I’m 23 and live in Florida. I was talking to a health insurance agent who told me they needed my net pay (the amount I take home after taxes) to calculate my insurance costs. But when I checked online, most sources say I should be using my gross income (before taxes and deductions).
So, is my agent wrong? What should I actually be using?
If you’re applying for marketplace insurance, you should use your modified adjusted gross income (MAGI)—not your net pay. MAGI is your gross income with some adjustments, like student loan interest or IRA contributions.