A steady stream of clients filed into RightPlan on Friday with a mission to accomplish: sign up for a health plan by Sunday or pay a penalty. A big one.
That’s the provision under the Affordable Care Act that brought Caley Carr, a professional tap dancer and teacher, to the Valley Village business.
“The tax penalty is a little bit like the fire that got me moving,” said Carr, 29, as he sat with an agent to discuss his plan options. “I don’t want to pay a penalty again.”
People who receive health coverage from an employer, Medicare or another government program don’t have to worry, but those such as Carr, who are self-employed and who have gone without health insurance, have until Sunday. Those who qualified and went without health insurance in 2015 may have to pay a penalty at tax time, which can go up to $325 per adult and $162.50 per child or 2 percent of the total household taxable income, whichever is higher. That rate will rise to $695 per single filer and 2.5 percent come next tax season. The penalty may go as high as $10,000 for a family of four.