Kaiser predicts health coverage will cost $23,700 in 2014 for a family of four headed by a 55-year-oldliving in a high cost region. Premiums for health insurance sold in the exchange are capped at 9.5% of income for the families earning between 350% and 400% of poverty. There are no subsidies for families earning more than 400% of poverty. For example, premiums would be capped at $8,901 — resulting in a subsidy of $14,799 ($23,700-$8,901) for a family earning $93,699 (400% of poverty). But if the family earns $1 more ($93,700), they no longer qualify for a subsidy. Thus $1 in additional income results in a subsidy loss of $14,700; for an implicit tax rate of 1.47 million percent.