What documents does Covered CA accept as proof of expected MAGI Income – Line 11 + ?* income?

Documents accepted as Proof Of Income 

Covered CA – List of Countable Income

  • Copy of pay stub
  • Sworn affidavit from absent parent
  • Award letter or most recent cost-of-living increase notice
  • Copy of the current benefit check
  • Signed statement from the individual or organization providing the income
  • Gift income letter —  Covered CA is the worst blight I’ve seen in the Insurance Industry in my entire career!   Just because they say something and I copy it, does NOT make it right!  Please check the entire website, our new page on gifts, tax and law professionals for what really is MAGI Income Line 37 of your tax return!
  • Signed letter from employer that displays the gross income, payment frequency, and date of paycheck
  • Investment account statement
  • Payment records (notes and mortgages)

Most of the time Covered CA and Medi-Cal don’t need your proof, they get it from Big Brother and the Federal Hub.   They need your consent though. Check out this problem for January 2017 where Covered CA didn’t get consent.

#Line8b now 11 Adjusted Gross income then add line 2a, 6a &   8 (Foreign Income)

to get Covered CA MAGI Income

MAGI Income from 1040

1040 Form   ***  Schedule 1  Additional Income & Adjustments to Income

Steve's Video on MAGI Income  *  Covered CA's Video *

How does your Income and Household Size get #verified?
Page 5.206 

Your  income and tax household size is  checked with data sources using the federal verification hub. wikipedia *

For Medi-Cal, if the income information submitted by the individual is “reasonably compatible” with the information obtained through the electronic data sources, e.g., IRS, state wage data, unemployment, Social Security, Medi-Cal accepts the amount listed on the application.126 The two amounts are “reasonably compatible” for MediCal in any of the following circumstances:

• Both show the individual’s income above the relevant income standard;
• Both show the individual’s income is at or below the relevant income standard; or
• The individual states their income is above the income standard and the information obtained by the state shows the individual’s income is at or below the relevant income standard. 127 In this case, the individual must be told that the income information they provided was higher than the information the state obtained through electronic verification and the individual may request to have their income determined at the lower, verified amount.128

If the income information obtained through electronic verification is not reasonably compatible with the information provided by the individual, the individual must provide additional information that explains the discrepancy, such as pay stubs or other documentation regarding income.  WIC 14013.3  *

For Covered California, income information is checked against an applicant’s previous year’s tax return through the IRS database. If the applicant says that the income and tax household size on their last year’s tax return represents an accurate projection of their income and household size for the benefit year for which they are applying for coverage, Covered California uses that tax information.130 Covered California accepts self-attestation of income and household size if tax data is unavailable or the applicant attests that a change in income or household size has occurred or is reasonably expected to occur such that the tax data is not accurate for this benefit year.131 If, however, Covered California finds that the application’s attested income and household size are not reasonably compatible with other information from the applicant or information Covered California has other than the tax data, then the attestation will be verified against state electronic data sources. If state sources are unavailable, the applicant must submit documentation to support their attested income.132 There is an alternative verification process for individuals who attest to projected household income.133 If their projected income is no more than 10% below the income on their most recent tax return, it must be accepted without further verification. If the projected annual income is more than 10% below the latest tax income or if the tax data is unavailable, the applicant’s attested income is verified with state data sources or by requesting documentation from the applicant.134 When income cannot be verified electronically, Covered California notifies applicants of what information is needed and gives them 90 days to provide it.135 If the applicant does not provide the information within 90 days, Covered California uses the information available through electronic databases to determine their eligibility.136 For MCAP, if income cannot be electronically verified, paper documentation is requested.137 Page 5.206  *

Other Pages in the Income Section & FAQ Section

41 comments on “Proof of Income – Accepted Documents

  1. Hi Steve

    question for signing up for Cover california.

    can/does a 1040 serve as the only document necessary for proof of income.

    I am reading online and see lists of documents and cannot discern if its all, some, one sort of situation.


    • There are tons of documents that Covered CA accepts as proof of income for the ADVANCED payment of the PTC Premium Tax Credit – Subsidy. That’s what this whole page is about, along with the pages I’ve cited.

      Is there a reason you are asking this question?

      …..Do you have your 2020 tax return filed?

      …..Is your estimated income 100% your true belief?

      …..Do you understand that

      …………Covered CA checks with Big Brother to verify the advance tax credits?

      …………if your estimate changes, you are mandated to report the change to your professional broker like me and/or Covered CA within 30 days!

      ………… if you get subsidies, you are MANDATED to file a tax return! If you don’t, you won’t get subsidies next year.

      Don’t forget, that even if – when Covered CA accepts a document, it’s MEANINGLESS! What counts is when you file the Premium Tax Reconciliation Form 8962 with your 1040 at the end of the year. You hopefully come out even, but if you earn so much that the premiums are less than 8 1/2 percent of income, you’ll have to give the subsidies all back! When ARPA expires, you have to give back everything if you earn more than 600% of FPL Federal Poverty Level.

      How about appointing us as your Covered CA broker? No extra charge. We only get compensated with our web visitors appoint us. Covered CA does not provide ANY compensation for this website, nor our expertise in answering questions, with the correct answer, along with citations.

    • 2020 not filed yet. would [try] use 2019 return at proof of income.

      2019 income just under 100k for household of 3,

      2020 and 2021 income will be below 130K. couple are both independent contractors.

      from the covered CA calculator it looks as though subsidies apply to both cases, but i think you answered my question that income is reviewed for the completed year of health insurance and recalculated and additional rates may apply if income higher than stated?


      • Covered CA wants the documents that most closely resemble what you will make for 2021. Prior years mean NOTHING when you file taxes for 2021.

        I’m not sure what you mean, the subsidy and premium calculator applies to both cases. Married Couples MUST file jointly.

        Household definition chart

        Right, the premium is the premium, the subsidies are hocus pocus, smoke and mirrors, which at the end of the year, when we know your REAL MAGI Income, then we will know if you got too little or too much subsidy.

        Premium with Subsidy

        subsidiez premium

        Real Premium
        real premium

        Subsidy if your income increases to $150k = $361
        ………………………………………………$200k = 7

        How about appointing us as your broker, no extra charge. Do you like getting authoritative answers with a citation and not waiting on hold?

        Covered CA gives you 90 days to file proof. Send the best you have and see what happens.

        When you appoint us as your broker, we can upload the documents for you.

  2. I have read conflicting info on internet.

    Some places it says that under medi-cal you can’t have more than $3,000 for a couple and in other places, including your site, it says that bank accounts are not counted.

    We are under 65 but a low income family.

    Can you please clarify this?

  3. If I take a temporary job for the Census, will that income be counted as income for Medical eligibility?

  4. What happens to your medi-cal program if you didn’t know that you had to report that you started a business.

    It hasn’t made much money though. 2019 had 0 profit.

    Does receiving a stipend to host international students count as income?

    Money received was for food, shelter and transportation.
    That was also not reported.
    We didn’t think it was income because it was for care of the student.

    • Here’s the worst that I’ve researched that could happen!

      IMHO and I’m not an attorney and can’t give legal advise nor a CPA – having a business with zero profit doesn’t affect eligibility

      E. Reporting Changes

      Medi-Cal beneficiaries must report changes that affect their eligibility, such as income or household size, within 10 days.

      Covered California enrollees must report changes that affect their eligibility for enrollment or financial assistance within 30 days.

      For information on reporting changes, see Chapter 6, Section A.1 Source

    • Hosting?

      Will you be getting a 1099?

      Did you account for specific expenses?

      Learn more on Intuit.com

      The IRS and state and local authorities will tax you net income, which means you take your gross stipend, deduct the expenses directly associated with hosting and then declare the balance as taxable income. homestaynetwork

      We don’t get compensated to help with Medi-Cal. How about considering us for your other Insurance needs, like life insurance.

  5. What counts as projected income for this year 2018?

    How to project income for 2018?

    Attestation of anticipated income for the 2018 year.

  6. If I qualify for subsidies, when do I receive that money? Is it deducted from my monthly premium or do they reimburse me later?

  7. I expect to make a lot more than the 26K I made last year.

    Are the subsidies based on last year or on this year’s earnings?

  8. I am an independent contractor. I have 2015 1040 Profit and Losses [Schedule C?] and adjusted income proof.

    It should be the same for 2016. However, since taxes aren’t due until April and we already filed for an extension with the IRS, how can I prove my adjusted gross income? I won’t have until we file. I have 1099 forms from 3 employers but the losses are not included–it’s gross which is not what I clear.

    What to do?

  9. Dear Sir: you probably have answered these before somewhere but I hope you don’t mind I ask again.

    1. My wife and I filed joint return, and the same for 2017. No dependent. If only one of the spouses has income, and we try to apply for Family Coverage on Covered California, are we going to be split into two different insurances? One spouse with income qualifies to buy subsidized metal plan and the other spouse without income only qualifies for Medical? Our line 37 will be approximately $28,000

    2. Regarding child eligibility. If I understand it correctly, ACA says you can keep your child under the family plan until he/she turns 26, but Covered California says a child cannot be included in the family plan unless he/she is claimed as a dependent on your tax. which one is correct?

    Thanks for your help.

    • Married people are mandated to file a joint return. Please get a quote from our complementary quote engine so that we can better help you. The subsidies are by tax return. See our income chart. You probably both qualify for Silver 87.

      Both answers are correct about age 26 and getting subsidies. Since your adult child won’t get subsidies as they are doing their own taxes, they should just get their own policy. There is really no family discount.

      Sorry, I had a computer SNAFU and didn’t see your question before. I hope you got coverage, as Open Enrollment is over. Do you have a Special Enrollment reason?

  10. Please help me. I am 75 yrs old retired newly immigrant. I just got my GC this year and I have never worked in US. I have income from my investments and from my pension in India.

    I applied for Obamacare coverage. On one side they want my income proof and on other side they are not able to direct me what documents I can show to them to verify my income in India.
    I submitted my annual statements from my banks in India which clearly show what my pension is and what my returns on investments are but still they do not agree to the documents.

    They need income proof documents like people have in US but in India there is no such such documents .

    Please suggest me what to do.

  11. Hi Steve:
    I got a letter from Covered CA asking more proof of income or risk of losing coverage or subsidies by April 10th. I had a full time job in 2015 so my income is much higher than what I will have in 2016 since I’m now retired due to health. I submitted an affidavit explaining my situation as well as an letter from my former employer stating this fact. Also, I’ve submitted the final paycheck stub and my investment account statement.

    As of today, I’ve also submitted the 2015 Federal Tax return along with Schedule D. I don’t know what else will they need since they are not very specific on what kind of form they want to see and if my last year income will affect the subsidy amount.

    Thank you in advance for your response.

    Ryan Le

  12. i am self employed and won’t get all the docs i need to file 2015 taxes until much closer to 4/15/16. However, Covered CA wants proof of income or threatens dis-enrollment by tomorrow, 3/10. How can they do that and what do i do?

    • That’s a really good question. Let’s take a look at the letters and information they sent

      Given a little more time, I’m sure I could find a reason that they can’t. Everything I’ve seen before said one had 90 days to prove income, lawful presence, Insure Me Kevin.com. We could look up those citations. In the meantime, I suggest you appoint us as your agent. No charge. Send us everything you have to show 2016 and 2015 income and we will contact them and ask for more time. It doesn’t make sense they would want your 2015 tax return as it’s not due till 4.15.2015.

      What is your expected MAGI income for 2016? What was it for 2015 and 2014? What income proofs have you sent so far? When did you first get coverage with Covered CA?

  13. seems like a contract for a job in May or a letter from a client that agrees to pay me in May won’t count.

  14. I know my friend that I sent you as a referral was concerned about last nights deadline. Glad to know that she would be eligible for a special enrollment period once she gets her 1st paycheck. Is it ok that she is 1099, not w2?

  15. I am going through a divorce that will finalize this year and as a result will lose my health insurance. Last year I filed taxes jointly and thus do not have my own filing for proof of income. I’m only receiving income via spousal and child support. What kind of documentation can I provide as proof of income?

  16. If someone loses their job and unemployment states that they can not get unemployment how can they prove they do not have income? How do you verify proof of income if you do not have an income?

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