Health insurance for realtors

Why the IRS treats most agents as self-employed

The IRS puts licensed real estate agents in a special group called statutory nonemployees. An agent is treated as self-employed for all federal tax purposes when substantially all of their pay is tied to sales or other output, not hours, and they work under a written contract saying they won't be treated as an employee.

That's why most agents don't get a group health plan from their brokerage and buy coverage the way other self-employed people do. If you're a salaried employee of a brokerage, ask about its plan first.

Plan for the year, not the last closing

HealthCare.gov bases savings on your estimated net income for the coverage year, not last year's. For a realtor that's expected commissions minus business expenses, plus other household income.

• Start from a conservative estimate of closings and update it as deals close or fall through.
• Premium tax credits are reconciled on your federal return, so a big gap between estimate and actual can change your refund or what you owe.
• If a spouse's job plan offers coverage to spouses, in most cases you won't qualify for premium tax credits.

What to compare when you live in your car

• Urgent care and hospital access across the territory you cover.
• Your doctors and prescriptions in the plan's network and formulary.
• Total yearly cost in a quiet year and a heavy year.
• Whether the plan works with an HSA. All Bronze and Catastrophic Marketplace plans do.

Taxes and HSAs

Realtors with a net profit may qualify for the self-employed health insurance deduction, and an HSA can be a useful buffer for an uneven year. Check the details with a tax advisor.

Where Gabriel fits

Gabriel can help you compare Marketplace plans and switch when your commission income changes, at no cost. Gabriel Core is $49 per adult a month (kids under 18 included) with member pricing close to cost and unlimited virtual urgent care, which helps when you're between showings and far from your usual doctor. Gabriel Plus, $89, adds two in-person urgent care visits a year.

Gabriel is a membership, not health insurance, and Gabriel is not an insurer. It does not replace an ACA plan's protection against large medical bills.