Over the past several years, the workforce landscape has changed dramatically. As new tools have been introduced and the aftermath of COVID continues to redefine how workers interact with their workplaces, many people have taken the opportunity to move into new fields or sectors. One of the most popular and ever-growing contingents of this is self-employed workers; people who are branching out, working for themselves, and working hard to achieve their dreams.
However, being self-employed comes with a host of obstacles and challenges. Many naysayers will point to these as reasons not to embrace self-employment, but that is more a product of fear than anything else. The traditional labor systems are changing, and you should be able to change alongside them without the fear of being punished for it down the road regarding things like taxes or health insurance.
The latter has proved exceedingly confusing for many self-employed workers, but fortunately, self employed health insurance plans offer a solution.
Health insurance when you’re self-employed is confusing, expensive, and annoying. But some options don’t totally suck, and you’re not alone trying to figure it out.
Being Self-Employed Is Great… Until You Need a Doctor
Being self-employed means that you have gone all-in and bet big on yourself. There is no HR, no group plan, just vibes. You are your own boss and ultimately get to dictate the course of your own job.
While that is great, it does come with additional complications. For instance, you have to figure everything out yourself. One of the clearest examples of how difficult this can be comes in the form of expensive insurance, which is often convoluted.
If you were working a more traditional job, the company overseeing your employment would make efforts to streamline these complications and offer you a clearer choice regarding health insurance.
However, that would also keep many of the finer details of the process from you. In this way, embracing the challenge of exploring insurance options as a self-employed worker can be exceedingly beneficial, allowing you to get into the nitty-gritty of insurance plans and better understand what you’re signing up for.
What People Are Actually Using
- Marketplace plans
- COBRA if you recently left a job
- Short-term plans
- Health sharing plans
Stuff to Think About Before Picking a Plan
There are several factors to consider when choosing a plan that works best for you. For instance, do you visit the doctor often or need “just in case” coverage? Are you covering just you or a partner/kids, too? And ultimately, how much risk are you okay with?
The answers to these questions will help you better understand the coverage you need. By better understanding yourself and your needs, you can better understand coverage options and how they will work for you.
Money-Saving Hacks That Help
You can write off your premiums on your tax returns if you’re self-employed. Similarly, high-deductible plans and HSAs can result in some substantial tax wins. To best benefit yourself in the long run, keep every piece of documentation, from spreadsheets to receipts and beyond, so that you are fully prepared.
FAQ
Is there actually affordable health insurance if you’re self-employed?
Yeah, if your income’s not crazy high, you can get subsidies on marketplace plans. It’s not perfect, but it helps.
Can I write off my insurance?
You can, but check with your accountant or TurboTax. It depends on how your business is set up.
Are those health sharing plans sketchy?
Some love them, and some have had bad experiences. Just know they’re not real insurance and do not have to follow ACA rules.
I’m healthy and need coverage in case stuff hits the fan; what’s best?
Look into high-deductible plans with an HSA. It’s like insurance, but cheaper upfront. Just don’t break your leg.
