C from the IRS or IRS Publication 334 (PDF).