Self-Employed People

If you’re self-employed, you may purchase health insurance through Washington Healthplanfinder as an individual.

How to Know if You’re Self-Employed

  • You’re self-employed if you’re in business for yourself (including part-time business)
  • Carry on a trade or business as a sole proprietor or independent contractor
  • Are a member of a partnership that carries on a trade or business.

Learn more about your self-employment status on the IRS website.

Entering Self-Employment Income

When applying for coverage through Washington Healthplanfinder, you should enter your current estimated net monthly self-employment income (profits after business expenses are paid).

Business expenses include:

  • Car and truck expenses (for travel during the workday, not commuting)
  • Depreciation
  • Employee wages and fringe benefits
  • Property, liability, or business interruption insurance
  • Interest (including mortgage interest paid to banks, etc.)
  • Legal and professional services
  • Rent or lease of business property and utilities
  • Commissions, taxes, licenses, and fees
  • Advertising
  • Contract labor
  • Repairs and maintenance
  • Certain business travel and meals

Self-employment tax payments are allowed as a deduction from your income when applying for health insurance. If you don’t know the amount you have to pay, check your tax return from last year for the annual amount and divide this by 12 to get a monthly estimate.

Income Changes During the Year

During the year, it’s important to report changes in your income or household size as soon as possible. Reporting changes will help you get the proper amount of financial assistance. It will also help you avoid getting too much or too little financial assistance in advance. For instance, if you claim a premium tax credit during the year and your actual income increases more than 400% (FPL), you will need to pay back the full credit amount.

If at the end of the year your actual income indicates you would have been eligible for Washington Apple Health coverage, you will not be required to pay back premium tax credits you received during the year.

Uneven Income During the Year

It’s common for income to change, particularly if you are self-employed. If you don’t have a steady, predictable monthly income, you should average your monthly income for the year. To get the most accurate tax credit amount, you should report income changes during the year.