In recent news, The Supreme Court’s upholding of the Patient Protection and Affordable Care Act, sometimes referred to as “Obamacare”, has topped headlines, public opinion and political debates. Since it was signed into law March 2010, it has created an array of colorful emotions, but exactly how will this healthcare reform alter your life or that of your business, if you are an employer?
As I sifted through pages upon more pages of legalese, I forgot about the political fervor and media coverage, to identify basic, factually information that may be of importance for employers and employees alike.
Extra Help prides itself in staying on top of industry trends. Whether it is a history altering government mandate, like the one explained below or support for general business guidance, we have thorough and real time answers with our Extra Help HR Support Center service.
Employer & Businesses: Here is a highlight of a few!
- Starting January 1, 2014 company’s with more than 50 full-time employees will have to provide coverage for employees. If they choose not to they will face fines.
- Small businesses are currently eligible for government support of covering employees. This assistance is expected to increase in 2014 when the health care reform is fully implemented.
- Restaurants with 20+ locations must print the nutrition and calorie content on menus.
- Small businesses with lower and middle-income employees are eligible for tax credits when they provide health insurance to their employees. The credit is up to 35% of the employer’s contribution to the employees’ insurance. Non-profits are eligible for 25%
To qualify, a small business must:
- Have fewer than 25 full-time equivalent employees
- Pay average annual wages below $50,000 per FTE
- Contribute at least 50% of each employee’s premium
- Calculator Tool For Employers: http://www.smallbusinessmajority.org/tax-credit-calculator/
Employee/ Individual: Here is a highlight of a few!
- Individual Mandate: As of Jan 1, 2014, all persons will legally need to have some form of health coverage. This can be in the form of your current provider, and employer coverage option, Medicare/Medicaid if you qualify or private health insurance plans.
Fines for Non Coverage: $285 per family or 1% of income, whichever is greater.
- 26 Years Old: Young adults can stay on parents health care until age 26.
- Pre Existing Conditions: Insurance companies may not deny, drop coverage, or increase rates if you have health conditions that presented itself before hand. Instead they must present valid reason for any rate increase.
Medicare Coverage Expansion: Expansion of Medicaid to include more low-income Americans by increasing eligibility limits to 133% of the Federal Poverty Level and covering adults without dependents.
- Non Discrimination: Prohibits health insurers from charging different rates based on patients’ gender, disability or medical history.
This is a brief preview of the some changes the Patient Protection and Affordable Care Act will provide to you or your business.
In this ever changing world of business, let Extra Help handle those HR headaches like “compliance standard questions” and “legal policies” through our HR Support Center. Then you can focus so much more on other important things like running a successful business that you love! Contact Extra Help for more information.