FAQ’s 

What’s this about #Uber /Lyft drivers getting 82% of the average Bronze premium from Uber/Lyft so that they can enroll in Covered CA?

• Uber/Life will  qualified drivers a stipend of 82% of the average Bronze premium, drivers would need to work an average of 37.5 hours per week for a single company in order to receive the full stipend.
• Covered CA Power Point Power Point on it. Pdf
• Covered California plans are typically less generous than the policies employees usually get through work, she said. And bronze-level plans, which have the lowest monthly premiums, also have the highest out-of-pocket costs for medical services.
• Consider the deductible, which is how much a person needs to pay out-of-pocket before insurance starts paying for care.
• Depending on their incomes and other factors, drivers may also be eligible for tax credits and state and federal subsidies to help them afford plans on the individual market.
• The subsidy will count as MAGI income if you want Covered CA subsidies, per Covered CA powerpoint cited above
• CA Health Line
• Sacramento Bee Explanation
• Limited Information on Covered CA Website
• InsureMeKevin.com explanation
• LA Times Opinion Michael Hiltzik Uber took drivers for a ride with Proposition 22
• Get instant Quote & Subsidy Calculation
• FAQ Medicare Stipend?

Sharing, #Gig, On Demand, Access Economy, Air Bnb, Lyft, Uber

If you use one of the many online platforms available to rent a spare bedroom, provide car rides, or to connect and provide a number of other goods or services, you’re involved in what is sometimes called the sharing economy.

An emerging area of activity in the past few years, the sharing economy has changed how people commute, travel, rent vacation accommodations and perform many other activities. Also referred to as the on-demand, gig or access economy, the sharing economy allows individuals and groups to utilize technology advancements to arrange transactions to generate revenue from assets they possess – (such as cars and homes) – or services they provide – (such as household chores or technology services). Although this is a developing area of the economy, there are tax implications for the companies that provide the services and the individuals who perform the services.

This means if you receive income from a sharing economy activity, it’s generally taxable even if you don’t receive a Form 1099-MISC, Miscellaneous Income, Form 1099-K, Payment Card and Third Party Network Transactions, Form W-2, Wage and Tax Statement, or some other income statement. This is true even if you do it as a side job or just as a part time business and even if you are paid in cash. On the other hand, depending upon the circumstances, some or all of your business expenses may be deductible, subject to the normal tax limitations and rules.

Learn More ===>  irs.gov/sharing-economy

The following tax issues may apply to those participating in the sharing economy:

• Issues for Individuals Performing Services
  • Filing Requirements
  • Employee or Independent Contractor
  • Tax Payments, Including Estimated Tax Payments
  • Self-Employment Taxes
  • Depreciation
  • Rules for Home Rentals
  • Business Expenses
  • Receiving Form 1099-K, Payment Card and Third Party Network
• Issues for the Companies Providing Services
  • Determining Whether the Individuals Providing Services are Employees or Independent Contractors
  • Employer/Payer Employment Tax Obligations
  • Reporting on Form 1099-K, Payment Card and Third Party Network Transactions

Our webpage on AB 5 & 1099 vs

Check out our webpages on how 1099 & Gig workers can apply for unemployment & PPP Loans

Covered CA subsidies for Uber & Lyft