On March 21, the House passed the health care overhaul bill and on March 23, President Obama signed it into law. Nobody really knows how it’s going to impact expats, but preliminary indications are that, unless you earn more than the FEIE (foreign earned income exclusion) annually in US income, it won’t effect you at all. That figure is currently $91,400.
US citizens resident in other countries will not be required to buy US insurance, but may end up with a slightly increased tax bite, depending on individual circumstances.
According to the Associated Press:
“At its core, the new law would expand health care to 32 million who lack it while cracking down on the insurance industry and cutting federal deficits by an estimated $138 billion over a decade. Most of the estimated $940 billion cost of the bill would pay for assistance to help families with annual incomes of up to $88,000 pay for insurance, although small businesses would also receive subsidies as in incentive to offer coverage to their employees.” You can read the entire article here
We’ll share new information specific to how this bill will affect US expats as it becomes available.