Premium Tax Credit — PTC

The Premium Tax Credit helps people pay for health insurance. This credit lowers your monthly payment if you buy health insurance through the Affordable Care Act (ACA) Marketplace. It makes health insurance more affordable for many families. You can get help paying for your insurance each month, or you can get the money back when you do your taxes. It's your choice. Some people get the money ahead of time to lower their monthly bill. Others pay their full bill each month and then get the credit back as a refund when they file their taxes. The Premium Tax Credit is for people who buy their own health insurance. It is for people who do not get health insurance from a job or from programs like Medicare or Medicaid. You must also have an income that is within certain limits. These limits change each year. The Premium Tax Credit matters because it helps families afford health insurance. Health insurance can be expensive. This credit can make it much easier to protect your family's health without spending too much money. It helps make sure more people can get the care they need. If you think you might be able to get this credit, visit <a href="/glossary/aca-marketplace">Healthcare.gov</a>. You can learn more about how to sign up for health insurance and how to get help paying for it.