The insurance my employer offers is not affordable, so I enrolled in a Marketplace policy with premium tax credits. However, I later got a part-time job and now my annual income will be higher than I originally estimated. At this higher income, the cost of enrolling in my employer-sponsored plan is now considered “affordable,” but I can’t sign up for my employer plan until the next open enrollment season. What should I do? When I file my taxes will I be required to pay back my premium tax credits because I had access to affordable job-based coverage after all?

First, you should report your income change to the Marketplace as soon as possible. The Marketplace will determine your new eligibility for premium tax credits based on your higher income and adjust the amount of tax credits going forward. If you make this adjustment promptly, it’s likely you won’t receive any more advanced premium tax credit during the entire year than you’re eligible for based on your annual income.

As for the new “affordability” of your job-based coverage option, that won’t be taken into account when you file your taxes. As long as the Marketplace determined you were not eligible for affordable employer-sponsored coverage when you initially applied for Marketplace coverage and subsidies, pay back the tax credits.

Browse more questions in the Employer-Sponsored Health Coverage and the Marketplace section.