Feds Issue Rule To Fix ‘Family Glitch’ In Affordability Of Employer-Sponsored Health Insurance

On October 13, 2022, the Internal Revenue Service (IRS) and Department of the Treasury finalized a rule intended to improve affordability of employer-sponsored health coverage for families and fix a problem called the “family glitch”. This problem resulted in health insurance premiums of higher than 9.8% because families were ineligible for premium tax credits (PTC). Roughly 12% of workers earning 400% or less of the federal poverty level (the maximum limit for PTC) were required to pay over $10,000 per year in premiums for family coverage through employer-sponsored health coverage.

Source Of The 'Family Glitch'

The . . .